When was american airlines founded




















Like many early carriers, American earned its keep carrying US Mail. In , American Airways Company was acquired by E. Cord, who renamed it "American Air Lines". Cord hired Texas businessman C.

Cyrus Rowlett Smith to run the company. Smith worked with Donald Douglas to develop the DC-3, which American Airlines was the first carrier to fly, beginning in American's introduction of the DC-3 made it the first airline to be able to operate a route that could earn a profit solely by transporting passengers; other carriers still could not earn a profit without carrying US Mail.

The DC-3s had a four-star "admiral's pennant" outside the cockpit window while the aircraft was parked, one of the most well-known images of the airline at the time. Membership was initially by invitation only, but a discrimination suit decades later changed the club into a paid club, creating the model for other airline lounges. AOA was sold to Pan Am in American Airlines provided advertising and free usage of its aircraft in the film Three Guys Named Mike. American Airlines was under pressure to enter the jet age so they orderd British-built De Havilland Comets.

The orders were cancelled when the Comets were discovered to suffer serious metal fatigue. American Airlines introduced transcontinental jet service with Boeing s on January 25, With its s American shifted to nonstop coast-to-coast flights, although it maintained feeder connections to cities along its old route using smaller Convair s and Lockheed Electras. Vignelli attributes the introduction of his firm to American Airlines to Henry Dreyfuss, the legendary AA design consultant.

The logo was in use until January 17, By September , American Airlines was offering its first long-haul international flights from St. On March 30, , American became the first major airline to employ a female pilot when Bonnie Tiburzi was hired to fly Boeing s. American Airlines has been innovative in other aspects, initiating several of the industry's major competitive developments including computer reservations systems, frequent flyer loyalty programs and two-tier wage scales.

In the late s American opened three hubs for north-south traffic. Nashville was also a hub. Lower fuel prices and a favorable business climate led to higher profits in the s. The industry's expansion was not lost on pilots who on February 17, went on strike for higher wages. Midway went out of business in American purchased Reno Air in February and integrated its operations on August 31, , but did not resume hub operations in San Jose.

American discontinued most of Reno Air's routes, and sold most of the Reno Air aircraft, as they had with Air California 12 years earlier. During this time concern over airline bankruptcies and falling stock prices brought a warning from American's CEO Robert Crandall. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work.

But airlines are not an investment. Most of them promptly exited, minus their money", he said. Through the s, American expanded its network in Latin America to become the dominant U. On October 15, , American Airlines became the first airline to offer electronic ticketing in the 44 countries it serves. Robert Crandall left in and was replaced by Donald J.

Carty, who negotiated the purchase of the near bankrupt Trans World Airlines it would file for its third bankruptcy as part of the purchase agreement [ 18 ] and its hub in St. Louis in April American Airlines began losing money in the economic downturn that followed the September 11, , attacks in which two of its planes were destroyed.

Carty negotiated wage and benefit agreements with the unions but resigned after union leaders discovered he was planning to award executive compensation packages at the same time. This undermined AA's attempts to increase trust with its workforce and to increase its productivity. Louis hub was also downsized. AA has undergone additional cost-cutting, including rolling back its "More Room Throughout Coach" program which eliminated several rows of seats on certain aircraft , ending three-class service on many international flights, and standardizing its fleet at each hub see below.

However, the airline also expanded into new markets, including Ireland, India and mainland China. AA was a strong backer of the Wright Amendment, which regulated commercial airline operations at Love Field in Dallas.

On June 15, , American agreed with Southwest Airlines and the cities of Dallas and Fort Worth to seek repeal of the Wright Amendment on condition that Love Field remained a domestic airport and its gate capacity be limited. Repairs on Boeing s will be made in Tulsa, Oklahoma, and some maintenance will move there as well; one, possibly two, Boeing repair lines will be retained at Kansas City International Airport.

The narrow-body repair hangar will be shut. The city's aviation department offered to upgrade repair facilities on condition that the airline maintain at least jobs. On October 28, , American notified its employees that it would close its Kansas City maintenance base in September , and would also close or make cutbacks at five smaller maintenance stations, resulting in the loss of up to jobs.

