Mission accomplished at the American Airlines maintenance site in Kansas City.
American has achieved its previously stated goal of generating $150 million in additional value at its local overhaul base, part of AMR Corp.’s program to make its maintenance operations a profitable part of the company.
American management, union officials and rank-and-file employees will discuss how the overhaul base generated $150 million new revenue and cost-savings at a news conference today.
After several years of financial and employment losses in the years after the Sept. 11, 2001, terrorist attacks, American has posted two consecutive years of profits.
The airline also has been recalling employees who were laid off during the tumultuous period earlier this decade, including workers at the Kansas City facility. About 30 mechanics recently returned to work, raising the number of hourly workers there to nearly 850.
As part of its turnaround strategy, American has focused on making its three maintenance facilities –– the others are in Tulsa, Okla., and Fort Worth, Texas –– profit centers for the company by securing third-party work and cutting internal costs.
Nearly two years ago, the airline said it would try to generate $150 million through new outside work and operational efficiencies at the Kansas City base by the end of 2007. Since then, the site has secured contract work from customers such as Air Canada and Alcoa Inc.’s air cargo services unit.
While most major airlines have reduced their maintenance operations and outsourced that work, American has kept nearly 90 percent of all its maintenance work within the company.
American also said Tuesday that installation of broadband Internet service has been completed on 15 Boeing 767 aircraft. That work also was done in Kansas City.
American said the new feature will have to be tested first and certified by the Federal Aviation Administration before it becomes available to the airline’s customers.
Aircell’s Internet broadband service will be available for a fee to all customers aboard American 767s, which generally fly transcontinental routes.
If the inflight Internet access proves successful on the 767s, American said it could eventually offer the service on the rest of its domestic fleet.
American is the third-busiest carrier flying out of Kansas City International Airport with 14 daily departures.
Source: kansascity.com