At a press conference held today at the Four Seasons Hotel New York to
announce the addition of Qatar Airways to the Oneworld alliance, American Airlines Chairman and Chief Executive Tom Horton addressed some of the airline’s recent troubles, including a labor dispute with its pilots and problems with its aircraft safety.
Says Horton, “We’re almost 10 to 11 months into our restructuring. American Airlines was one of the last U.S. airlines to undergo restructuring ... it’s something we had to do. We’re now many months into it and thus far we have made enormous progress. Our revenue has been topping the industry for many months. I think that’s a testament to the alliance and the network strategy that we have. Up until a couple of weeks ago, our operating performance was at the best that it had been for many years. We have labor agreements with all of our labor groups. We made a tentative agreement with the pilots, which was voted down by the membership. As of this week, the company and pilots’ union are back at the table working toward an eventual agreement. We will emerge into a very strong a viable competitor.”
Showing his support for Horton and American, IAG Chief Executive Willie Walsh adds, “We’ve absolutely no concerns whatsoever about what American is doing. It is doing the right thing. It will be a better airline and a better Oneworld alliance member when it comes through [the restructuring] and it will come through. It will be the best in the U.S. I have absolute faith, and no concerns whatsoever. … We believe Tom is doing the right thing.”
Following its extensive restructuring, says Horton, the new American airlines will have 550 new aircraft on order, more than any of the other legacy airlines combined, he notes. “We are very excited about the new American Airlines,” he says.
When asked if IAG, the parent company of British Airways and Iberia, would be interested in investing in American Airlines following its restructuring, Walsh hinted at the possibility.
“IAG would look favorably in investing in a new American that emerges from this restructuring,” he says. “Our clear interest is in doing something that will support our group.” He adds, “It will only be done if it adds strategic value to us jointly.”