United Airlines (NYSE: UAL) CEO Scott Kirby has argued that American Airlines (NYSE: AAL) is losing around $800 million per year at Chicago O'Hare International Airport (ORD). He pointed the finger directly at American for adding around 100 new flights at the facility while United did nothing in response, yet still recorded airport margin growth and strong numbers at the airport. Kirby certainly believes that United's growth is centered around expanding brand loyalty across all patterns of service.

We see Kirby's $800 million figure as exaggerated, a reflection of the increasingly strained relations between the two carriers. We did not hear any quantitative evidence or methodology from the United chief executive that supported this claim, and we have yet to see any other coverage t

See Full Page