Print from Airliners.net discussion forum
http://www.airliners.net/aviation-forums/general_aviation/read.main/5591334/

Topic: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2012-10-19 11:35:21 and read 27365 times.

A report out today from the WSJ details ongoing machinations in negotiations with the various creditors, stakeholders and constituencies surrounding AMR's emergence from bankruptcy. Lots going on behind the scenes - as one would expect.

The article refers to a letter sent to Horton by the heads of two hedge funds, both with large holdings of AMR debt. One, Appaloosa, is also a large holder of USAirways debt - although that holding is smaller than in AMR, and they are seen right now as open to either a merger or non-merger scenario if convinced one way or another. The article is not entirely clear on how or why AMR is not engaging sufficiently to the satisfaction of these two debtholders, as it hints that these two particular debtholders may have been less active in discussions of their own choice. Nonetheless, these two creditors seem to have their own ideas as to why.

The primary complaint of these two hedge funds is - apparently - that they believe AMR management is negotiating with a particular subset of creditors, particularly an ad hoc bondholders committee, to the apparent (whether intentional or unintentional) exclusion of others. They believe it is because the ad hoc bondholders committee appears more favorable to AMR's standalone plan. The letter reportedly alludes to a common refrain that nobody would find surprising - that AMR management is only begrudgingly dealing with Parker and still wants to steer AMR towards an independent emergence from Chapter 11. This will no doubt add fuel to that fire.

Perhaps most tellingly, if this article is to be believed - Horton has managed to convince - at least up until now - a subset of bondholders that have "offered to provide between $1 billion and $2 billion to finance American's exit from bankruptcy as an independent airline."

Hmmm ...

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: Revelation
Posted 2012-10-19 11:53:52 and read 27349 times.

Some coverage of the above is at

http://www.bloomberg.com/news/2012-1...nds-over-talks-with-creditors.html

It'll be interesting to see if the Appaloosa/Marathon group can prove these things in a court and sue for damages.

Seems by going public they'd rather see AA's behavior change sooner rather than later.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2012-10-19 12:41:29 and read 27267 times.

Quoting Revelation (Reply 1):
It'll be interesting to see if the Appaloosa/Marathon group can prove these things in a court and sue for damages.

Seems by going public they'd rather see AA's behavior change sooner rather than later.

Yep, or if these two particular creditors are simply using this as leverage to try and get a better deal - which is also possible. Should be interesting to see how this develops, and to see - over the coming weeks and months - if and/or how AMR management is able to win over any additional creditors or stakeholders towards a standalone plan, and/or if AMR ends up pursuing (voluntarily or involuntarily) a merger.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LDVAviation
Posted 2012-10-19 13:05:08 and read 27210 times.

Quoting commavia (Reply 2):
Yep, or if these two particular creditors are simply using this as leverage to try and get a better deal - which is also possible. Should be interesting to see how this develops, and to see - over the coming weeks and months - if and/or how AMR management is able to win over any additional creditors or stakeholders towards a standalone plan, and/or if AMR ends up pursuing (voluntarily or involuntarily) a merger.

If the adhoc group of creditors holds the majority of AMR debt and is also in negotiations to provide $1 to 2 B of exit financing, I don't see what the problem is.

Too bad for the creditors who are left out. But Tom has a plan and he doesn't want anyone who is not onboard to muck things up.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2012-10-19 13:32:39 and read 27146 times.

Quoting LDVAviation (Reply 3):
If the adhoc group of creditors holds the majority of AMR debt

Based on what I've read it does not sound like this ad hoc group holds anywhere close to a majority of AMR debt. They collectively do hold a lot of it, but not the majority by any stretch.

Interestingly, the article says that AMR invited Appaloosa to join this ad hoc group, and Marathon (the other hedge fund mentioned) actually did join the group earlier in the year, only to leave the group later.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: Prost
Posted 2012-10-19 13:48:47 and read 27101 times.

Quoting LDVAviation (Reply 3):
If the adhoc group of creditors holds the majority of AMR debt and is also in negotiations to provide $1 to 2 B of exit financing, I don't see what the problem is.

I have two questions: First is if AMR has $5.1 Billion cash on hand, why do they need an additional 1-2 Billion? Is this linked to their fleet renewal?

The second question I have is what is the role of CEO during bankruptcy? I understand that the CEO is the steward of a companies' shareholders, but once bankruptcy is filed, that most likely wipes out any value they share holder has in the company. So does the CEO now report to the bond holders?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: par13del
Posted 2012-10-19 14:25:34 and read 27028 times.

Quoting Prost (Reply 5):
So does the CEO now report to the bond holders?

Or, who is pulling his strings or is he an independent contractor looking out for himself..........
Hhmmmmm, interesting question.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: moman
Posted 2012-10-19 14:31:56 and read 27009 times.

Quoting Prost (Reply 5):

I have two questions: First is if AMR has $5.1 Billion cash on hand, why do they need an additional 1-2 Billion? Is this linked to their fleet renewal?

The second question I have is what is the role of CEO during bankruptcy? I understand that the CEO is the steward of a companies' shareholders, but once bankruptcy is filed, that most likely wipes out any value they share holder has in the company. So does the CEO now report to the bond holders?

First, the exit financing may be related to their operational expenses and restructuring. I'm not sure if they "need it" per se, but the bond holders/equity holders all must agree to the plan for the judge to approve the reorganization (i.e. emergence from bankruptcy.)

The CEO reports to all stakeholders - employees, debt holders, and common/preferred shareholders. Its likely true the common stock will be wiped out, as it's an unsecured obligation. But the CEO is still responsible for setting general strategic direction of the company.

As per the US Airways discussion above, it's very interesting to see how it all plays out. Very shrewd of American, in my opinion, to put a "keep quiet" clause in the non-disclosure document. Of course, the last US Airways employee I spoke with, a person who wouldn't have inside knowledge of such things, told me the deal was "all but signed".

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2012-10-20 11:05:01 and read 26678 times.

Quoting moman (Reply 7):
Of course, the last US Airways employee I spoke with, a person who wouldn't have inside knowledge of such things, told me the deal was "all but signed".

Just as AA employees I know, who also wouldn't know anything about a possible deal with US, have said everything from the deal is done to the deal will never happen. So, who knows!

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BarryH
Posted 2012-10-20 16:37:16 and read 26551 times.

One of the reasons Parker is so hot for AMR while it's in bankruptcy is he'd be able to get it at a depressed value. That and the potential ability to dispose of additional and duplicate assets based on the needs of a combined US/AA post-bankruptcy. Horton, the judge, and various committees aren't idiots and know a streamlined AA post-bankruptcy would be able to command more in any combination. And that benefits all the stakeholders many of whom will likely receive equity in lieu of debt. Except maybe the union staff that could care less about anything other than seeing the current AA management team go. AA's stand-alone plan presentation will take the in- and post-bankruptcy valuation in to consideration when comparing it to an in-bankruptcy vs. post-bankruptcy combination.

Parker made the same arguments about a combination with DL when they were in bankruptcy and was rebuked because combining with another carrier while in a depressed financial state made no more sense then than it does now. There very well could and you could even argue should be a AA/US combination. Now's a great time for it to happen from a US vantage point. Not so much from an AA vantage point. And that's based on the difference between in- and post-bankruptcy valuations; not emotional leanings one way or the other. AA's financial performance metrics have been steadily rising even in the face of their operational challenges. Assuming a deal's reached with the pilots things will only continue to improve. Great for AA from a valuation standpoint. Not so much for Parker to whom the cost of AA post-bankruptcy could be 30% higher. And a re-borne AA would most likely be the stronger of the two entities and the acquirer vs. the acquiree. On a pure operational asset basis AA is the stronger of the two entities with transatlantic (including prime LHR slot ownership) and transpacific JVs and leadership in the burgeoning Latin America market. This isn't a checkers game, it's chess.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-10-29 07:48:40 and read 26060 times.

