PROJECT MANAGEMENT AND

ENTREPRENEURSHIP(HSMC-701)

NAME:-SIDDHARTH KUMAR
UNIVERSITY ROLL:-20600118048
INNOVATION OF AMERICAN AIRLINES

On April 15, 1926, Charles Lindbergh flew the first American Airlines flight – carrying U.S. mail from St. Louis, Missouri, to
Chicago, Illinois. After 8 years of mail routes, the airline began to form into what it is today.
American Airlines was started in 1930 via a union of more than eighty small airlines. The two organizations from which
American Airlines was originated were Robertson Aircraft Corporation and Colonial Air Transport. The former was first
created in Missouri in 1921, with both being merged in 1929 into holding company The Aviation Corporation. This, in turn,
was made in 1930 into an operating company and rebranded as American Airways. In 1934, when new laws and attrition of
mail contracts forced many airlines to reorganize, the corporation redid its routes into a connected system and was renamed
American Airlines. Between 1970 and 2000, the company grew into being an international carrier, purchasing Trans World
Airlines in 2001.
American had a direct role in the development of the DC-3, which resulted from a marathon telephone call from American
Airlines CEO C. R. Smith to Douglas Aircraft Company founder Donald Wills Douglas Sr., when Smith persuaded a reluctant
Douglas to design a sleeper aircraft based on the DC-2 to replace American's Curtiss Condor II biplanes. (The existing DC-2's
cabin was 66 inches (1.7 m) wide, too narrow for side-by-side berths.) Douglas agreed to go ahead with development only
after Smith informed him of American's intention to purchase 20 aircraft. The prototype DST (Douglas Sleeper Transport)
first flew on December 17, 1935, (the 32nd anniversary of the Wright Brothers' flight at Kitty Hawk). Its cabin was 92 in
(2.3 m) wide, and a version with 21 seats instead of the 14–16 sleeping berths of the DST was given the designation DC-3.
There was no prototype DC-3; the first DC-3 built followed seven DSTs off the production line and was delivered to American
Airlines.American Airlines inaugurated passenger service on June 26, 1936, with simultaneous flights from Newark, New
Jersey, and Chicago, Illinois.
American also had a direct role in the development of the DC-10, which
resulted from a specification from American Airlines to manufacturers in
1966 to offer a widebody aircraft that was smaller than the Boeing 747,
but capable of flying similar long-range routes from airports with shorter
runways. McDonnell Douglas responded with the DC-10 trijet shortly
after the two companies' merger. On February 19, 1968, the president of
American Airlines, George A. Spater, and James S. McDonnell of
McDonnell Douglas announced American's intention to acquire the DC-
10. American Airlines ordered 25 DC-10s in its first order. The DC-10
made its first flight on August 29, 1970, and received its type certificate
from the FAA on July 29, 1971.On August 5, 1971, the DC-10 entered
commercial service with American Airlines on a round trip flight
between Los Angeles and Chicago.
In 2011, due to a downturn in the airline industry, American Airlines'
parent company AMR Corporation filed for bankruptcy protection. In
2013, American Airlines merged with US Airways but kept the American
Airlines name, as it was the better-recognized brand internationally; the
combination of the two airlines resulted in the creation of the largest
airline in the United States, and ultimately the world.
ENTERPRENEURSHIP OF AMERICAN AIRLINES
American Airlines Group Inc. (AAL) provides air transport services for passengers and cargo. Its wholly
owned subsidiary American Airlines Inc. is a global network air carrier. The company also provides
regional service through American Eagle, whose operations include Envoy Aviation Group Inc., PSA
Airlines Inc., and Piedmont Airlines Inc., as well as third-party carriers.
In January, American Airlines announced financial results for Q4 of its 2021 fiscal year (FY), the three-
month period ended Dec. 31, 2021. The company posted a net loss of $931 million, an improvement
from the net loss of $2.2 billion in the year-ago quarter. Revenue for the quarter rose 134.1% year-
over-year (YOY) to $9.4 billion.
The airline carrier's business has been severely adversely impacted by the collapse in travel demand
triggered by the COVID-19 pandemic and related travel restrictions. Vaccine rollouts and the relaxation
of restrictions have helped travel demand to begin to rise again. Even as American Airlines' revenue
recovers, however, it is still at about 83% of the level it was in 2019, before the pandemic.

American Airlines' Recent Developments

On Dec. 14, 2021, American Airlines announced the nine-person senior leadership team that will
report to Robert Isom when he becomes chief executive officer (CEO) on March 31, 2022. Isom is
currently president of the company. Several changes were made to the senior team, including the
addition of Priya Aiyar as senior vice president of corporate affairs and chief legal officer, and David
Seymour as senior vice president and chief operating officer (COO).10
On Dec. 7, 2021, the company announced that CEO Doug Parker would be retiring on March 31, 2022.
As noted above, President Robert Isom will replace Parker, who is expected to continue to serve as
chairman of the company's board of directors.
American Airlines operates as a single business segment, maintaining a fleet of hundreds of aircraft
that transport both passengers and cargo globally.Even though American Airlines has just one
reportable segment, it breaks down revenue figures by passenger, cargo, and other revenue. We
describe these revenue streams in detail below. American Airlines provides only a single net
income/loss figure for the entire company.