American Airlines Plans To Do Away With First-Class Seats On International Flights

In its Q3 earnings conference call, American Airlines Group Inc AAL Chief Commercial Officer Vasu Raja provided some detail about replacing its first-class international flight seats with new business-class suites, announced last month.
“And frankly, by removing [first-class seats], we can provide more business-class seats, which is what our customers most want or are most willing to pay for.”
International flights from Delta Air Lines Inc DAL and United Airlines Holdings Inc UAL have already supplanted first class.
Last month, American Airlines said it would phase out the first-class product offered on certain long-haul flights.
Instead, the airline will replace its long-haul fleet with new “Flagship Suites,” increasing premium seating on those planes by more than 45% by 2026, Wall Street Journal reported.
The new suites will be included on newly delivered Boeing Co BA 787-9 planes and Airbus SE EADSY A321 XLRs starting in 2024. American will also retrofit its Boeing 777-300ER planes to include the new suites.
Thursday, the company reported Q3 FY22 operating revenue growth of 50.1% Y/Y to $13.46 billion, beating the consensus of $13.25 billion. Adjusted EPS of $0.69 beat the consensus of $0.31.
Price Action: AAL shares are down 1.56% at $13.25 during the premarket session on the last check Friday.