AMR announces capacity cuts, plane retirements for American Airlines

AMR has announced plans to cut overall capacity at American Airlines for the rest of 2011 by 3% compared with January projections. "While our advance bookings are generally in line with last year, we are taking these additional steps in light of the uncertain economic environment, ongoing high fuel costs and to ensure we run a reliable schedule for our customers given additional pilot retirements we anticipate throughout the fourth quarter," said Virasb Vahidi, American's chief commercial officer. The airline will also be retiring up to 11 Boeing 757 aircraft in 2012, to be replaced by 460 new aircraft purchased in July.

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