Planned in court this week. I do however strongly suspect the weather might force delays and reschedule.


o Extension for negotiations covering negotiations for 3 767s - N319, 320, 327
o Objection to 81 pending creditor trade claims
o Amend and supersed 193 pending creditor trade claims
o Reject 18 pending creditor trade claims
o Tentatively authorize modified lease term sheet covering 21 EJ135, 59 ERJ140 and 118 ERJ145 aircraft and allow $650mil security trustee claim against AMR. Also authorize 60-day extension to finalize agreement.
o Motion to extend exclusivity periods to March 28, 2013
o Authorize assumption of facility leases at ABQ and SAT
o Extension to negotiate facility leases at LAX, ONT, JFK, ORD, BDL, BNA, RNO, and ELP
o Authorize employment of Collateral Verifications, LLC as aircraft valuation consultant
o Hearing to extend automatic stay in adversary proceedings against AMR

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: DLD9S
Posted 2012-10-31 12:55:03 and read 25640 times.

Does anyone know if the meeting between AA and US happened yesterday? I am assuming not since it was supposed to be held at the NY offices of Weil, Gotshal & Manges, but maybe it had a change of locale?

Also what impact - if any - does the end of the NDA have on this meeting if it has been pushed till later.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-11-05 12:42:33 and read 25310 times.

As expected all court events from last week were postponed, and now rescheduled for November 8th, at a new venue - Federal Court House up in White Plains.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-11-09 07:40:41 and read 25314 times.

IRS and US Treasury Dept approve AMRs plan to freeze its pilot pensions.

The departments will allow an exemption that permits AMR to avoid offering lump-sum payouts as retirement benefit option, and instead simply offer monthly pension payments on accrued benefits in the frozen plan.

AMR had argued that the lump-sum payments would be a bank breaker, but it needed governmental approval for the exemption as pilots hired prior to 1983 still held such rights under regulations.


Story:
American Airlines gets OK to freeze (not terminate) pilot pensions
http://aviationblog.dallasnews.com/2...not-terminate-pilot-pensions.html/

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-11-14 23:10:03 and read 25314 times.

Both US Airways and AMR have briefed the creditors committee this week.

US Airways presented its case on Tuesday, while AMR CEO presented his views on Wednesday.

Reportedly any deal would provide the creditors a large share of the merged company.


Stories
http://aviationblog.dallasnews.com/2...th-american-airlines-is-good.html/
and
http://www.dallasnews.com/business/a...s-on-stock-in-potential-merger.ece

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: Byrdluvs747
Posted 2012-11-14 23:56:45 and read 25307 times.

Quoting LAXintl (Reply 14):

Reportedly any deal would provide the creditors a large share of the merged company.

I would assume that the AMR creditors would be the majority stakeholders in any new airline. If thats the case, how can it be guaranteed that Doug would remain as the CEO?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2012-11-15 05:47:44 and read 25309 times.

Quoting LAXintl (Reply 14):
Both US Airways and AMR have briefed the creditors committee this week.

US Airways presented its case on Tuesday, while AMR CEO presented his views on Wednesday.

Reportedly any deal would provide the creditors a large share of the merged company.


Stories
http://aviationblog.dallasnews.com/2...th-american-airlines-is-good.html/
and
http://www.dallasnews.com/business/a...s-on-stock-in-potential-merger.ece

Based on the reporting in WSJ, it sounds as though the two sides are proceeding down two separate, parallel paths while at the same time negotiating the broad outlines, and eventually the details, of a merger. The big difference, not surprisingly, is over whose side's creditors/shareholders get what portion of the merged company, although it appears Parker has now essentially given in to the AMR side's demands for at least 70% of the combined company. Let's hope that if a merger does happen, it creates a viable, successful airline capable of delivering value and benefits to all of the combined company's stakeholders - including creditors, employees, and - critically - customers.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2012-11-15 08:32:13 and read 25310 times.

If I had a large state in US Airways (individual shareholder, hedge fund manager, pension plan administrator, etc.), I would hate to see my stake significantly reduced in voting power, just to get a deal done with AMR/AA.

Would the shareholders of US have to approve a merger? If so, assuming that the creditors of AMR get the lion's share of the new stock, what are the chances that they would vote down a merger.

And frankly, if I am a part of the leadership of a US union, I'm not sure that I'm comfortable with a merger. Any combined collective bargaining group is going to be dominated by AA employees, both in terms of numbers of rank and file, as well as leadership.

The former TWA F/As will tell you have the APFA ran roughshod over them.

Granted, Congress changed the laws on how seniority lists are combined. Still, it becomes difficult for a US pilot, F/A, or mechanic to become a national officer of the union, with that many AA employees.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: avek00
Posted 2012-11-15 08:37:33 and read 25309 times.

Horton is smartly trying to kill the deal by insisting on a massive share of the combined equity for American's creditors. It is going to be difficult for Parker to meet or counter the high bar Horton is setting.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2012-11-15 12:34:42 and read 25306 times.

Quoting avek00 (Reply 18):
It is going to be difficult for Parker to meet or counter the high bar Horton is setting.

I'm not so sure. Parker has reportedly already come off his initial position of a 50/50 split to come up to the AMR position of 70/30. I think he is willing to throw basically anybody under the bus (including USAirways stockholders and employees) to get his deal done.

In other news, AA confirmed today that its solicitation for new flight attendant applicants was over 10x oversubscribed - 20,000+ applicants for 1,500 positions. With that large a disparity, is it any wonder that AA (and other airlines) get away with paying flight attendants and certain other airline employees what they do?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: par13del
Posted 2012-11-15 12:49:27 and read 25307 times.

Quoting commavia (Reply 19):
is it any wonder that AA (and other airlines) get away with paying flight attendants and certain other airline employees what they do?

Well, there are a large number of pilots out on furlough and or out of jobs yet the airlines all have to go to the pilots to get things done.
I think it is about the power that the job holds, not the number of persons on the outside looking in, flights cannot operate without F/A's, but the F/A unions do not appear to be as consolidated as the pilots, then again, the mechanics at NW were and look where it got them, so I still think it is about the power of the job.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2012-11-15 22:51:56 and read 25304 times.

First of all, we're in a bad economy. Any time an employer announces openings for 1500 people, far more than that number will apply.

Second, there is still a certain romanticism about jobs in the airline indusry, especially flight crews. The idea of being in New York today, San Francisco tomorrow, and Miami the day after still is attrractive, even if this is 2012 with a poor excuse for a coach product, as opposed to 1962, when jet travel was new, and coach customers were pampered.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-11-26 07:51:52 and read 25278 times.

Due to multiple delays and reschedules result of Hurricane Sandy, the BK court is back to work this week with an extremely busy agenda.

o Approval of assumption of payment and processing agreements related to credit card and merchant services
o Authorize issuance of subpoenas for testimony for PBGC
o Authorize Payment of fees for professional services and expenses rendered by special counsel and professional advisors
o Reimbursement of fees incurred by members of unsecured creditors committee
o Approval of settlement agreement covering 1 MD-80 aircraft: N59523
o Approval of settlement agreement covering 6 B757 aircraft: N614, 626, 627, 629, 632, 648
o Objection to 181 creditor claims against AMR found to be duplicates
o Amend and supersede creditor 193 claims against AMR
o Tentatively reject 18 claims against AMR with insufficient documentation
o Objection to waive 68 insured claims against AMR
o Objection to 14 deductible insured claims against AMR
o Objection to 16 claims for equity interest against AMR
o Approve 22 no liability claims against AMR
o Authority to retain and employ ICF SH&E, Inc. as consultants
o Authority to retain and employ Skyworks Capital, LLC as advisors
o Authority to retain and employ McKinsey
o Objection of claims related to special interest bonds at AFW
o Objection of claims related to airport revenue bonds at TUL
o Objection of claim related to airport revenue bonds at DFW
o Objection of claim related to airport subleases bonds at LAX
o Objections against various claims, indentures and notes.
o Authorize and approving amendments to bank processing agreements and reaffirmation of guaranty
o Approve settlement agreement with Sabre Inc.
o Authorize assumption of various facility leases and payment of cure amounts at BDL, LAX, and RNO
o Extension of time to negotiate facility leases at JFK, BWI, BNA, STL, ONT, LAX and SJU
o Approval of sale-leaseback agreement with Wilmington Trust Company company covering single 737: N992AN
o Motion for summary judgment in proceeding ALPA vs American Eagle Airlines

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: par13del
Posted 2012-11-26 07:58:59 and read 25247 times.

