scott kirby

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United Airlines CEO Scott Kirby’s Nose Is Growing On Seat Back Televisions

by Gary Leff on June 29, 2021

Jun 29 2021

United Airlines didn’t just announce a major aircraft order today, they pitched a plan to offer a more premium flight experience. A symbol of that plan is to offer seat back entertainment screens to all passengers, not just on new planes but retrofitting the existing fleet as well.

CEO Scott Kirby isn’t just arguing that these are important to passengers. He isn’t just saying that he’s had a change of heart, covering not just United’s opportunities going forward but at his previous airlines that haven’t made similar investments. He is throwing shade at other airlines, saying he’s always been a proponent of seat back entertainment but has been stymied. That’s not even close to true.

United CEO Declares Goal To Double MileagePlus Earnings In Four Years

by Gary Leff on June 6, 2021

Jun 06 2021

United Airlines CEO Scott Kirby, speaking at the Alliance Bernstein 37th Annual Strategic Decisions Conference on Thursday, explained his cost-cutting vision as eliminating fat from management and unnecessary processes without touching product investment.

He offered that they will “save $2 billion in expense, not a single penny is going to come from customer product, in fact we’re going to spend more on those things” and noted upcoming product announcements will be coming. And he declared a goal of doubling MileagePlus revenue in four years.

United Airlines CEO Says He’s Wanted To Eliminate Change Fees Since 1998

by Gary Leff on March 21, 2021

Mar 21 2021

United Airlines CEO Scott Kirby shared that in 1998 he was a Vice President at America West and a single conversation changed his view about change fees, and he’s wanted to eliminate them ever since. It took until August 2020 to do it and then American, Delta, Alaska and JetBlue all followed.

The interesting part of the story isn’t the golf game that game him the epiphany, it’s why it took 22 years for this change to happen.

American Airlines Is Dropping Airfare Prices More Than United, Delta

by Gary Leff on July 17, 2020

Jul 17 2020

I’ve been told by more than one person that in an internal call United Airlines CEO Scott Kirby told managers that American Airlines is dumping capacity at low fares, and he says that United won’t follow.

United is selling some cheap tickets, but nothing like what I’m seeing from American right now – like $49 roundtrips on major routes.

United Airlines: No Plan For Bankruptcy, Will Use MileagePlus To Raise Cash

by Gary Leff on May 28, 2020

May 28 2020

United Airlines CEO Scott Kirby spoke at the Bernstein Strategic Decisions Conference and spoke confidently about shedding costs and preparing for a rebound in air travel. He offered that bankruptcy isn’t a strategic option, that airlines are foolish to retire fleets too quickly, and that MileagePlus is going to be a great source of cash – whether by selling a ton of miles or borrowing against the program.

Overall (9) claims Kirby made seemed both new, compared to previous statements, and struck me as noteworthy.

How Much Are Airline Bosses Cutting Their Own Pay? Probably Less Than You Think

by Gary Leff on April 11, 2020

Apr 11 2020

A new SEC filing has details on the most recent United Airlines corporate executive compensation. United’s CEO Oscar Munoz will take $0 in base salary until June 30. Incoming CEO Scott Kirby will do the same. But how much of a cut is that, really?

Executive compensation is unpopular during tough times for a company. Of course if United makes it through to the other side of COVID-19 Kirby may earn his pay more than ever before.

United Airlines Hates Its Customers. For Short-Term Survival That’s a Good Thing.

by Gary Leff on March 11, 2020

Mar 11 2020

Right now United isn’t thinking about the long run, they’re preparing to survive the short run. Scott Kirby made clear everything else comes later.

Expect to see other airlines shift into that mode – hopefully seeing customers as partners rather than as potential marks for cash.

Scott Kirby’s Leadership Style: Times He Overruled The AAdvantage Team at American

by Gary Leff on December 8, 2019

Dec 08 2019

Kirby definitely gets in the weeds, including in the management of frequent flyer programs, and he’s known to overrule the executives below him. It may be that the sense is he doesn’t listen to investors (which is good, the growth plan that’s benefited United was unpopular with investors) but my sense is that he’s less likely to listen to his own teams.

Scott Kirby To Become United Airlines CEO In May, What Can We Expect For The Airline?

by Gary Leff on December 5, 2019

Dec 05 2019

Oscar Munoz is leaving United as CEO and Scott Kirby will take on that job May 20, 2020. Munoz will become Executive Chairman for one year. United’s current chair, former FAA administrator Jane Garvey, will retire from the board at that point. This mirrors predictions I have offered here for some time.

Though there’s been some growth – and will need to be more as Kirby steps into the CEO role – Kirby’s history is one that suggests management from the spreadsheets. He’s taken things too far in the past, such as elimination of elite bonus miles and a plan to charge for water on board at US Airways, moves where he’s had to reverse course. It remains to be seen whether he can moderate those tendencies as he formally takes the reins at United.