Another set of routes to and from Austin has been eliminated by American Airlines as the company continues to navigate industry turbulence in hopes of landing in a more profitable financial model.
This latest cut in offerings saw four direct routes removed after the airline axed 21 Austin flights in 2023 and five other routes in July of this year.
In a previous statement, the company said: “American will continue to offer customers access to our comprehensive global network of more than 350 destinations with one-stop connections. We’re proactively reaching out to impacted customers and apologize for any inconvenience this may cause.”
What routes did American Airlines cut?
The Texas-based airline is continuing cuts after ending routes to Las Vegas, New Orleans, Orlando, Palm Springs, Calif., and Reno, Nevada, in July.
The latest direct routes to be canceled are:
- Boston
- Nashville, Tenn.
- Raleigh-Durham, N.C.
- Orange County, Calif.
The airline indicated that it would end the first three routes during the first week of November while service from Austin to Orange County will stop in January.
American Airlines already eliminated 21 routes from Austin-Bergstrom
In November 2023, American Airlines outlined plans to alter various departures that ultimately eliminated 15 domestic routes and six international routes from its Austin-Bergstrom International Airport offerings.
The airline said the changes allowed it to offer 53% more seats per day and 19 additional daily departures compared with 2019.
Some of the most popular nonstop destinations that the airline cut last year were Cozumel and Puerto Vallarta in Mexico as well as Albuquerque, N.M., and Oklahoma City.
The downsizing in Austin marks a complete reversal of the company’s strategy for the city, as it once hoped to be a major force at Austin-Bergstrom. However, unpredictable numbers since the pandemic have forced the airline to back down from the goal and scale back across many markets.
American Airlines is desperate to propel itself towards profit
American Airlines’ second-quarter earnings call outlined some significant wins for the company despite continuing route eliminations. The company posted its highest-ever quarterly revenue at $14.3 billion and reduced its total debt approximately $850 million during the quarter.
Moreover, the second quarter generated a net income of $717 million, or $1.01 per diluted share, and the company saw an operating cash flow of approximately $1.1 billion. However, the airline still has a long way to go as it has been battered in the stock market this year and still had a debt of $40 billion as of March.
Beck Andrew Salgado covers trending topics in the Austin business ecosystem for the American-Statesman. To share additional tips or insights with Salgado, email Bsalgado@gannett.com.