Quoting ckfred (Reply 17):
Granted, Congress changed the laws on how seniority lists are combined.

Which does not appear to have assisted the US East West North South groups get their act together, add in AA groups and we have airline armageddon, however, hope does spring eternal, the US group will put aside their differences to merge with AA and the AA groups will put aside their differences to get rid of AA management.
Cool

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: miaami
Posted 2012-11-28 17:08:26 and read 24779 times.

Interesting developement, could this sway the Pilots vote on their T/A?

http://www.bloomberg.com/news/2012-1...and-alone-american.html?cmpid=yhoo

[Edited 2012-11-28 17:22:01]

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-11-29 07:58:18 and read 24568 times.

Today is the 1-year anniversary since AMR filed Ch-11.   

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: silentbob
Posted 2012-11-29 09:01:08 and read 24504 times.

Quoting par13del (Reply 23):
Which does not appear to have assisted the US East West North South groups get their act together, add in AA groups and we have airline armageddon, however, hope does spring eternal, the US group will put aside their differences to merge with AA and the AA groups will put aside their differences to get rid of AA management.

That merger/integration started before the law was passed. Any new integration would be required to follow the steps laid down in the new law.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2012-11-29 21:04:18 and read 24705 times.

Quoting par13del (Reply 23):
Which does not appear to have assisted the US East West North South groups get their act together, add in AA groups and we have airline armageddon, however, hope does spring eternal, the US group will put aside their differences to merge with AA and the AA groups will put aside their differences to get rid of AA management.
Cool

Why not get rid of AMR management without merging with US? Doug Parker got his start at AA, and AA's culture is not noted for turning out great corporate leaders, as opposed to cultures at companies such as McDonald's or General Electric.

So, why get Doug Parker, who will be rehashed Carty, Arpey, and Horton?

Between the unions, they ought to convince some of the creditors/future AMR shareholders to look outside of the current management for new leadership. As I've said on other posts, try hiring an executive from a hotel chain or cruise line, since they know a thing or two about hospitality.

Heck, hire someone from Southwest. The folks at DAL seem to value the relationship between management and labor far more than the folks near DFW.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-11-30 09:58:27 and read 24482 times.

Horton and gang need to see that regardless of how things play out they will be shown the door.

Now with the bondholders clearly stating one of their conditions would be a new board, its clear come a US merger, or a standalone airline, AMR will have different leadership in charge.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2012-11-30 12:42:11 and read 24364 times.

Quoting LAXintl (Reply 28):
Horton and gang need to see that regardless of how things play out they will be shown the door.

Just remember that a lot of UA employees were mad at Glen Tilton and wanted him out, espeically since UA spent so much time in bankruptcy. Yet, Tilton and his team remained in charge upon discharge from Chapter 11, until the merger with CO.

This will all depend on how the new shareholders (mostly bondholders and AA's unions) feel about Horton and his team. If the unions can't find enough shareholders to side with them, they may very well leave Horton and his team in charge, especially if they believe AA will be better off in the long term as a standalone carrier.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-11-30 13:03:30 and read 24358 times.

AMR seeks to extend its exclusivity period until March 11, 2013 now. Currently this ends in January.

AMR wants keep control over bankruptcy
http://finance.yahoo.com/news/amr-se...s-keep-control-over-180712162.html

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LDVAviation
Posted 2012-11-30 13:09:20 and read 24332 times.

Quoting LAXintl (Reply 28):
Now with the bondholders clearly stating one of their conditions would be a new board, its clear come a US merger, or a standalone airline, AMR will have different leadership in charge.

Those bondholders do not hold a majority of the debt, about $900 million in total.

There are factions everywhere trying to influence the outcome. As of yet, there is no consensus, but there are more and more signs that the stand-alone plan might be the one that is gaining favor.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-12-05 13:58:33 and read 23994 times.

AE reached a TA with its dispatchers. AMR has now reached a deal with all its AE work groups.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2012-12-07 11:30:23 and read 23575 times.

What time is the APA expected to announce the results of voting on the last T/A?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2012-12-07 11:40:47 and read 23535 times.

Just after I hit post, I saw the new thread about the pilots approving the T/A. So, where does AA go from here. And, how soon before AA starts the process to finalize the contract for the 787 order?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-12-10 08:20:50 and read 23295 times.

A few court items for this week.

o Reimbursement of expenses incurred by members of unsecured creditors committee
o Objection of 18 creditor claims due insufficient documentation
o Proof of claim motion on ongoing patent claim case against AMR by Katz Technology Licensing
o Authorize employment and retention of Haynes and Boone LLP as special counsel


Of course the big news last week was APA approval of the contract TA, and also US Airways formal bid.

Regarding the APA contract, AMR has asked the court for permission to shorten the notice time frame before it can appear on the court calender for a hearing. Normally the court requirement is that hearing items must be listed with minimum 21-days notice. AMR is seeking a hearing as early as December 19th.
Basically it looks like AMR does not want this to be held up with holiday and new years schedule interruptions.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2012-12-17 15:01:56 and read 22980 times.

As has been previously reported, AMR CEO Tom Horton met last week with the Board of the AA pilot union to present his "vision" for the company's future. Apparently unhappy with the APA's characterization of the meeting/discussion, AA today released a heavily-redacted version of the presentation Horton gave to the APA board.

AA's accompanying message emphasized that Horton was agnostic on whether to merge or not, and now versus later, although that is hard to believe given his pronouncements to date, and given that his presentation seemed to be geared entirely towards a non-merged entity. Nonetheless, the presentation does offer some interesting points - many already known and discussed - about the standalone plan Horton is likely pitching to creditors. Among other notable things in the presentation:

- AA's restructuring to date has, in toto, rejected or renegotiated aircraft financing for over 400 aircraft, rejected or renegotiated over 9,000 vendor contracts, and "addressed" over 500 real estate leases

- AA believes its restructuring has produced a "leading non-labor cost position" among the U.S. majors

- 70% of AA's revenue comes from 25% of its customers

- [Redacted] new routes planned, with a focus on long-haul flying, with a "focus on global growth inline with traffic projections"

- AA's plan projects the need for approximately 1,650 newly-hired pilots by 2017, and expects substantially more rapid promotions to Captain

- AA claims that since December, "corporate account wins and renewals have accelerated YOY"

- AA currently serves 58 of the top 100 global city-pairs, second only to United (with 79) among the U.S. legacy carriers

- The presentation interestingly redacted the content under the subheading "Our ‘Next Generation Airport’ will open at DFW Terminal A this February" ... AA obviously feels this is highly proprietary, so I wonder what AA is planning to announce on this?

- While AA is already close to United and Delta in share of system ASMs in international markets, despite being smaller overall, AA plans to grow this share in the next five years to match United's current level of 43% of system ASMs being international

- The heavily-redacted slide on organic network growth shows two examples - one with BUF shown as a spoke connected to only a single hub (ORD), the other showing BOG as a spoke connected to only a single hub (MIA) ... the implication is obviously that the unredacted version shows growth from those spokes, and presumably implies growth from others, and we found out today what growth AA envisions for BOG (BOG-DFW starting "late 2013")

- Slides 30-36 are probably the most tantalizingly redacted in the deck, highlighted planned "Mainline New Routes By [Region]" year-by-year through 2017 ... the obvious takeaway is that mainline growth is going to be disproportionately international, which we already knew, and the fact that a line is included for "Middle East/India/Africa" does beg the question of where AA (mainline) is planned to serve in that region, let alone to Europe, Asia, Latin America, and domestic ... would be incredibly interesting to see the unredacted versions of those slides!

