American Air's Changes, Booking CEO's Pay and Viking's Earnings
Skift Take
Key Points
- American Airlines CEO Robert Isom discussed the company's struggles and the departure of Chief Commercial Officer Vasu Raja.
- Booking Holdings CEO Glenn Fogel was the highest-paid travel CEO in 2023 with a $46.7 million pay package.
- Viking Cruises' first earnings report since going public showed strong advance bookings and an optimistic future outlook.
Summary
American Airlines CEO Robert Isom acknowledged the company's recent struggles and the need for a reset, leading to the departure of Chief Commercial Officer Vasu Raja. Meanwhile, Glenn Fogel, CEO of Booking Holdings, emerged as the highest-paid travel CEO in 2023 with a total pay package of $46.7 million. Finally, Viking Cruises issued its first earnings report since going public, highlighting strong advance bookings and a positive outlook for the future.
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Episode Notes
American Airlines CEO Robert Isom has paid tribute to outgoing Chief Commercial Officer Vasu Raja. But Isom has indicated it was time for Raja to go amid American’s struggles, reports Airlines Editor Gordon Smith.
Isom admitted at a conference on Wednesday that American has dug itself a hole during the second quarter, with the company’s financial outlook having been downgraded. While praising Raja’s creative thinking and passion, Isom acknowledged that American needed a reset. The company has underperformed compared to rivals Delta and United across multiple key metrics, including operating margin — an important measure of profitability.
Next, Glenn Fogel, CEO of both Booking Holdings and Booking.com, was the highest-paid travel CEO in 2023, reports Executive Editor Dennis Schaal.
Fogel received a total pay package of $46.7 million last year, according to the Wall Street Journal. Delta Airlines CEO Ed Bastian came in second among travel CEOs, with a pay package of $34.2 million. The Wall Street Journal also scored each S&P 500 company’s total shareholder return versus its industry, with Booking Holdings and Delta among the four travel companies that got a top score.
Finally, luxury cruise line Viking has issued its first earnings report since going public earlier this month. Senior Hospitality Reporter Sean O’Neill lists several takeaways from its quarterly earnings.
O’Neill notes Viking presented a generally upbeat report. The company, which largely targets affluent, English-speaking travelers over the age of 55, said it’s sold 91% of its possible passenger cruise days this season.
In addition, Viking executives said they’ve sold $2.5 billion in advance bookings so far for the 2025 season.
Photo Credit: American Airlines CEO Robert Isom speaking on stage at Skift Aviation Forum in Fort Worth, TX, November 2023. Skift
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