American CEO: ‘It’s never been harder to operate an airline’

   

American Airlines CEO Robert Isom believes the airline industry is facing some of its biggest challenges to date.

During Skift’s Aviation Forum on Tuesday, the airline chief said, “It’s never been harder to operate an airline,” citing a plethora of issues.

Isom said new variables have prompted his airline to build additional buffers into its systems.

He said air traffic control challenges and supply chain woes are among the biggest issues.

“And so, whether it’s air traffic control … that’s very different,” Isom said. “That to fly from Chicago to New York, it’s 30 minutes longer than it was 20 years ago.”

During the forum, he mentioned ongoing delivery and supply chain constraints at aircraft manufacturers and engine makers.

Last week, Boeing resolved a seven-week strike with its 33,000 machinists, effectively halting production of some aircraft types.

“The supply chain … the airframers or the engine manufacturers, but the whole supply chain really hasn’t come back to where it was in 2019,” he continued.

Even with continued aircraft delays, Isom noted that American isn’t “that dependent over the next couple of years” on Boeing, even with 787s and 737 MAXs on order.

In March, the Fort Worth, Texas-based airline placed an order for 85 737 MAX 10s, which have yet to be certified by the Federal Aviation Administration.

“And all of that creates difficulty [and] uncertainty for the operators and at least for American, I’m so proud of our team,” he concluded.