CNBC sat down with American Airlines CEO Robert Isom this week to discuss the carrier’s strategic direction.
Despite running the largest network of any of the Big Three US carriers, financially American trials Delta and United. The oneworld airline operates 2.37 milion flights a year, well ahead of the 1.8 million each of its competitors run. Yet its profit margins remain thin: United made US$3 billion more, and Delta $5 billion more than American in 2025.
These are significant gaps to close. American is pushing on with a premiumisation strategy which aims to attract high-spending customers and extract greater revenue on every flight. The airline recently announced it would be adding high-speed Starlink-powered WiFi from 2027, while aircraft interiors are being remodelled to give greater focus to premium seating.
Additionally, the launch of the narrowbody A321XLR aims to expand American’s network while also providing luxury long-haul service. A new state-of-the-art lounge at American’s flagship Dallas-Fort Worth hub will act as a further differentiator.
Isom used the interview to dismiss a suggestion floated earlier this year by rival CEO Scott Kirby: a merger between American and United. He told CNBC:
Given history, given law, given past mergers, there wasn’t anyone that we talked to, our advisors, interested parties, politicians, that said that there was any chance of this happening. At the end of the day, we spend time looking at things that have a chance of happening. We don’t spend a lot of time pursuing impossibilities.
His attempts to spearhead a new way forward for American remain impeded somewhat by labour disputes with the airline’s unions, and a debt load that sits at US$35 billion. Isom says he has ‘never been deterred’ by the challenges of the aviation industry and remains focused on delivering further improvements.
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