American Airlines said it will partner with smaller competitor JetBlue Thursday, creating more connections in the Northeast while it tries to claw back from the COVID-19 pandemic.

Fort Worth-based American, which Wednesday said is trying to shed 25,000 jobs by Oct. 1, announced the codeshare and loyalty benefits with New York-based JetBlue. American also said it will strengthen its international network out of JFK International Airport, adding flights to Athens and Tel Aviv and restarting flights Rio de Janerio.

It’s the second such deal that American has made with smaller competitors after inking a deal earlier this year with Seattle-based Alaska Airlines that gives American a stronger presence in the Northwest and resulted in a new route between Seattle and Bangalore. The Bangalore route has been delayed because of the COVID-19 pandemic.

The new deal with JetBlue comes as American Airlines prepares for a new reality as a smaller airline in the coming months. Airline passenger traffic is still less than 30% of historical norms and flying the fall is expected to be down at least 30%.

American’s partnership with JetBlue also gives American connections into New York for lucrative international routes, at least when those international routes return from the COVID-19 pandemic, said Henry Harteveldt, a travel analyst with Atmosphere Research.

JetBlue has its strongest presence in New York and Boston, and American Airlines has been reducing its presence in New York in recent years, said Scott Mayerowitz, executive editorial director at The Points Guy.

“The global pandemic has upended the airline industry and carriers are doing everything possible to find new ways to survive — including teaming up with once-unlikely partners,” Mayerowitz said. “American Airlines has been pulling back on New York flights for years. This partnership will allow it to become a more-powerful player in the country’s economic center.”

It’s true that a partnership like this might not have seemed likely in better economic times, when growing JetBlue

American and other airlines have begun issuing layoff notices to employees around the country in recent weeks, and carriers will undoubtedly be flying fewer routes and lighter schedules than in recent years.

“This is an incredible opportunity for both of our airlines,” said a statement from American Airlines President Robert Isom. “American has a strong history in the Northeast, and we’re proud to partner with JetBlue as the latest chapter in that long history.”

The deal will allow American Airlines and JetBlue to connect customers on one another’s airlines and book those flights through their own sales portals.

JetBlue has had to cut back too during the COVID-19 pandemic and has been trying to get it’s 22,000 employees to take buyout and leave packages, along with contract concessions to avoid layoffs.

“Pairing JetBlue’s domestic network with American’s international route map creates a new competitive choice in the Northeast, where customers are longing for an alternative to the dominant network carriers,” said a statement from Joanna Geraghty, President and Chief Operating Officer, JetBlue. “This partnership with American is the next step in our plan to accelerate our coronavirus recovery, get our crewmembers and our aircraft flying again, and fuel JetBlue’s growth into the future.”

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