American Airlines has had repeated run-ins with the FAA regarding maintenance of its MD fleet the company is the single largest operator of the craft ; the costs associated with operating these jets has affected American's bottom line. American Airlines canceled 1, flights to inspect wire bundles over three days in April to make sure they complied with government safety regulations. American has begun the process of replacing its older MD jets with Boeing s.

The newer MDs will continue to serve until the recently ordered Airbus As, As and Boeing s are delivered. Repair issues included such items as faulty emergency slides, improper engine coatings, incorrectly drilled holes and other examples of shoddy workmanship.

The most serious alleged lapse is a failure to repair cracks to pressure bulkheads; the rupture of a bulkhead could lead to cabin depressurization. It is also alleged that the airline retired one airplane in order to hide it from FAA inspectors.

On September 12, , American Airlines' parent company, AMR Corporation announced that they were looking into buying some of the financially struggling Japan Airlines. On October 21, , Gerard Arpey, the CEO of American Airlines, said the airline and its Oneworld alliance of global airlines remains committed to a partnership with Japan Airlines, as long as the carrier remains a major international carrier.

On February 9, , Japan Airlines officially announced that it would strengthen its relationship with American Airlines and Oneworld. On January 11, , both JAL and American Airlines announced that they would start their joint-venture operation starting April 1, In early July , it was reported that American Airlines was trying to find buyers for its regional airline American Eagle.

Less than a week after American's transatlantic joint venture was launched, the DOT gave preliminary approval to American's new transpacific joint venture with Japan Airlines on October 7, [ 40 ] Japan gave final approval to the venture later that month. In July , American announced capacity cuts due to the grounding of several aircraft associated with its bankruptcy and lack of pilots due to retirements.

American's regional airline, American Eagle, will retire 35 to 40 regional jets as well as its Saab turboprop fleet. As of Summer , American's unions are looking to merge with another airline.

On September 18, , the airline announced it has notified more than 11, workers of possible job loss as part of its bankruptcy reorganization. They also said it is cutting flights by one to two percent for the rest of September and October Company spokesman Bruce Hicks said about 1, of the new hires would replace retiring pilots, or jobs that open up due to attrition.

American has about 7, active pilots today. The new livery was introduced on the Boeing The idea of modernizing American's brand image and logo came to fruition soon after the airline placed the largest aircraft order in aviation history.

On February 14, , American Airlines and US Airways Group officially announced that the two companies would merge to form the largest airline in the world. The combined airline will carry the American Airlines name and branding, while US Airways' management team, including CEO Doug Parker, will retain most operational management positions. The headquarters for the new airline will be consolidated at American's current headquarters in Fort Worth, Texas.

In , Massimo Vignelli designed the famous AA logo. This included a new logo replacing the classic logo. American Airlines calls the new logo the "Flight Symbol", incorporating the eagle, star, and "A" of the classic logo.

American's early liveries varied widely, but a common livery was adopted in the s, featuring an eagle painted on the fuselage. The eagle became a symbol of the company and inspired the name of American Eagle Airlines. With dozens of companies of different shapes and sizes around the nation, a change was needed. Therefore, the business launched American Airways on January 25th, This formation would also have operating subsidiaries under it, making operations easier to handle. Stay informed: Sign up for our daily and weekly aviation news digests.

In February , Franklin D. Roosevelt ordered the cancellation of all airmail contracts and requested The War Department to help with these jobs. This move would prove to be a disaster as the national mail service was approximately halved, and over 60 accidents occurred in just five months. So, in response, the Air Mail Act was implemented in June Lindbergh letters, advertising, and more.

Online resources include aircraft fleet lists; timelines; employee first-hand accounts of special events; galleries of audio, video, photos and ads; and links to related Pan Am sites.

Airline Timetable Images : Pan Am timetables both covers-only and complete issues and baggage labels Everything Pan Am : Images, dates and other information about Pan Am collectibles, including an extensive catering section. Pan Am Clippers : Flying boat history, merchandise and directory of related Pan Am history and aircraft sites. National Sundowners : National Airlines employee memories and memorabilia from the airlines' founding in to the merger with Pan Am in Davies, Includes Pan Am aircraft photos, route maps and fleet lists.

