Read Your Indulgence

American Airlines and US Airways Begin Codeshare Agreement

January 14, 2014

Well, that was quick.

Five weeks after the merger between AMR Corp.’s American Airlines and US Airways Group became official, the carriers announced Monday the codeshare agreement between the two airlines was being implemented in select markets for travel starting Jan. 23.

That was faster than some industry experts thought it would take for the two airlines to being integrating some infrastructure, such as its respective loyalty programs. Frequent Flyer members can accrue miles on both, but can only bank their miles on either American’s AAdvantage or US Airways’ Dividend Miles until 2015, when both programs will merge.

But there’s a method to the madness of getting the codeshare agreement up and running – revenue.
“This codeshare marks another step toward providing more convenient travel choices for customers, including service to more destinations, improved schedule options and a truly global network,” American Airlines president Scott Kirby said in a statement. “Implementing this codeshare so early in the integration process allows us to begin realizing significant revenue synergies, which are estimated to exceed $1 billion annually by 2015.”

According to the press release, the codeshare allows each airline to sell tickets operated by the other carrier using its own code and flight number.

Customers will be able to combine select flights operated by each airline on a single itinerary when booking travel on aa.com, usairways.com, or through other travel distribution channels. In addition, customers connecting on codeshare flights can transfer bags when traveling on an itinerary that includes flights operated by both carriers.

And already, American is sweetening the pot:  American Airlines is  offering 50% more AAdvantage miles when you fly on US Airways 3/2. 

The launch will be rolled out in phases, starting in hub markets for both. The US Airways code will be placed on most American-operated flights between AA’s hubs in Chicago, Dallas/Fort Worth, Los Angeles, Miami and New York’s John F. Kennedy Airport, and US Airways hubs in Charlotte, Philadelphia, Phoenix and Washington, D.C.’s Reagan Airport.

The American code will be placed on most US Airways-operated flights between US Airways’ hubs and American’s hubs.

The American and US Airways codes will also be placed on select international flights operated by the other carrier.

The two airlines expect to finish the codeshare to include all flights “in the coming weeks.”