- Slide 37 shows the layout of AA's massive aircraft order book through 2017, most of which was already known, although it does also show a clear picture of the 787 delivery timeline, with 2 in 2014, 11 in 2015, and 13 in 2016, and then everything from 2017 onward for all aircraft redacted

- AA claims average "annual pilot pay" will substantially increase over the life of the new AA pilot contract

- A stacked column chart shows the anticipated pilot staffing by fleet group through 2017, and the substantially growing stack for the 737/A320/MD80 and substantially shrunken stack for 757/767 highlights the impending drawdown of 757s and rampup of new Boeing and Airbus narrowbodies

- Unsurprisingly, all of the proprietary financials - debt and capital structure, etc. - is entirely redacted

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BarryH
Posted 2012-12-17 15:56:26 and read 22856 times.

Quoting commavia (Reply 36):
As has been previously reported, AMR CEO Tom Horton met last week with the Board of the AA pilot union to present his "vision" for the company's future. Apparently unhappy with the APA's characterization of the meeting/discussion, AA today released a heavily-redacted version of the presentation Horton gave to the APA board.

Since emotion is what's driving pilot sentiment I don't see anything that Horton or anyone tied to AA as it stands today could present that would change the pilot's thinking. I wonder what their reaction would be if, as sizable shareholders of the "new AA,” they were shown objective analysis that waiting two years to buy US would appreciate their holdings by several billion dollars? My guess is it wouldn't matter because the goal is to kill Horton; not to do what's best for AA or their personal futures. Their looking at the simplistic view that bigger=better and that a combined AA/US is automatically a better AA. There's an old adage, "be careful what you wish for, it may come true."

I kind of lost faith in them as business people when I heard they were trying to factor their percentage of ownership in the company for cash as soon as physically possible. With the savings extracted through bankruptcy and some incredibly powerful assets unless some cataclysmic event occurs cashing out now represents a 20-25% loss over waiting two years. C'est la vie.

P.S. - I don't mean to generalize all AA pilots in to the same category; quite a few here have expressed sound, objective, long-term thinking. The majority? Not so much.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LDVAviation
Posted 2012-12-17 19:03:58 and read 22718 times.

Quoting commavia (Reply 36):
The presentation interestingly redacted the content under the subheading "Our ‘Next Generation Airport’ will open at DFW Terminal A this February" ... AA obviously feels this is highly proprietary, so I wonder what AA is planning to announce on this?

Didn't the DFW Airport Board already give away some of the details in its description of the improvements to the terminal lobbies?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: justplanenutz
Posted 2012-12-18 08:55:47 and read 22508 times.

Quoting BarryH (Reply 37):
Slide 37 shows the layout of AA's massive aircraft order book through 2017, most of which was already known, although it does also show a clear picture of the 787 delivery timeline, with 2 in 2014, 11 in 2015, and 13 in 2016, and then everything from 2017 onward for all aircraft redacted

It also shows that the remaining 5 772 orders in 2014-2016 will be taken as 77Ws. No big surprise, but I don't believe AA has said this before.

[Edited 2012-12-18 09:30:52]

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2012-12-18 09:03:11 and read 22468 times.

One last round of hearings this week before court holiday break.

o Objection to AMR motion for settlement with APA for supplement B pilot beneficiaries
o Objection to AMR motion to eliminate lump sum and installment benefits for APA members
o Reimbursement of expenses incurred by members of unsecured creditors committee
o Notice of hearing authorizing AA entry into CBA and settlement agreement with APA
o Notice of hearing for amendment of AA pilot retirement benefit program
o Authorize to enter into amended provisions on lease agreements covering 56 737 aircraft
o Extend exclusivity periods to May 10, 2013.
o Allowance and payment of professional fees
o Authorize assumption of certain unexpired facility leases at BWI, RSW, ORF, TUL and OKC
o Further extend time to negotiate facility leases at ATL, JFK, ORD, DTW, SFO, ELP, RDU
o Authorize AE to enter into CBA and settlement agreement with TWU
o Authorize AE to enter into CBA and settlement agreement with ALPA
o Authorize AE to enter into CBA and settlement agreement with AFL-CIO

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: wolfpacker
Posted 2012-12-19 12:23:13 and read 22200 times.

Court has approved pilot agreement

http://finance.yahoo.com/news/court-...ican-airlines-labor-175502747.html

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-01-02 08:11:43 and read 21819 times.

With holidays over the court returns to business. Items scheduled for upcoming hearing.

o Lift of stay on pending Department of Labor litigation against AMR in 11th Circuit court.
o Consider motion of objection by Westinghouse Aircraft Leasing regarding proposed settlement on single B757 - N632AA
o Motion by USAPA for document discovery and testimony from AMR and US Airways
o Further delay in assumption or rejection of real-estate property and leases at LAX
o Motion of limited relief by U.S. Bank Trust National for protection in aircraft security agreements in case of default by AMR.
o Motion of limited relief by U.S. Bank Trust National for protection for pass through trust certificates in case of default by AMR.
o Notice of hearing approving settlement between AMR and City of St. Louis covering leases and property
o Notice of hearing approving rejection of leases and agreements between AMR and Wayne County Airport Authority
o Authorizing debtors to purchase 2 777-300ER aircraft from the Boeing Company.
o Notice of hearing authorizing AMR to sell property in London UK and fullfill related obligations
o Authorize use and lease agreements with Raleigh Durham Airport Authority
o Extension of time to negotiate regarding unexpired leases at JFK
o Motion for dismissal of proceeding of MCM Elegante Hotel versus American Eagle
o Motion for summary judgement in proceeding of ALPA versus Americn Eagle

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: mffoda
Posted 2013-01-03 05:41:52 and read 21506 times.

There is an update on the AA / Airbus order on the Dallas news website.... Kinda funny  http://aviationblog.dallasnews.com/2...s-but-were-not-sure-how-much.html/

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2013-01-03 07:54:48 and read 21274 times.

Quoting LAXintl (Reply 42):
o Motion by USAPA for document discovery and testimony from AMR and US Airways

What is this all about? Sounds to me as if USAPA has some qualms about the possible AA/US merger, and how the merger would affect US pilots in terms of the current seniority issues and seniority with AA pilots.

A friend of mine, who is an AA pilot, said that if AA and US merged, chances are that there would be some "fences" on the crew bases. US pilots don't want senior AA pilots switching to PHL, CLT, or PHX, while AA pilots don't want US pilots switching to LAX, DFW, MIA, ORD or LGA/JFK.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: AADC10
Posted 2013-01-03 10:38:38 and read 21166 times.

Quoting Prost (Reply 5):
So does the CEO now report to the bond holders?

Effectively yes. The CEO has to report to the Bankruptcy judge and court, which represents the interests of the bond holders and to some extent labor. The shareholders are at the back of the line and will likely be wiped out and new shares will be issued to bond holders.

Quoting commavia (Reply 19):
I'm not so sure. Parker has reportedly already come off his initial position of a 50/50 split to come up to the AMR position of 70/30. I think he is willing to throw basically anybody under the bus (including USAirways stockholders and employees) to get his deal done.

US will get run over if it does not make this deal. It is getting squashed by UA, DL and WN. Merged with AA it will have a size similar to UA and DL, if lacking the network balance of the other two. Failing to make the deal is also throwing them under the bus because US will struggle to survive alone.

Quoting ckfred (Reply 27):
Why not get rid of AMR management without merging with US? Doug Parker got his start at AA, and AA's culture is not noted for turning out great corporate leaders, as opposed to cultures at companies such as McDonald's or General Electric.

What are you talking about? AA under Bob Crandall in the 1980s brought together a bunch of young executives that AP called a "Brat Pack" that now run US, VX and NK, along with others that run various parts of the travel industry. AA clearly created more industry leaders that just about any airline. Maybe they did not meet your definition of "great" but they did better than any other airline's former execs.

http://news.yahoo.com/american-brat-...rline-ceos-came-age-173846806.html

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: aaexecplat
Posted 2013-01-04 03:03:23 and read 20816 times.

Quoting AADC10 (Reply 45):
US will get run over if it does not make this deal. It is getting squashed by UA, DL and WN. Merged with AA it will have a size similar to UA and DL, if lacking the network balance of the other two. Failing to make the deal is also throwing them under the bus because US will struggle to survive alone.

