American Airlines, JetBlue plan 'slot moves' at New York JFK and LaGuardia
American Airlines' plan to strengthen its position in the northeast is somewhat counter intuitive: reduce uncompetitive small regional jet flying while adding new long-haul services in conjunction with its new partner JetBlue Airways.
In other words, travelers should not plan on flying an American Eagle Embraer ERJ-140 between New York LaGuardia (LGA) and somewhere like Richmond, Virginia (RIC), in the future. But they can look forward to new nonstop service on an American wide-body jet between New York John F. Kennedy (JFK) and either Athens (ATH) and Tel Aviv (TLV) beginning next year.
"We see a lot of ways that we can work together that may be a little unconventional from traditional codeshares," American chief revenue officer Vasu Raja said on a second quarter earnings call on Thursday.
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American keeps breaking the traditional U.S. airline partnership model this year. It unveiled a renewed and expanded tie up with Alaska Airlines in February and then followed that with a new partnership with JetBlue earlier in July.
The aim of both partnerships is to boost American and its flyers where the airline lags competitors like Delta Air Lines and United Airlines: on the West Coast and in the Northeast.
“We’re really too small to win and too big to exit," Raja said in reference to the Boston and New York markets on Thursday.
Related: American, JetBlue plan new Northeast alliance
While the Alaska and West Coast plans are well underway, American's strategy with JetBlue is just beginning to crystallize. American plans some "slot moves" with JetBlue at JFK and LaGuardia airports, said Raja. That will allow American to eliminate inefficient and unpopular 50-seat regional jets from the New York market and add new long-haul routes.
Raja was scant on details of the possible slot moves, though he did add that JetBlue would "also get to go and expand."
One possibility is American passes some of its slots at LaGuardia — maybe those used for flights on 50-seat jets — to JetBlue, while the latter carrier gives up some at JFK. This could allow JetBlue to add new nonstop flights to places like Nashville (BNA), Pittsburgh (PIT) and Richmond that American currently serves from New York with small jets.
Neither carrier has singled out those cities, but such routes loom as the type would make sense with the potential slot moves mentioned.
Related: American adds Athens, Tel Aviv routes from New York under new JetBlue pact
If such a scenario did play out, the irony would be palpable. JetBlue has tried flying between New York JFK and all three of those airports— Nashville, Pittsburgh and Richmond — in the past only to drop the routes in the face of competition from larger airlines like American.
Now, however, those routes have the potential to work for JetBlue since it could partner with American to sell seats on such flights via their planned codeshare.
JetBlue has proved it is willing to try flying routes outside of its normal wheelhouse during the coronavirus pandemic. For example, it will add new service between Pittsburgh and both Fort Lauderdale (FLL) and West Palm Beach (PBI) this October in an aim to capture more leisure flyers.
Related: JetBlue announces 30 new routes, adds Mint service from Newark
The American-JetBlue pact will also include “new benefits” for frequent flyers and the possibility of “additional premium experiences," according to the airlines. Neither has provided additional details.
Travelers are already seeing this begin to play out between Alaska and American. The airlines have extended frequent flyers full reciprocal mileage earning and American AAdvantage members can also earn elite credit on Alaska flights.
The joint Alaska-American benefits will expand further once Alaska joins the Oneworld alliance, which it hopes to do by the end of the year. Membership will mean “full earn and burn, reciprocal access and everything” on American and other alliance member airlines for Alaska Mileage Plan members, Alaska senior vice president of finance, alliances and treasury Nathaniel Pieper told TPG.
Related: Alaska Airlines will officially be the next Oneworld alliance member
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- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
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| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
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You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
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Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.