AMR Corporation is an American Airlines Parent Company based in Fort Worth, Texas, United States. It is also a parent company of American Eagle Airlines.
It was formed in 1982 as a part of American Airlines reorganization and derived its name from American Airline’s ticker symbol on New York Stock Exchange. It is third largest U.S. carrier by traffic.
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On Monday October 4, shares of AMR Corp. (AMR) fell by 33% to $1.98. It is the worst fall since 2003 needing for protection from bankruptcy but as reported by a person close to the issue the company is not going to plan a bankruptcy filing.
The company is planning to invest $4.7 billion on short-term basis in its third quarter according to a September 21 regulatory filing.
As Bloomberg reported,
“American has blamed higher labor costs, as well as benefits that have increased more slowly than expected from business ventures with partners across the Atlantic and Pacific, in part for its failure to return to profit. The airline also has a fleet of older, less fuel-efficient planes that put it at a disadvantage when fuel prices rise.”
According to the company, there are about 88,500 employees by the American and American Eagle.