American Airlines reshuffles leadership team amid lagging profits

American Airlines is shaking up its senior leadership as CEO Robert Isom faces growing pressure to improve the carrier’s financial performance and close the gap with rivals Delta Air Lines and United Airlines.

The changes broaden oversight across American’s commercial and operational teams and bring former Spirit Airlines Chief Operating Officer John Bendoraitis into the company to lead technical operations. 

In a memo to employees, Isom acknowledged a “meaningful gap” between American’s current performance and where he said the airline should be, describing the leadership changes as the first in a series of moves aimed at improving execution and strengthening the company.  

Isom announced that Chief Commercial Officer Nat Pieper will add marketing and branding to his responsibilities, while Chief Customer Officer Heather Garboden will take on reservations and service recovery. 

JC Gulbranson will add oversight of airports and planning. Garboden and Gulbranson will also join American’s senior leadership team. 

Chief Communications Officer Ron DeFeo is stepping down. Caroline Clayton will oversee communications, while Steve Neuman will lead government affairs. Both will join the senior leadership team.  

The changes come as American continues to trail Delta and United on profitability. American expects roughly break-even results for 2026 as higher fuel prices weigh on earnings. Earlier this year, the airline said a sharp increase in jet fuel costs could add more than $4 billion in expenses compared with its previous assumptions. 

American has also been under pressure from its labor unions. The Association of Professional Flight Attendants issued a unanimous vote of no confidence in Isom in February, saying the airline had fallen behind competitors in profitability, operational performance and overall competitiveness. The union has called on Isom to step down. 

The Allied Pilots Association has also questioned whether American’s current management can close the performance gap with Delta and United. APA President Nick Silva recently told pilots that the union had sought a meeting with American’s board to discuss concerns about the company’s future but was rebuffed. He said the union had since spoken with analysts, investors and other stakeholders. 

Despite the criticism, Isom has said American is not changing its overall strategy. He said the airline continues to focus on expanding its global network, increasing premium revenue and strengthening its AAdvantage loyalty program. American has also been investing in premium seating, lounges, onboard connectivity and changes to its hub schedules as it works to improve revenue and operational performance. The post American Airlines reshuffles leadership team amid lagging profits appeared first on AeroTime.

Go to Source