American Cuts Some Asia Flights

Faced with falling shares and ever-rising fuel costs, American Airlines is soon making some changes to its flight offerings, cutting a number of Chicago-originating routes it calls “colossal loss makers” and adding some more cost-effective options to the slate of currently available flights to Europe.

American Airlines, the world’s largest airline, is facing some monetary issues: shares this year are down more than 22 percent, and rising fuel costs are putting a wedge into potential earnings. To make up for the financial loss, the airline has decided to cut a few routes from its roster.

Starting in October, the airline will be cutting 11 total routes. Chicago to both Shanghai and Beijing are ending, and the Chicago to Tokyo’s Narita airport will go from daily to three times a week.

“The two China routes, [and] to a lesser degree, Tokyo, have been colossal loss makers for us,” Vasu Raja, American’s vice president of network planning, said on a company podcast, reported by CNN.

The majority of American’s Asia service will be moved to Los Angeles and Dallas, and the company is working with the U.S. government to make sure it can still legally fly to China.

In addition to the Chicago cuts, American plans to cut flights from New York to Ireland and Haiti, and Philadelphia to Munich and Frankfurt. The airline will, though, be adding additional flights – nine new routes from Charlotte, Philadelphia, Dallas, and Chicago to Europe.

United and Delta also plan to make cuts to their growth plans following the conclusion of the summer travel season, also thanks to rising fuel costs.

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