American Airlines’ decision last month to retire 74 more Fokker 100s and nine Boeing 767-300s will mean continued capacity stagnation at its wholly owned American Eagle subsidiary, as long as the Allied Pilots Association has its way. APA– the collective-bargaining representative for American’s mainline pilots–negotiated a scope clause in its last labor contract that forced an ASM freeze at American Eagle when the major airline furloughed hundreds of pilots as a result of September 11-related capacity cuts. The latest plans by American to reduce its pilot roster by as many as 550 would likely extend the freeze, perhaps leading to further controversial maneuvers by Eagle to open room for more capacity within the constraints of its scope clause.
Earlier this year American responded to the contractual ASM limits at its regional affiliates first by removing seats from Eagle’s Saab 340s and ATR turboprops, then by stripping the “AA” designator code from St. Louis-based flights operated by American Connection partners Chautauqua, Trans States and Corporate Airlines. Meanwhile, speculation over the sale of Eagle’s San Juan, Puerto Rico-based Executive Airlines subsidiary continues to breed consternation among Eagle pilots based in Miami and the Caribbean. Although talks with would-be Executive owner Caribbean Star broke down this spring, American continues “to evaluate its options” on its Caribbean unit, and has not dismissed the possibility of a sale to open more room for ASM growth.