The much bigger issue for US is the debt that is maturing in 2014 and the relatively low cash balance in hand...and the work groups pushing for industry wages. Dougie is up a creek without a paddle if the merger doesn't happen.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2013-01-04 11:14:31 and read 20676 times.

Quoting AADC10 (Reply 45):
What are you talking about? AA under Bob Crandall in the 1980s brought together a bunch of young executives that AP called a "Brat Pack" that now run US, VX and NK, along with others that run various parts of the travel industry. AA clearly created more industry leaders that just about any airline. Maybe they did not meet your definition of "great" but they did better than any other airline's former execs.

NK is a miserable excuse for an airline. VX may have a great product, but it remains to be seen if they can become consistantly profitable. Any time I read a list of airlines people avoid because of service issues, US is on it.

I point out that Carty worked for AA/AMR for quite a while under Crandall before becoming CEO. Arpey was a career guy at AMR before his tenure as CEO. Neither was particularly successful.

If I were a creditor about to become a shareholder of the new AMR/AA, I think I would prefer someone you never worked at AA and would bring a fresh perspective to the company.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-01-09 14:21:52 and read 20384 times.

A nice surprise to many, but AMR now says that shares of the company might not be worthless and actually hold some equity upon BK exist.

If true, would be one of the only airlines that did not have it shares cancelled in recent times upon exit from court supervision.

AMR says stock may be worth something after bankruptcy exit after all
http://aviationblog.dallasnews.com/2...ething-after-bankruptcy-exit.html/

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: teme82
Posted 2013-01-09 15:59:45 and read 20257 times.

Have to say that after hearing the talk of AA pilot's and FA's in London. Yeah I had same hotel for my stay in there. I must say that the pilots are a bit more happier than the FA's. Can't say exactly why. Listening multiple sources on the same time isn't so easy at all. And there is some issues with the ex-TWA crew's also. But the mood is that they all are glad that AA can exit Ch. 11 eventually.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BDL757
Posted 2013-01-09 17:56:11 and read 20102 times.

Quoting aaexecplat (Reply 46):
The much bigger issue for US is the debt that is maturing in 2014 and the relatively low cash balance in hand...and the work groups pushing for industry wages. Dougie is up a creek without a paddle if the merger doesn't happen.

Can you or someone please elaborate on this? What kind of debt is it or what is the debt for? Does it have to all be repaid in 2014? Is that why the low cash balance is worrisome? Thanks for answering any questions...there's lots to be learned in this business!!

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: klkla
Posted 2013-01-09 22:48:04 and read 19935 times.

Quoting BDL757 (Reply 50):
Can you or someone please elaborate on this? What kind of debt is it or what is the debt for? Does it have to all be repaid in 2014? Is that why the low cash balance is worrisome?

It's not as tragic as some on here make it. Some of their debt is maturing. They will simply replace it and likely at lower interest rates than they are paying now. It happens everyday in all industries.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-01-14 09:36:05 and read 19956 times.

AMR and creditors committee seek further extension to file their reorganization plan.

Now they are asking for an April 1st deadline to file a plan, with May 31st being date to seek of approval of the plan.

http://aviationblog.dallasnews.com/2...mit-a-plan-of-reorganization.html/

Quoting klkla (Reply 51):
It's not as tragic as some on here make it. Some of their debt is maturing. They will simply replace it and likely at lower interest rates than they are paying now. It happens everyday in all industries.

   This was actually discussed at a US Airways earnings call last year.

US has already refinanced large portions of its debt. With market rates so low, US actually came out ahead and saved money by prepaying off old debt and rolling it into new debt with distant maturities.
During the call the comment was even made that with rates being so low, the company saw it as an advantage to load up on the debt for ongoing corporate needs and hang onto cash in these turbulent times.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: silentbob
Posted 2013-01-14 10:03:46 and read 19889 times.

Quoting LAXintl (Reply 52):
Now they are asking for an April 1st deadline to file a plan, with May 31st being date to seek of approval of the plan.

It seems more and more clear to me that AA management wants to extend their exclusivity as long as possible to prevent a merger, or at least maintain as much control as much as possible.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-01-21 11:39:26 and read 19418 times.

Busy agenda for this week:

o Extension for negotiation covering 86 RB211, JT8D and CF6 engines with lease and bond holders.
o Approving assumption of certain credit card and payment agreements
o Authorizing issuance of subpoenas for testimony by the PBGC
o Authorize reimbursement of expenses incurred by individual members on committee of unsecured creditors
o Authorizing assumption of amended lease agreement with the Port Authority of New York and New Jersey
o Rejection of slot lease agreements with United Air Lines, and Porter Airlines.
o Approving entry into slot lease agreement with Virgin America.
o Approving settlement agreement with the Boeing Company
o Approving assumption of certain contracts with the Boeing Company covering 737, 777 and 787 purchase agreements
o Approving settlement agreement with General Electric Company and certain of its affiliates
o Approving settlement agreements with Rolls-Royce PLC and certain of its affiliates.
o Approving assumption of the A320 family aircraft purchase agreement with Airbus S.A.S
o Approving settlement agreement with IAE International Aero Engines AG
o Authority to employ and retain Husch Blackwell LLP as special counsel
o Allowance and payment of compensation of the Boston Consulting Group
o Extensions of time to assume or reject airpoer leases at LAX and ONT
o Seeking continuance of hearing in adversary proceedings; HTL Operating, LLC, MCM Elegante Hotel vs American
o Order dismissing proceeding AMR Corp vs. Brian Ostrom
o Motion for partial summary judgment in AMR Corporation, vs. Committee of Retired Employees

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: avek00
Posted 2013-01-21 11:54:10 and read 19349 times.

Quoting silentbob (Reply 53):
It seems more and more clear to me that AA management wants to extend their exclusivity as long as possible to prevent a merger, or at least maintain as much control as much as possible.

That was clear -- and smart -- from the outset of the bankruptcy process.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: NYC777
Posted 2013-01-23 13:11:19 and read 18943 times.

Quoting LAXintl (Reply 54):
Approving assumption of certain contracts with the Boeing Company covering 737, 777 and 787 purchase agreements

I think the motion for the assumption of the purcahse contracts is to be today. Anyone know when we'll hear a decision about this?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LDVAviation
Posted 2013-01-23 14:00:43 and read 18866 times.

Quoting NYC777 (Reply 56):
I think the motion for the assumption of the purcahse contracts is to be today. Anyone know when we'll hear a decision about this?

According to the DMN, the judge approved the motion.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: EricR
Posted 2013-01-29 10:37:56 and read 18464 times.

Interesting article from Bloomberg today indicating that key creditors are backing the merger. One of the selling points was "the promise of more cost savings and other financial benefits from a combined carrier rather than a stand-alone American helped sway the group".

Apparently the creditors are seeing more value in a combined versus standalone AA.

Creditors are pushing to have this merger wrapped up by February 15th.

http://www.bloomberg.com/news/2013-0...-favor-merger-with-us-airways.html

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2013-01-29 10:59:18 and read 18400 times.

Quoting EricR (Reply 58):
One of the selling points was "the promise of more cost savings and other financial benefits from a combined carrier rather than a stand-alone American helped sway the group".

Apparently the creditors are seeing more value in a combined versus standalone AA.

Yes, Doug Parker definitely has made a lot of big promises to a lot of people. Let's hope, if given the opportunity, he can keep them all. There sure is a lot riding on the outcome.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: avek00
Posted 2013-01-29 12:21:35 and read 18245 times.

Quoting EricR (Reply 58):
Interesting article from Bloomberg today indicating that key creditors are backing the merger. One of the selling points was "the promise of more cost savings and other financial benefits from a combined carrier rather than a stand-alone American helped sway the group".

They're not key creditors, just a group of bondholding banks that are trying to push for a merger. The creditors who matter at this stage sit on the secured and unsecured creditors' committees.

