In an attempt to cut fuel costs, the AMR Corp., (AMR) the parent company of American Airlines will speed delivery of 47 Boeing 737-800 aircraft from an existing purchase commitment made in 1996.
With 300 MD-80's in American Airline's fleet, the gas guzzling MD-80 dominates the majority of their 670 jets. Last year the company faced growing fuel costs after oil hit a record high in the summer. And with oil nearing $66 a barrel today, the price of jetfuel is bound to follow, maybe even spike higher this summer.
"While the MD-80 remains an excellent aircraft that serves us and our customers well, the new 737s will be a great addition to our fleet that will lower our operational costs," said AMR Chief Executive Gerard Arpey.
The Boeing 737-800 will consume 25% less fuel than the MD-80. This would constitute a huge savings for American. This is an excellent move for American. They need to do something to cut fuel costs for the airline. They are going to face some battles in the upcoming years with union groups and increasing operating costs.
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