In a blockbuster move, American Airlines and HP agreed to abandon their joint Passenger Service System project for the airline, and American hopes to select a new vendor with an existing reservations system soon.
Will American Airlines’ proposed Jetstream reservations system be a casualty of its bankruptcy filing and will the prime vendor, HP, a $30.8 million creditor in the proceeding, take the brunt of the hit?
HP downsized a contingent of contractors working on its Agilaire Passenger Service Solution and American Airlines’ Jetstream projects, according to sources.
American Airlines struck a deal to use ITA Software’s Inventory Control solution as part of the passenger service system, Jetstream, that HP is building for the airline.
HP finally took the wraps off the branding of the airline reservations system it is developing, calling it the HP Agilaire Passenger Service Solution.
Some five months after American Airlines’ parent company AMR Corp. signed a letter of intent with HP for it to develop a new passenger service system, Jetstream, for the airline, AMR chairman and CEO Gerard Arpey said Jan. 20 that the two parties have yet to sign a definitive agreement.
During AMR Corp.’s conference call about its fourth quarter 2009 earnings, in which the airline recorded a net loss of $344 million, Arpey said that the two parties have held detailed conversations about a definitive agreement, but haven’t “pushed it over the finish line.”
Arpey said AMR Corp. expects to reach a definitive agreement with HP in the “near future.”