American Airlines Resumes Flights After Major Computer Crash

by Christopher Freeburn | April 17, 2013 9:40 am

American Airlines Resumes Flights After Major Computer Crash

American Airlines3 300x199 American Airlines Resumes Flights After Major Computer Crash[1]Thousands of American Airlines (PINK:AAMRQ[2]) passengers were left stranded on Tuesday after the airline was forced to cancel 970 flights due to a nationwide computer system failure[3].

On Wednesday, the airline said it will¬†resume service at close to usual levels. The affected computer system controls passenger tracking, boarding passes and flight schedules. After system outages first appeared on Tuesday morning, the Federal Aviation Administration stepped in, ordering a ground stop of all American Airlines planes that hadn’t yet taken off, the Associated Press noted.

The ground stop resulted in a wave of flight cancellations at both American Airlines and its regional carrier, American Eagle. By Tuesday night, an additional 1,068 flights had been delayed.

Passengers whose trips were delayed by Tuesday’s disruption will have their fares refunded, while those who had to book flights on other carriers will have the difference in ticket prices paid by American.

American Airlines is in the process of merging with US Airways (NYSE:LCC[4]). The combined company will adopt the American name [5]and had been planning to use American’s computer system.

Shares of US Airways slid almost 2% in Wednesday morning trading.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2011/05/American-Airlines3.jpg
  2. AAMRQ: http://studio-5.financialcontent.com/investplace/quote?Symbol=AAMRQ
  3. due to a nationwide computer system failure: http://www.suntimes.com/news/nation/19539496-418/american-airlines-expects-return-to-normal-with-delays-after-tech-meltdown.html
  4. LCC: http://studio-5.financialcontent.com/investplace/quote?Symbol=LCC
  5. combined company will adopt the American name : http://investorplace.com/2013/02/11-billion-merger-to-create-worlds-largest-airline/

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