Starting from August 10th, Aerolíneas Argentinas has announced plans to discontinue its direct flight services between Buenos Aires and New York.
This change allows the airline to double its Miami and Madrid flights and boost Caribbean service.
It’s a strategic decision to focus on more profitable destinations amid the unpredictable aviation market.
The route to JFK Airport showed significant losses, with about $250,000 lost in just two months and expectations of over $1 million in annual losses.
Passengers affected by this cut can still reach New York through Delta’s codeshare flights.
Those with tickets are being offered alternatives, either direct flights with other carriers or via Miami.
The airline is ensuring smooth communication with passengers and ticket agents. With Aerolíneas Argentinas bowing out, competition narrows down to:
- American Airlines now flies daily with a Boeing 777-200ER, offering 1,911 seats weekly.
- Delta Air Lines also has a daily flight, using the Airbus A330-900neo, which provides 1,967 seats every week.
This move by Aerolíneas Argentinas spotlights the dynamic nature of airline route profitability and the strategic adjustments airlines must make.
It also affects the competitive landscape, potentially leading to better options for passengers through other airlines.
Background – Aerolíneas Cuts NY Flights, Boosts Madrid & Miami
Aerolíneas Argentinas S.A., Argentina’s state-run flagship airline, has recently announced a significant restructuring.
This move involves reducing its directorates by 43%, from 14 to 8, and its direct reports from 17 to 11, as of December 2023.
This restructuring follows the government’s decision to embrace an open skies policy. Outlined in DNU 70/2023 and explore the potential sale of Aerolíneas Argentinas.