[Edited 2013-01-29 12:22:03]

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2013-01-29 13:50:58 and read 18112 times.

And now, as many of us may have expected, it appears - according to a WSJ report - that leadership negotiations are narrowing in on perhaps having Parker in the CEO role and Horton as Chairman. Hmmm ...

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: etops1
Posted 2013-01-29 14:05:54 and read 18059 times.

Quoting commavia (Reply 61):

Correct but I think Horton will act as Non Acting Chairman . Same as Tilton was with the UA/CO merger correct ?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: PanAmPaul
Posted 2013-01-29 15:03:51 and read 17926 times.

Quoting commavia (Reply 61):
Quoting etops1 (Reply 62):

It still seems up in the air... (sorry, no pun intended).

Everything I'm reading seems to say the split between AA creditors and US shareholders is in contention - and the leadership doesn't seem to be a slam dunk on the part of DP either.

Just saw this posted on flightaware:

Pace Quickens on American-US Airways Merger Negotiations


After reading everything, all I can say is my head hurts and I'm glad I don't work for either airline at this point.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2013-01-29 16:02:30 and read 17856 times.

Quoting etops1 (Reply 62):
Correct but I think Horton will act as Non Acting Chairman

There is no such thing as a "Non Acting Chairman." If there was, that would also be referred to as a fired Chairman. There are, however, Non-Executive Chairman, which just means the Chairman of the Board who does not also simultaneously hold an executive responsibility or title (CEO and/or President).

It seems hard to imagine Parker agreeing to that, since that would then technically make Horton his boss, and give Horton significant influence in major strategic decisions of the company (and there would be many in the few years following a merger). That's not exactly something you may necessarily want if you're Doug Parker.

Nonetheless, I have long suspect that this could - potentially - be a viable compromise solution. The unions surely do hate Tom Horton - no question about that - but many financial types actually have given him substantial credit for a fairly well-executed restructuring, but of course let's not forget that many of said financial types are, in the long-run, certainly no friends of the unions. And, needless to say, while the unions may have blinding hatred for Horton, they're still going to be happy or unhappy with how the merger effects them whether he's the Chairman or not. Horton sticking around for a few years (just like with Tilton at United) would not only provide some sense of continuity and stability, but it would also - at least in my view - lend some added weight and credibility for the markets.

We shall see if there is a merger, and if so, if this power-sharing arrangement happens. Should be interesting to watch!

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: etops1
Posted 2013-01-29 16:26:37 and read 17815 times.

Quoting commavia (Reply 64):

Excuse me . " Non executive Chairman" . I can see Parker agreeing to it . He did the same with Bruce Lakefield when AW/US merged . Lakefield was Chairman and CEO of usairways before the merger . Parker became CEO of usairways after with Lakefield serving as " Non Executive Chairman" . Parker then assumed the role of Chairman and CEO later in in the game which is what I assume will happen here . It's just a respectful way for Horton to go .

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: avek00
Posted 2013-01-29 17:27:19 and read 17682 times.

Quoting commavia (Reply 64):
There are, however, Non-Executive Chairman, which just means the Chairman of the Board who does not also simultaneously hold an executive responsibility or title (CEO and/or President).

Most nonexecutive Chairmen do very little at publicly traded companies, it's basically a sinecure.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: lucky777
Posted 2013-01-29 18:22:34 and read 17598 times.

Quoting commavia (Reply 59):
Yes, Doug Parker definitely has made a lot of big promises to a lot of people. Let's hope, if given the opportunity, he can keep them all.

And that seems to be the million dollar question. Doug Parker has let it be known that US Airways route structure, as currently constructed anyhow, simply cannot afford to pay "Legacy" wages. How does merging with AA change that equation?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BarryH
Posted 2013-01-29 18:40:16 and read 17552 times.

Quoting commavia (Reply 64):
It seems hard to imagine Parker agreeing to that, since that would then technically make Horton his boss, and give Horton significant influence in major strategic decisions of the company (and there would be many in the few years following a merger). That's not exactly something you may necessarily want if you're Doug Parker.

That, to me, would make the merger much more palatable. Parker's a cowboy based on his unorthodox business approach and has a LCC mentality based on the service levels offered by US. Both may be OK based on the business climate US currently competes in but are inappropriate for a global three-class carrier the size of a combined AA/US. Horton's proven his mettle at AT&T/SBC and in navigating AA through bankruptcy in spite of AA employee's preconceived attitudes toward his competence. His business experience in and out of the airline industry is well above Parker's. I could see Parker being against it for obvious reasons but could see the share/stakeholders being for it for the reasons I've given. The idea of Parker running the combined carrier without any counterbalance sends shivers up my spine. Keeping HP/US limping along by forestalling debt and competitive pay scales until an additional merger became a necessity is hardly what I'd consider "stellar" performance.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: etops1
Posted 2013-01-29 18:44:59 and read 17560 times.

Quoting BarryH (Reply 68):

Your so full of it . Parker and Horton share the same experience . They both started their careers together at AA . What the hell are you talking about ? Parker worked for AA , NW , HP and now US . I have only known Horton to work for AA . No other carrier . To me , Parker's more an airline guy than Horton is .

[Edited 2013-01-29 18:47:47]

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: EricR
Posted 2013-01-29 19:23:47 and read 17483 times.

Quoting BarryH (Reply 68):

Parker is a cowboy based on his unorthodox approach? What has he done that is unorthodox?

He made the best use of the assets he had and ran a profitable airline. Parker was not handed an airline with a large premium customer base, expansive international network, nor hubs in prime locations.

I give Parker more credit for trying to make the best use of the assets he had rather than Horton whose only mentionable achievements were creating poor labor relations with unions, taking AA into BK, and neglecting to look at all options in BK until forced to by creditors.

[Edited 2013-01-29 19:30:45]

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BarryH
Posted 2013-01-29 20:02:16 and read 17423 times.

Quoting etops1 (Reply 69):
Parker's more an airline guy than Horton is .

And based on his accomplishments and the airline industry in general tell me why that's a good thing?

He saved HP and US buy slamming them together but spent more time pursuing mergers with UA, DL, and now AA than he ever did running them. Without this merger Parker's whole house of cards would come tumbling down as he'd be forced to deal with US' balance sheet and unrealistically low labor costs that were a by-product of how he merged US/HP. His reputation and track record would look very different without this merger. Maybe that's one of the reasons he's so hot for it?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: etops1
Posted 2013-01-29 21:33:29 and read 17313 times.

Quoting BarryH (Reply 71):

He has more accomplishments than Horton has ever had.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BarryH
Posted 2013-01-29 23:12:01 and read 17271 times.

Quoting etops1 (Reply 72):
He has more accomplishments than Horton has ever had.

Such as? And I don't count merging with AA when US is at the precipice of imploding if left as a stand-alone an accomplishment. Look at it this way. US' current state with an impending debt balloon, AFA already having authorized a strike, and the pilots due for a 20% bump to bring them to "industry standard" could have been avoided. If a ship's captain navigates in to an area with known dangerous weather and something occurs, is it the fault of the captain or the weather? Had Parker extended the effort he did toward AA's unions to get the US/HP union's onboard prior to the merger the level of efficiencies to be gained would have been in place earlier resulting in improved financials and less angst. That angst caused serious service issues which resulted in high-value customer defections; many of which were lost permanently. And if US was running as a single airline from the start (and he was paying attention to it instead of planning his next merger escapade) perhaps their yields wouldn't be so threatened by LCC competition and there would be more diversity in their network. So just because US is still standing doesn't mean that its condition and where it could have been if managed differently can be ignored. And the US shareholders are indirectly paying for the lack of attention that was paid to better managing US in the form of a $1B differential spread between what Parker/US thinks it's worth vs. what it would most likely be valued at in a merger. Although one might say wiping out $1B of shareholder value and being rewarded for it by being given even more responsibility is a unique accomplishment.

Assuming the merger does go through and Parker ends up running the combined airline let's check back here in a year. If revenue, yields, and profits are on par with DL and UA and the AA/US unions aren't at each other's throats (or Parker's) I'll be the first to admit I was wrong in judging him.