Setting aside his natural entrepreneurial energies, he ended up as an accountant for a tiny airline in the embryonic airline industry. Few passengers risked flying. Carrying airmail for the Post Office was viewed as the only way to make money in the airline business.

When CR retired thirty-four years later, in the jet age, he and the company he devoted his life to had led the way in safety, service, marketing, and aircraft innovation. Here is the story of this remarkable man and his beloved company. He was followed by four sisters and two brothers. Minnie, however, was not without ambition. She became a school teacher and active in politics, leading to acquaintances with people in high places—a tradition her son later perfected.

By taking in boarders, enduring and scrimping, she made sure that all seven of her children received at least some college education. As the oldest man in the family, nine-year-old CR took a two-dollar-a-week job as an office boy for cattle baron C. Later, as the chief of a major corporation, CR was also known to keep his boots up on his desk.

And the life, lore, and art of the Old West remained a lifelong passion. The Smith family moved to Whitney, Texas, where CR held a variety of odd jobs, including manual labor.

When he was just sixteen, he was hired as a bookkeeper and teller for the First National Bank of Whitney at thirty dollars a month. A year later, he moved to Hillsboro, Texas, for higher pay at a cotton mill.

Despite never earning a high school diploma, CR was admitted on a probationary basis to the business school at the University of Texas in Austin now the McCombs School of Business, renowned for its accounting program.

He earned good grades and was president of his Junior Class. But he was also entrepreneurial. He copied the names and addresses of new parents, selling the lists to makers of baby products.

Simultaneously, he took a part-time job as an examiner for the Federal Reserve Bank. With his diverse experience, CR was quickly hired as a junior accountant in the Dallas office of the large accounting firm of Peat, Marwick, Mitchell, and Company. His skill, quick mind, and tireless efforts, however, soon led him to be assigned to some of the most diverse accounts: cigar factories, movie theaters, oil companies, and insurance companies.

He then was promoted to senior accountant, specializing in the highly complex public utilities industry. Barrett, who headed the Texas—Louisiana Power Company. Barrett hired him as assistant treasurer of the electric utility in Barrett also controlled the small Texas Air Transport, one of dozens of tiny airline startups around the United States. In , Barrett asked his young accountant to take over the books for his airline business and watch over operations.

But Barrett persisted, telling Smith to give it a try, and that he could return to the utility business if he did not like it. His pilot boss did not learn accounting, and soon found himself reporting to Smith instead of the other way around. To call the airline industry immature at that time would be an understatement. The St. Petersburg—Tampa Airboat line lasted four months, one winter tourist season.

At the time, not only were airplanes considered unsafe, but their average speed including refueling stops was about 75 mph, not much faster than express trains. Airfields only gradually added lights to allow night flying. So it was not until the early- and mids that any serious progress was made toward regular air service. Small airlines and flying schools were scattered around the country. Many were funded by wealthy young men seeking thrills, in both travel and finance.

Early backers included members of the Guggenheim, Whitney, and Rockefeller families. By the late s, the future of aviation was attracting Wall Street, not unlike the more recent infatuations with investments in the internet and marijuana.

Investors wanted in on the ground floor, and bought companies that flew airplanes, taught pilots, made airplanes and parts, and operated airfields. Among the first to act was Clement Keys, who in at the age of twenty-seven had become the railroad editor of the Wall Street Journal. Even the most powerful companies got interested in aviation: General Motors bought a controlling interest in North American in the s and Ford produced the famous tri-motor aircraft. While North American and United from the beginning aimed for a coast-to-coast system of airmail lines, AVCO was formed around a gaggle of small airlines whose routes did not even touch each other.

They included airlines with the ambitious names Transamerican and Universal. In the next few years, AVCO acquired enough airlines to piece together a coast-to-coast route, but to fly west from New York passengers first had to fly north to Albany, then south to Nashville before proceeding west to Dallas and Los Angeles.



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