American Airlines is withdrawing its plans to increase international flights due to delays
in the delivery of Boeing’s 787 Dreamliners, according to a company memo.
The carrier called the suspension of B787 deliveries a "unique challenge" that will
see it redeploy widebody aircraft from domestic and short-haul international networks to long-haul
services.
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The major US carrier is still waiting for the new Boeing 787 Dreamliners it ordered
and will not resume flying routes in the summer of 2022 as previously planned, including to
Edinburgh, Scotland, and Shannon, Ireland, according to a securities filing.
Boeing’s wide-body Dreamliner delivery to customers has been suspended for most of the
past year as manufacturers and federal regulators are considering a series of production flaws
and necessary corrections.
“We’re loading a long-distance schedule for the summer of 2022 this weekend, but we’re
not seeing the growth we initially expected,” U.S. Chief Revenue Officer Vasu Raja wrote
in a note to staff reviewed by CNBC.
“Boeing will not be able to continue to deliver the 787s it ordered, including the
13 aircraft that will be onboard the fleet by this winter.
Without these widebodies, it would not be possible to fly so many aircraft internationally.
I can’t.
I was planning for next summer, or like summer.”
Deliveries are expected to resume by April 1, 2022, at the earliest, later than previously
anticipated, according to people familiar with the matter.
Airlines’ summer schedules aren’t final yet, and carriers may consider other factors
such as reduced demand due to the latest coronavirus variants and lingering travel restrictions
in deciding which markets to serve.
According to a source familiar with the airline’s intentions, American had planned to offer
a summer 2022 schedule with 89 percent of the long-haul international flights it had
before the epidemic.
Instead, due to the delayed Boeing deliveries which consisted of wide boy aircraft, American
is scheduled to fly 80 percent as often on similar itineraries as it did during the summer
of 2019.
The memo sent to workers stated that America intends to maintain its presence in Mexico,
the Caribbean, and Latin America, as well as fly a full schedule to London, Dublin,
and Madrid, and to add a route between New York and Doha, Qatar.
American also won’t bring back flights to Prague and Dubrovnik, Croatia.
The airline will temporarily reduce frequencies to Shanghai, Beijing, and Sydney.
Aviation executives expect trans-Pacific travel demand to be the slowest to return after the
pandemic.
American also plans to add nonstop service between New York’s John F. Kennedy International
Airport and Doha in June.
“We deeply regret the impact to our customers as we work through the process to resume deliveries
of new 787s,” Boeing said in a statement.
“We will take the time needed to ensure conformance to our exacting specifications.
While this has near-term impacts, we are confident this is the right approach to drive stability
and first-time quality across our operations and position the program for the long term.
The FAA didn’t immediately comment.
United Airlines didn’t say how the delays could affect its international flying next
year but said it is working with Boeing “to understand how the delivery delays may affect
our schedule.”
The delivery of new-build B787s has been halted
since May 2021 over quality concerns related to fuselage manufacturing.
Demand for long-distance flights has been slow to recover from the pandemic downturn,
but US carriers have been eyeing summer 2022 as a key moment in the comeback.
The lack of aircraft also will prevent Americans from serving Hong Kong, Dubrovnik, and Prague,
Raja said.
And the airline will "temporarily, but significantly"
scale back service to other Asia-Pacific cities such as Beijing and Sydney, and delay the
launch of travel between Seattle and Bangalore.
Boeing has encountered a series of setbacks with the 787 after halting deliveries in May
following quality issues.
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