Here's what the Chairman of AT&T says about Horton.

He proved his mettle at AT&T. Horton left American in June 2002 to become chief financial officer of AT&T. At the time, the telecom giant was struggling under a mountain of debt and fighting off competitors to its long-distance business. Horton, whom AT&T noted had led “a relentless effort to strengthen the company’s balance sheet,” helped T cut its gross debt by 75% and eventually structured its merger with SBC. Former AT&T CEO David Dorman, current nonexecutive chairman of Motorola, once characterized Horton as “unflappable in the face of adversity.”

http://investorplace.com/2011/11/5-r...can-lead-amr-back-from-bankruptcy/

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: EricR
Posted 2013-01-30 08:26:41 and read 17088 times.

Quoting BarryH (Reply 73):
And I don't count merging with AA when US is at the precipice of imploding if left as a stand-alone an accomplishment
Quoting BarryH (Reply 73):
At the time, the telecom giant was struggling under a mountain of debt and fighting off competitors to its long-distance business. Horton, whom AT&T noted had led “a relentless effort to strengthen the company’s balance sheet,” helped T cut its gross debt by 75% and eventually structured its merger with SBC.




Then why are you praising Horton for doing the same thing with AT&T?

During the time Horton was CFO of the old legacy AT&T (based in N.J.) AT&T was in much worse shape than US is in today. The old AT&T had no successful long term strategy in place. They no longer had wireless (spun off in an IPO in 1999), had no landline service (broken up by the government in 1984, though they did offer limited reseller services), and relied mostly on long distance service for revenues.

Horton and the rest of the executive team knew the only chances of survival was to sell AT&T (the article says merger, but it was a buyout and SBC took on the AT&T name). Most of the old legacy AT&T leadership was let go (hence the reason why Horton ended back with AA).

So while you chastise Parker for doing what he is doing, the man you are praising - Horton - did the exact same thing with the old legacy AT&T.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BarryH
Posted 2013-01-30 09:22:04 and read 16979 times.

Quoting EricR (Reply 74):
During the time Horton was CFO of the old legacy AT&T (based in N.J.) AT&T was in much worse shape than US is in today.

Exactly. And he had no involvement in getting them there; he was brought in to fix it. He did reduce their gross debt by 75% without which their would have been no merger and, in the face of telecom consolidation, the shareholders would have been screwed. Much like the US shareholders are being screwed from a valuation perspective based on US' current condition which is startling similar to pre-Horton AT&T. Like I said, Parker could be the most cunning business person in the airline industry and based on the hand he was dealt did unbelievable work. Whether that's proven true or not depends on AA's condition a year from now assuming he's running it.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: EricR
Posted 2013-01-30 10:28:49 and read 16886 times.

Quoting BarryH (Reply 75):
Exactly. And he had no involvement in getting them there; he was brought in to fix it. He did reduce their gross debt by 75% without which their would have been no merger and, in the face of telecom consolidation, the shareholders would have been screwed.


I completely agree that he had limited involvement in getting AT&T to where they were. However, in my opinion, conducting a fire sale on assets (and thus the associated debt) is not rocket science. The plan to divest assets and clean up the balance sheet was all part of the larger plan to make the legacy AT&T more attractive to potential buyers.

In my opinion, what Parker was able to do with US under their current situation was/is a far bigger accomplishment than what Horton did with AT&T. Horton only executed a plan given to him whereas Parker developed a plan/strategy and successfully executed on that strategy with the resources he had available to him.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: PanAmPaul
Posted 2013-01-31 08:57:56 and read 16943 times.

Quoting EricR (Reply 76):
In my opinion, what Parker was able to do with US under their current situation was/is a far bigger accomplishment than what Horton did with AT&T. Horton only executed a plan given to him whereas Parker developed a plan/strategy and successfully executed on that strategy with the resources he had available to him.

I agree that credit shoudl be given where credit is due and DP should receive credit for what he did.

I'm not sure that should portray Horton in a bad light as he had a different job assignment at that point.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2013-01-31 09:30:05 and read 16924 times.

Quoting BarryH (Reply 68):
That, to me, would make the merger much more palatable. Parker's a cowboy based on his unorthodox business approach and has a LCC mentality based on the service levels offered by US. Both may be OK based on the business climate US currently competes in but are inappropriate for a global three-class carrier the size of a combined AA/US. Horton's proven his mettle at AT&T/SBC and in navigating AA through bankruptcy in spite of AA employee's preconceived attitudes toward his competence. His business experience in and out of the airline industry is well above Parker's. I could see Parker being against it for obvious reasons but could see the share/stakeholders being for it for the reasons I've given. The idea of Parker running the combined carrier without any counterbalance sends shivers up my spine. Keeping HP/US limping along by forestalling debt and competitive pay scales until an additional merger became a necessity is hardly what I'd consider "stellar" performance.

Hindsight is 20/20, and a lot of AA employees who didn't care for Bob Crandall now realize how good he was. I tend to agree with a lot of people that Don Carty and Gerard Arpey weren't the kind of people that AA needed as CEOs, especially in the post 9/11 era with very high fuel prices and uncertain economies around the globe.

But, Horton is the unknown quantity. Running a company in bankrupcty, when creditors get a lot of say in matters, is not the same as running a company with a few large shareholders who may want to express an opinion from time to time.

So far, I think Horton hasn't made any major mistakes. I know the pilots are still fuming over the contract issue. But, Carty certainly was behind the company suing APA over the Reno Air sick-out, and Crandall tried to operate AA during an F/A strike. Labor relations at AA under Horton aren't that much different than during the prior 20+ years.

But here's what I don't know. A friend of mine is a pilot with AA. He thinks Parker is as close to the Crandall style of leadership as AA will find. Now, Crandall was a bit like Jack Welch at GE (both straight-talking New Englanders). If you didn't do your job, there was hell to pay. Crandall was also willing to make hard, unpopular decisions.

Carty and Arpey certainly didn't follow the management style of Crandall. So, is Parker more collaborative, like Carty and Arpey? Or is he willing to deal with lack of performance the way Crandall did?

I know that Parker has been described as a cowboy, but does he have that resolve to get things done, like Crandall.

Quoting etops1 (Reply 69):
Your so full of it . Parker and Horton share the same experience . They both started their careers together at AA . What the hell are you talking about ? Parker worked for AA , NW , HP and now US . I have only known Horton to work for AA . No other carrier . To me , Parker's more an airline guy than Horton is .

You made a valid point. Considering that the culture at AA has not turned out great CEOs since Crandall retired (I'll give Horton a pass for now), why bring in another CEO who got his start at AA?

Yes, Horton has worked elsewhere in the industry, but some business professors I know say that the culture of a person's first employer has a disproportionate influence on a person's management style.

Parker would be returning to the culture where he got his start. I'm not sure that is a good thing. It seems to me that the future shareholders/board of directors of AA would be better served by bringing in a mangement team that has no connection to AA.

You could go outside the industry with hotels and cruise lines for a CEO. You could try to lure someone away from Southwest, since their track record with labor is much better. You could look for someone who spent time at CO, when Gordon Bethune was CEO.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: dirtyfrankd
Posted 2013-01-31 09:35:03 and read 16913 times.

Other than strengthening AA's presence on the east coast and in the southwest, I fail to see what else US brings to the table. Without a merger, would AA be able to grow in these areas organically?

I'm still of the opinion that US needs AA MUCH MUCH MUCH more than the other way around. And BarryH, I could not agree with you more, I think Horton has done a fantastic job as CEO thus far and should be the one to run the organization going forward.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: B377
Posted 2013-02-05 12:26:23 and read 16586 times.

Marathon Asset Management, who at one time said it held nearly $100,000,000 of AA's debt and was complaining in the press about their dissatisfaction with the direction Horton was taking in the bankruptcy etc., today, according to the court dockets, has transferred nearly $20,000,000 of their holdings to Goldman Sachs.

Anyone have the background on this?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: EricR
Posted 2013-02-05 15:18:54 and read 16469 times.

