Two Senators Have Introduced a Bill to Limit The Airline Fees You Pay. Good Idea?

Mar 10 2016

Representative Steven Cohen (D-TN) wanted to regulate seat width and legroom. That went nowhere in the House Transportation Committee, but Senator Chuck Schumer (D-NY) decided it would make a good issue. His office even pitched me on the story after I had already explained why this would be bad for consumers. The Points Guy gave him more sympathetic coverage.

Now Senators Richard Blumenthal (D-CT) and Ed Markey (D-MA) want to limit airline fees

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United Reveals Plan to Deny Premier Benefits on Entry Level Fares

Mar 09 2016

Just as American will be introducing ‘Basic Economy’ fares – fares that exclude many of the benefits we’ve come to expect with a ticket, like an advance seat assignment — United will be as well.

It’s interesting to see the way they’re presenting their thinking.

They see (3) customer types and three benefit types, and it seems illogical to them that all three customers get the same ‘stuff’.

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American Launching Improved Meals on All International Flights

Mar 09 2016

American Airlines launched their Sydney flight with an improved meal service. American executives described it as a test. The flight was expected to be higher yield, justifying the investment which was also necessary as a part of their joint venture with Qantas given the expectations of Qantas customers.

Back in December I asked whether the better meals would be rolled out more broadly, and at the time they didn’t know. It seemed a good guess that it would be a part of the Auckland flight, which is included in the joint venture with Qantas. And that it could be something American would do on high yield ultra long haul flying like Dallas – Hong Kong. I didn’t expect it would spread systemwide.

However that’s exactly what American’s CEO Doug Parker shared at the JP Morgan airline and transportation conference yesterday.

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American’s New Hong Kong Route Will Be Bookable March 20!

Mar 08 2016

Early this morning American Airlines had accidentally posted on their website the launch of new Los Angeles – Hong Kong service, which I’ve been expecting since November or December. They promptly pulled the announcement down, however American confirmed the news for me.

American has focused on Los Angeles for building up its Pacific route network. They recently added a Sydney flight (with an improved inflight service). They’re adding Auckland, New Zealand. And they’re adding Tokyo Haneda service. And those are all international routes that face competition.

Now they’ve formally announced the Los Angeles – Hong Kong flight, and provided details.

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Gordon Bethune Making a Play to Return as Chairman of United

Mar 08 2016

With Oscar Munoz set to return to United as CEO after a medical leave in a week, the airline is also planning to replace a few directors – the former head of T Rowe Price, the former Chairman of Air Canada, and the CEO of Red Hat. But the plan faces opposition.

Altimeter Capital Management and PAR Capital Management which together own 7.1% of United are backing six new board members at the airline led by former Continental Airlines CEO Gordon Bethune.

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