American Airlines Cuts 2026 Profit Guidance on High Jet Fuel Prices

Key Points

• American Airlines cut its 2026 profit guidance due to high jet fuel prices, forecasting a possible net loss.
• The airline is in early talks with Alaska Airlines about a revenue-sharing partnership to expand reach and offset costs.
• Despite speculation, American Airlines denied any merger talks with United Airlines, and President Trump opposed the idea.

Summary

American Airlines has reduced its 2026 profit outlook, citing a significant increase in jet fuel prices that could add $4 billion in expenses. The airline suffered a first-quarter net loss and is seeking ways to offset these challenges, including exploring a potential revenue-sharing partnership with Alaska Airlines. While merger rumors with United Airlines circulated, American has denied any such talks, and President Trump has publicly opposed a merger between the two carriers.