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Due to the tremendous effort of our dedicated employees, we have made significant progress toward merging our airlines and restoring American to greatness. We’re on our way to being the airline that customers want to fly, employees want to work for and Wall Street wants to invest in. Although we’re a year closer to our goal, there’s still a lot of work to do. Most critically, the success of our full integration depends on our ability to continue to work collaboratively and deliver on our 5 imperatives:
In the past year, we have made significant improvements in our customers’ experience. With the world’s largest codeshare and as a member of oneworld® – an alliance of the world’s most distinguished airlines – we provide our customers access to an exceptional network, facilitating their travel to destinations worldwide. Meanwhile, the hundreds of new and refurbished planes we put into service last year, with lie-flat seats, wireless access and other amenities, are making our customers’ time in the air more comfortable and productive.
The safety of our customers and our employees is the foundation of all we do, and it provides us with a solid base for achieving industry-leading reliability and dependability. In 2014, we rolled out our “Are You Ready?” campaign, emphasizing the importance of employees anticipating and following through so that flights leave on time, baggage gets to its destination and customer expectations are met.
One of the many benefits of our banner year was our ability to hire 7,300 new employees. We also reached agreements with 24,000 of our flight attendants and 15,000 of our pilots for pay increases of 14 percent and 23 percent respectively. In addition, we recognized employees for exceptional customer service, with nearly $24 million awarded through the Chairman’s Award, the Above & Beyond program and our monthly Triple Play incentive.
Our employees had many opportunities to speak directly with leadership at quarterly State of the Airline meetings, Crew News and Town Halls. And they continued to drive community engagement, supporting our strategic causes of education, human services and military and veterans’ initiatives through their volunteerism and philanthropic contributions.
In 2014, we achieved record-breaking financial results that yielded benefits to investors, employees, customers and communities alike. Shareholders were rewarded with a 113 percent rise in the value of our stock and the first dividend in 35 years.
In addition to producing great returns for investors, we made significant capital investments in our facilities, including the new state-of-the-art 200,000 square-foot Robert W. Baker Integrated Operations Center near Dallas/Fort Worth Airport, scheduled to open in the third quarter of 2015. These projects in turn catalyze greater economic activity in our communities.
As leaders in our industry, we are investing in securing our future success. Our single largest outlay last year—the acquisition of more than 100 new planes—was a quadruple win, for our employees, customers, shareholders and the environment. It enabled us to provide new comforts and amenities for customers and make our fleet more fuel efficient.
Our attention to environmental stewardship extends across our operations. Employees are engaged in reducing fuel use and lowering greenhouse gas emissions via our Fuel Smart program, flight attendants are recycling cans and other materials on board aircraft, and we are integrating high standards of environmental performance and healthfulness into the construction and renovation of our buildings and facilities.
As much as we have achieved, there is always more we can do. We are proud of how far we’ve come and excited by the promising path ahead. Our employees are working hard to return American to being the greatest airline in the world.
Doug Parker, CEO and Chairman
Since our last Corporate Responsibility Report, published in May 2013, we’ve completed the merger of AMR Corporation and US Airlines Group Inc. to form the American Airlines Group. This Corporate Responsibility report reflects the performance and operations of the American Airlines Group for the 2014 calendar year.
From 2007 through 2013, American Airlines used the Global Reporting Initiative (GRI) G3 Guidelines as the basis for our disclosures on environmental, social and governance performance. As part of our commitment to transparency we are transitioning to the GRI’s newest standard, the G4 Guidelines. Standard Disclosures from the GRI G4 Sustainability Reporting Guidelines included in this report are referenced in the GRI Table.
|Revenue category||Amounts in millions USD
(except per-share amounts)
|Total operating revenue||$42,650|
|Income tax expense||$330|
|Basic Earnings||$4.02 per share|
|Cash dividends declared||$0.20 per common share|
|Carrier type||Revenue passenger miles (millions)||Available seat miles (millions)||Passenger load factor (percent)||Departures (thousands)|
|On-time performance1||Completion factor2||Mishandled baggage3||Customer complaints4|
1 Percentage of reported flight operations arriving on time as defined by the DOT
2 Percentage of scheduled flight operations completed
3 Rate of mishandled baggage reports per 1,000 passengers
4 Rate of customer complaints filed with the DOT per 100,000 enplanements
|Carrier type||Jet fuel consumption (millions of gallons)||Direct energy from jet fuel (millions of gigajoules)||Energy intensity* (gigajoules per million RTMs)||Indirect energy from electricity (millions of gigajoules)|
|American Airlines (Mainline)||3,644.4||518.2||26.6||2.9|
|Regional Flying (including wholly owned affiliates and contract flying)||687.6||97.8||43.8||0.1|
|Carrier type||Scope 1 (direct)||Scope 2 (indirect)||Scope 3 (employee commuting and aircraft delivery)||GHG intensity ratio (Scope 1 emissions per 1,000 RTMs)||GHG intensity ratio (Scope 1 emissions per million dollars of revenue)|
|American Airlines (Mainline)||35,142||500||184||1.61||1,109|
|Regional Flying (including wholly owned affiliates and contract flying)||6,621||19||–||2.95||1,047|
|Carrier type||Nitrous oxide (NOx) (metrics tons from landing/take-off cycle)||Sulfur oxide (SOx) (metric tons)||Ozone-Depleting Substances (metric tons)|
|American Airlines (Mainline)||19,567||1,435||29|
|Carrier type||Regulated waste, including hazardous waste and universal waste (tons)||Non-regulated waste for hubs, maintenance and HDQ facilities only (tons)||Recycled materials and waste minimization (tons)|
|American Airlines and Regional Flying||1,161||21,237||4,846|
|Carrier type||Water consumption for major facilities, excluding airports (millions of gallons; from municipal water supplies)|
|American Airlines (Mainline)||467|
|Percent of mainline aircraft certified as or meeting Chapter 3 noise limits||Percent of mainline aircraft certified as or meeting Chapter 4 noise limits|
|Environmental notices of violation||Environmental fines paid (thousands of dollars)|
|Injury Rate (Total recordable cases per 200,000 man hours)||Lost Day Rate|
|Mexico, Caribbean and Latin America (MCLA)||3,867||62%||38%|
|Total of all regions||97,065||42%||58%|
|Maintenance and Related||14,355||5%||95%|
|Management and Professional||9,589||44%||56%|
|Director and above||547||27%||73%|
|Age group||2014 Total||Female||Male|
|Less than 30 years old||7,356||55%||45%|
|From 30–50 years old||39,911||44%||56%|
|More than 50 years old||49,798||39%||61%|
|American Indian/Alaskan Native||705||44%||56%|
|Native Hawaiian/Pacific Islander||319||41%||59%|
|Two or More Races||789||55%||45%|
|Ethnic minority total||29,653||44%||56%|
|Employee category||2014 Total||Female||Male|
Since 2007, we have provided our stakeholders with annual reports of American’s environmental, social and governance priorities and performance. We are proud of our record of transparency, and we encourage readers to review our past reports.