American Airlines Base Case

By Deborah Gage Print this article Print

Forty years ago, the Sabre computer reservation system propelled American Airlines' business to great heights. Today, it could contribute to the company's demise.

American Airlines Base Case

Headquarters: 4333 Amon Carter Blvd., Fort Worth, TX 76155

Phone: (817) 963-1234

Business: Commercial airline

Chief Information Officer: Monte Ford

Financials in 2002: Revenue, $17.3 billion; net loss, $3.5 billion.

Challenge: Cut costs and boost revenue while winning customers back from low-cost carriers.

Baseline Goals:

  • Avoid filing for bankruptcy protection.
  • Cut $4 billion in costs annually.
  • Increase cash on hand from $2 billion, to better cover operating costs during downturn.

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    This article was originally published on 2003-07-01
    Senior Writer
    Based in Silicon Valley, Debbie was a founding member of Ziff Davis Media's Sm@rt Partner, where she developed investigative projects and wrote a column on start-ups. She has covered the high-tech industry since 1994 and has also worked for Minnesota Public Radio, covering state politics. She has written freelance op-ed pieces on public education for the San Jose Mercury News, and has also won several national awards for her work co-producing a documentary. She has a B.A. from Minnesota State University.

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