In a recent development, American Airlines announced a significant reduction in its sales outlook, along with the departure of its Chief Commercial Officer (CCO), Vasu Raja, next month. The airline expects unit revenues to decline by as much as 6% in the second quarter compared to the previous year, citing increased competition from rivals, Delta and United.

Previously, American Airlines had forecasted a decline of no more than 3% in unit revenues for the same period. With the revised forecast, the carrier also adjusted its earnings estimate for the second quarter to a projected range of $1 to $1.15 per share, down from the previous range of $1.15 to $1.45 per share.

The airline's performance has trailed behind Delta and United in recent months. While American Airlines faces challenges in maintaining its financial performance, United Airlines reiterated its expectation of earning an adjusted $3.75 to $4.25 per share in the second quarter.

Executives from both American and United are scheduled to present at a Bernstein conference on Wednesday morning, providing further insights into their strategies to boost revenues in the competitive airline industry.

The departure of Vasu Raja, who has served as the Chief Commercial Officer for just over two years, comes as a surprise to many. Raja had been on leave recently, and the carrier's spokeswoman had previously stated that he was not leaving the company. However, internal discussions in the past few days led to a change of plans. Raja had previously held the position of Chief Revenue Officer and was responsible for overseeing American's network and alliances departments.

As of now, American Airlines has not provided any information regarding the reason for Raja's departure. Efforts to reach Raja for comment were unsuccessful at the time of writing.

This recent development marks a challenging period for American Airlines, as it faces intensifying competition and adjusts its financial outlook. The airline industry continues to navigate through uncertainties caused by the ongoing crisis, leading to fluctuations in revenues and adjustments in business strategies.