AA: Distribution Disputes Hurt Q1 Revenue

American Airlines acknowledged its distribution approach diluted revenue during the first three months of 2011, a period in which it briefly pulled out of some channels, litigated with distributors, expanded its Direct Connect strategy and found itself the target of distributor biasing. The revenue impact lessened as the quarter wore on, AA executives claimed, adding that they remain confident the strategy will help it make revenue gains in the long run.