Gogo Inc Shares Jump; American Airlines To Expand Gogo Wireless Service

Gogo Inc.

traded sharply higher after a key customer said it will install Gogo's wireless service on nearly 250 regional aircraft. American Airlines Group Inc.

said it will add the service by 2016. American currently has Gogo's air-to-ground wireless service available on 850 of its aircraft. American didn't disclose terms for the new business with Gogo. Gogo, which didn't comment on American's announcement, as of earlier this year offered its service on 2,032 of the roughly 4,000 commercial mainline and regional aircraft in North America. Gogo traded recently at $16.27 a share, up more than 7 percent.