American Airlines to offer 'premium economy' seats

DALLAS -- American Airlines says it will start selling "premium economy" service on international flights, with leather seats, entertainment systems and meals.

See Full Article

The seats will cost more than coach but less than business class, although American isn't stating prices.

American, the world's largest airline, said Wednesday that it will launch the service late next year with 21 seats on some planes. It seeks to stand out from U.S. rivals and compete with foreign airlines that already offer premium-economy seating.

American says customers will get wider seats -- they won't lie flat like those in business class -- a personal entertainment system, meal service, alcohol, and priority check-in and boarding. They will be a step up from American's Main Cabin Extra seats, which are economy seats with more legroom. They will be walled off from both business class ahead and the main cabin behind.

"We had a large set of customers that wanted something that was greater than the main-cabin experience but not all the way to business class," Andrew Nocella, American's chief marketing officer, said in an interview.

Nocella declined to give prices but said fares might be similar to those charged by American's partners, British Airways and Japan Airlines, for similar seats.

On a half-dozen randomly selected January round trips between New York and London, BA this week was often charging more than $1,500 for premium economy, between $700 and $800 for the cheapest coach seats, and about $5,700 for business class.

American will begin premium economy service in late 2016 when it begins receiving Boeing 787-9 jets that won't have a first-class cabin. The service will expand to Airbus A350s that arrive in 2017, and American plans to retrofit other wide-body planes including the Boeing 777 fleet by 2018.



Advertisements

Latest Economic News

  • OMERS retirement fund improves investment return in 2016 to 10.3 per cent

    Economic CTV News
    TORONTO -- The OMERS pension fund for nearly half a million public sector workers in Ontario says it achieved a 10.3 per cent net investment return in 2016 -- the highest in several years. The Toronto-based fund manager says its net assets rose by $8.1 billion to $85.2 billion at the end of 2016, making OMERS one of Canada's largest retirement funds. Source
  • 20% higher gas prices push up cost of living to 2.1% pace in January

    Economic CBC News
    The cost of living in Canada rose by 2.1 per cent in the year up to January, a sharp increase from the pace in December. Statistics Canada reported Friday that the annual inflation rate rose to 2.1 per cent last month, from 1.5 per cent. Source
  • Inflation rate in January fuelled by gas prices

    Economic CTV News
    OTTAWA -- A surge in gasoline prices helped push Canada's annual inflation rate well beyond expectations in January to 2.1 per cent -- an increase that coincided with the implementation of new carbon-pricing policies in Ontario and Alberta. Source
  • London takes title of world's most innovative city

    Economic CTV News
    A new ranking has named London the world's most innovative city, after analyzing cities on their potential for creation and implementation of new ideas. In the 10th edition of Melbourne-based outfit 2thinknow's "Innovation Cities Index 2016-2017," the British capital outperformed 500 cities on the list for the second year in a row. Source
  • Toronto makes top 10 list of world's most innovative cities

    Economic CTV News
    Canada’s most populous city has been named one of the top 10 most innovative cities in the world, in a global ranking released on Friday. Toronto placed eighth out of 500 cities for in the 10th annual “Innovation Cities Index” by the Melbourne-based consultancy company 2thinknow. Source
  • Doubts grow over stock market's Trump-inspired surge

    Economic CTV News
    NEW YORK -- How much more can the "Trump Bump" lift the stock market? U.S. stocks have screamed to records since Election Day because investors are expecting Donald Trump's White House to cut taxes for business, make regulations easier for them and goose more growth out of the economy. Source
  • Royal Bank's 1st-quarter profit jumps 24% to $3.03B

    Economic CBC News
    Royal Bank of Canada said Friday its first-quarter net income rose 24 per cent to $3.03 billion. That's compared to the $2.45 billion of net income that RBC reported during the first quarter of last year. Source
  • MacDonald, Detwiller to buy satellite imaging company in $4.7B deal

    Economic CTV News
    VANCOUVER -- Canada's leader in space technology, MacDonald, Dettwiler and Associates Ltd. (TSX:MDA), will buy Colorado-based DigitalGlobe, Inc. in a friendly deal valued at about $4.7 billion (US$3.6 billion), including debt. Vancouver-based MDA -- which has supplied robotics for the International Space Station, the Canadarm for the U.S. Source
  • RBC grows first-quarter profit to $3.03 billion

    Economic CTV News
    TORONTO - Royal Bank of Canada (TSX:RBC) boosted its first-quarter net income by 24 per cent to $3.03 billion. That's compared to the $2.45 billion of net income that RBC had during the first quarter of last year. Source
  • Social media savagery: Why fast-food companies are using snark to stand out

    Economic CTV News
    As fast food companies work to gain customers, they're joining a growing trend of companies offering snarky responses to customer interactions. Dubbed "social media savagery," the phenomenon allows faceless corporations to show a more personal side to customers and make their brand stand out. Source