FIGHT: American Says “We’ll Defend Chicago against Increased United Competition”

American has a response to United’s statement two weeks ago that they were done being a “docile competitor” in Chicago (ORD), American is going to strongly protect their “superior” position. The airline announced last Thursday that they are adding seven new routes beginning July 5th. That announcement came after United shared their new offensive strategy for ORD, adding 47 new domestic routes in February.

The Salt Lake Tribune  remarks that the competition is especially potent since Scott Kirby became president at United after leaving the same post at American six months earlier.

“What you’re seeing out of both of these players, and you see it out of any of these airlines, is they feel they need to defend market share at their hubs,” said Jack Atkins, an analyst at Stephens Inc. “Now it sounds like they want to fortify” their competitive response after previously tending to shy away, said Savanthi Syth, an analyst at Raymond James Financial Inc.

Full details on United’s growth plans here.

united-american

Comments

  1. With all the recent mergers/consolidations among U.S. airlines, it seemed like competition was dead. Like the movie ‘Princess Bride’, maybe it’s “only mostly dead.”

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