FlyerTalk Forums - View Single Post - Speculation: Will AA continue to pull back in NYC?
Old Aug 23, 2017 | 6:36 pm
  #121  
nutwpinut
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Originally Posted by wetrat0
Corporate contract is different from a subsidy. AA surely has corporate clients that use RDU-LHR. They used to have a revenue guarantee in place on RDU-LHR from a non-government consortium (also totally different from a subsidy), but a number of published sources and FT threads have repeatedly stated that they never had to invoke it. In other words, the flight is/was generating more revenue organically than had been guaranteed.

Certainly, I agree that any new route to LHR operated by AA from a non-hub would likely coincide with (new?) corporate contracts. It's also quite possible that they could receive incentives from the airport authority (such as waived landing fees).
Bad terminology on my part. In my defense, I did put it in quotes

It's been a very profitable route for AA. Even without the contracts it will live on, but I do not believe it would have started without it.
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