What you people don't seem to understand is basis cost structure. Flying an additional pax has nominal additional expenses. A little more in fuel and whatever tiny snack and can of whatever beverage. Even if some of those additional seats go empty the nominal cost to AA is very small. So if AA is selling half of those additional seats it's still probably coming out ahead.
Yeah I believe "densification" sucks and makes life miserable for gate agents, flight crew and paxs. But if one thing the past 10 years has proved senior management cares very little about any of this. Look at this way. For the past 10 years you couldn't go 2 weeks without another media article bashing some aspect of airline operations. Yet during the same time airlines have raised fares, introduced fees, increased fees, added more seats, etc. Without a doubt airline management doesn't make decisions based the perception of the public.
I don't see 60% load factors. In fact as I walk through DFW, MIA, ORD, CLT, JFK, SFO, LAX (and any other airport) on the way to my gate I hear the all too familiar "ladies and gentlemen we are expecting a full flight today." Nor is there any evidence that EXPs and CKs are abandoning AA in droves. In fact, unless you can get another airline to status match as an EXP or CK you'd probably wouldn't want to leave AA. Would you really want to restart at the mid tier level at UA or DL? is WN or B6 going to get you to Japan? And it's not like either has 34 inch pitch and serves steak and lobster in Y.