American Airlines Group, Inc.

Thank you for standing by and welcome to American Airlines Group's second quarter 2026 earnings conference call. Currently, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1-1 on your telephone. To remove yourself from the queue, you may press star 1-1 again. I would now like to hand the call over to Neil Russell, Vice President, Investor Relations. Please, go ahead.

Thanks, Lateef. Good morning, everyone, and welcome to the American Airlines Earnings Conference Call. On the call with prepared remarks, we have our Chief Executive Officer, Robert Isom, our Chief Commercial Officer, Nat Pieper, and our Chief Financial Officer, Devon May. In addition, we have a number of senior executives in the room this morning for the Q&A session. After our prepared remarks, we will open the call for analyst questions, followed by questions from the media. To get in as many questions as possible, please limit yourself to one question and one follow-up. Before we begin, please note that today's call contains forward-looking statements, including statements concerning future events, costs, forecast of capacity, and fleet plans. These statements represent our predictions and expectations of future events, but numerous risks and uncertainties could cause actual results to differ from those projected. Information about some of these risks and uncertainties can be found in our earnings press release that was issued earlier this morning, Form 10-K for the year ended December 31st, 2025, and subsequent quarterly reports on Form 10-Q. Unless otherwise specified, all references to earnings per share are on an adjusted and diluted basis. Additionally, we will be discussing certain non-GAAP financial measures which exclude the impact of unusual items. A reconciliation of those numbers to the GAAP financial measures is included in the earnings press release and investor presentation, each of which can be found in the investor relations section of our website. A webcast of this call will also be archived on our website. The information we are giving you on the call this morning is as of today's date, and we undertake no obligation to update the information subsequently. Thank you for your interest in American and for joining us this morning. With that, I'll turn the call over to our CEO, Robert Isom.

Thanks, Neil, and good morning, everyone. American delivered a quarter that shows the commercial initiatives we've implemented over the past few years are producing meaningful results. We achieved record quarterly revenue on year-over-year growth of more than 16%. Every entity we serve and every cabin we offer improved meaningfully. This outstanding broad-based revenue performance reflects the strength of our commercial strategy, anchored in four pillars. Elevate the customer experience, grow the global network, drive premium revenue, and lead in loyalty. Executing solidly on that strategy in the second quarter helped offset nearly 50% of the $2.2 billion year-over-year increase in fuel expense. We remain focused on efficiency in the second quarter and held non-fuel year-over-year unit cost growth to under 3%. We've built the airline to succeed in any environment and are pleased to report that we ended the second quarter with over $11 billion in available liquidity. Our revenue results this quarter continue to build on the momentum we've gained over the past few years, with significant progress across each of our four pillars. Being a premium global airline means delivering an outstanding customer experience in the air and on the ground. In the quarter, we announced our delivery enhancements on all fronts in our app, elevated food and beverage offerings, new and retrofitted aircraft, and especially new and refreshed lounges. American continues to lead the industry with the most premium lounges and will further expand our lounge footprint in New York and Dallas-Fort Worth. These enhancements are further supported by stronger operational performance. Regardless of the weather or other challenges, we've implemented numerous operational improvements and equipped our customers with new capabilities to manage through disruptions. Our global network is rooted in having the most comprehensive footprint in North America. And after years of constrained growth, we've regained share in all of our hubs and gateways by reestablishing our presence in Chicago O'Hare, growing in Philadelphia and Phoenix, and flying our largest schedules ever in DFW and Miami. The working customer experience and the return of our network has produced the intended results, winning back high-value customers and setting the stage for premium revenue growth. Premium revenue continues to outpace non-premium, and we've been especially encouraged by our corporate revenue. All that leads to a loyal customer base. The Advantage program is already the industry's largest, and we saw enrollments grow at record rates again in the second quarter. No doubt some of that growth is due to the launch of our new co-brand relationship with Citi and the superior utility that our offerings provide our customers. They clearly like what they're seeing. We believe the macro environment positions American well, not only for the third quarter and the remainder of this year, but also the longer term. The revenue environment remains positive for the industry as demand for air travel remains strong. Consumer spending remains resilient, underpinned by a healthy labor market and a sustained preference for travel relative to other discretionary categories. The price of air travel remains a bargain. Demand is showing up broadly across all cabins, and real airfares are still lower than in 2019. Lastly, the industry capacity setup is constructive for American Airlines. With industry supply and demand in better balance and a strategy that is delivering as promised, we're confident American has the most upside over the longer term. None of the progress we've made in the second quarter would be possible without the efforts of the American Airlines team. And I want to thank each of them for the commitment to excellence that makes American a premium global airline, one that flies more customers every year than any other airline in the world. Looking ahead, we expect demand to remain strong and our commercial execution to keep improving through the back half of the year. Even against an expected nearly $6 billion year-over-year fuel headwind, we anticipate full-year adjusted earnings to be breakeven at the midpoint of our guidance range. We believe our strong revenue momentum on top of an efficient cost base will continue to drive progress over time. and as fuel prices normalize, American is poised to deliver expanded margins, sustain free cash flow, a stronger balance sheet and increase value to our shareholders. I look forward to the back half of 2026 and I'm especially excited for what we see as we look ahead to 2027 and beyond. And with that, I'll turn it over to Nat to walk through the revenue results and the progress we've made across each of our four commercial pillars. Thank you, Robert.