Quoting B377 (Reply 80):
Marathon Asset Management, who at one time said it held nearly $100,000,000 of AA's debt and was complaining in the press about their dissatisfaction with the direction Horton was taking in the bankruptcy etc., today, according to the court dockets, has transferred nearly $20,000,000 of their holdings to Goldman Sachs.

Anyone have the background on this?



I am not sure, but it is interesting to note that AA requested another 15 day extension to file their BK exit plan. This is the second time they've requested a 15 day extension within the past month. I don't know if this is an indication that they are leaning more towards an independent exit from BK court or not. But the request for another 15 day extension combined with the information you provided above makes one wonder if AA is headed towards an independent exit from BK.

http://finance.yahoo.com/news/amr-asks-more-time-file-231238892.html

[Edited 2013-02-05 15:21:31]

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BarryH
Posted 2013-02-05 17:36:20 and read 16303 times.

Quoting B377 (Reply 80):
Marathon Asset Management, who at one time said it held nearly $100,000,000 of AA's debt and was complaining in the press about their dissatisfaction with the direction Horton was taking in the bankruptcy etc., today, according to the court dockets, has transferred nearly $20,000,000 of their holdings to Goldman Sachs.

$100MM in the greater scheme of things is chump change and certainly not enough to sway the bankruptcy outcome. That's about 1/3 of what a new 773 costs. The most vocal debt holders so far in favor of the combination are those (EG: Chase) that are likely to be participants in financing it making their objectivity a tad questionable.

Quoting EricR (Reply 81):
I am not sure, but it is interesting to note that AA requested another 15 day extension to file their BK exit plan.

It could be to get all the filings, communication, and PR in place to announce the merger or it could be to communicate personally to those with interests who are non-disclosed that it's not happening. In a case this complicated 15 days isn't a lot of time and doesn't seem to indicate a specific position. So much of what's being fed to the press is biased by “unnamed sources” who'd benefit from a specific outcome it's hard to tell what's real and what's public posturing.

I found it interesting that Horton had time to spend four days going to Brazil on the 773 inaugural. If something was imminent it's doubtful he would have taken that time away.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: aajfksjubklyn
Posted 2013-02-06 06:13:38 and read 16066 times.

Quoting BarryH (Reply 82):
I found it interesting that Horton had time to spend four days going to Brazil on the 773 inaugural. If something was imminent it's doubtful he would have taken that time away.

In today's day and age, we can work literally from anywhere. GRU, EZE, NRT. It really doesn't matter unless you work on the line and have to be present.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: avek00
Posted 2013-02-06 13:22:49 and read 15821 times.

Quoting aajfksjubklyn (Reply 83):
In today's day and age, we can work literally from anywhere. GRU, EZE, NRT. It really doesn't matter unless you work on the line and have to be present.

Horton would not have skipped town if an agreement was going to be announced in the next couple days. That said, the nuts and bolts of negotiation are left to senior execs and the attorneys, and agreements like these are usually approved over a weekend and announced on Mondays, so the Brazil trip means nothing in terms of the status of the negotiations.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: vegas005
Posted 2013-02-07 01:19:19 and read 15636 times.

http://www.wfaa.com/news/business/Am...-expected-next-week-190101971.html

Sounds like a done deal?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-02-11 08:42:37 and read 15367 times.

Court items for this week:

o Motion to lift stay in pending workplace discrimination case in North Carolina court
o Fee application of Deloitte Financial Advisory Services LLP
o Application for professional compensation of Harris, Finley & Bogle, P.C.
o Application for compensation of Yetter Coleman LLP
o Application for compensation Stuart Maue Mitchell and James, Ltd
o Notice of hearing regarding various allowance of compensation for professional services
o Motion by AMR to extend exclusivity periods to May 31, 2013
o Authorizing AMR to obtain postpetition secured first priority aircraft financing for 4 new 777 aircraft and grant security interests and liens on several existing 737 and 777 aircraft in return.
o Authorizing AMR to repay existing debt relating to five prepetition aircraft mortgage loan facilities.
o Motion on execution of and performance under a 12-year capacity purchase agreement with Republic Airline Inc
o Authorizing AA to enter into sale leaseback transactions with Guggenheim Corporate Funding, LLC for up to 2 Boeing 777-300ER aircraft
o Motion for fee examination regarding GDS litigation firms
o Extensions of time to assume or reject unexpired airport leases at BNA and JFK
o Adversary proceeding: ALPA v. American Eagle Airlines
o Extend automatic stay or, in the Alternative, to obtain an injunction pending litigations against AE

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: dirtyfrankd
Posted 2013-02-11 10:08:03 and read 15213 times.

Quoting LAXintl (Reply 86):
o Motion by AMR to extend exclusivity periods to May 31, 2013

Does this mean they are still trying to fight off a merger?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-02-11 11:00:37 and read 15146 times.

Not perse fend off a merger, but management wants continued exclusivity in being able to shape the business plans and oversee the bankruptcy prior to others being offered the opportunity to come up with competing options.

Its pretty common for management to seek to retain such exclusive control beyond the default 120-day period unless the point is reached where the creditors push for change and outside options.

Its really balancing interest of the debtor and its management versus the interest of the creditors. As long as they stay on the same page its not an issue and courts will extended the period.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: dirtyfrankd
Posted 2013-02-11 13:36:53 and read 15006 times.

Quoting LAXintl (Reply 88):
Not perse fend off a merger, but management wants continued exclusivity in being able to shape the business plans and oversee the bankruptcy prior to others being offered the opportunity to come up with competing options.

Its pretty common for management to seek to retain such exclusive control beyond the default 120-day period unless the point is reached where the creditors push for change and outside options.

Its really balancing interest of the debtor and its management versus the interest of the creditors. As long as they stay on the same page its not an issue and courts will extended the period.

Thanks for the very helpful explanation. In this process, who really gets to make the decision on whether to merge with LCC or not? Does Debtor/Management (AMR...) have much say in the process or is it really up to the Creditors? Does the creditor committee listen to management's plans and then to all the competing options (US Airways merger, etc.) and then hold a vote as to which plan they're going to go with or is it more complex than that?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2013-02-20 16:23:49 and read 14660 times.

AMR filed its 2012 10K (Annual Report) with the SEC today. Total 2012 loss (excluding restructuring-related items) of $316M, with total 2012 operating cash flow of $1.1B.

Some things I found notable and interesting from the 10K:

* Interestingly, the reading of the description of the merger agreement contained within AMR's 10K gives me a different impression of the deal than what I read last week - specifically, it appears that while AA and USAirways will merge with USAirways being the surviving legal entity, AMR will be the surviving legal entity of the holding corporation, with USAirways being a subsidiary therein

* AA's 767-200s are 26 years old on average

* Of the 12 CRJ200s SkyWest is now operating out of LAX under the 'Eagle' brand, 1 was on operational reserve as of 12/31/12

* As of 12/31/12, AMR had $527M in foreign banks, of which $413M was held in Venezuelan banks

* AMR confirms that the terms of its agreement with SABRE included SABRE paying a "monetary settlement" - many have been figuring for several months that this is the $280M "commercial dispute" settlement AMR benefited from, and AMR still doesn't say so explicitly, but I believe this may be the first time AMR has detailed the SABRE settlement in such a way

* AMR has financing for 77 of the 82 737s, and all 110 of the A320 family, scheduled to be delivered through 2016

* Backing into the numbers, it appears the new capacity purchase agreement with Republic will hit a run rate around 2015-2017 of around $550-600M/year that continues through around 2024-2025

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: PlaneAdmirer
Posted 2013-02-20 16:53:56 and read 14606 times.

Quoting commavia (Reply 90):
As of 12/31/12, AMR had $527M in foreign banks, of which $413M was held in Venezuelan banks

That needs to come home or go some place stable.... Ugh.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-02-20 19:27:18 and read 14496 times.

Quoting PlaneAdmirer (Reply 91):
That needs to come home or go some place stable.... Ugh.

The reason its there is because its hard or impossible to repatriate.

Going back to Braniff days, getting money out of South America can often be a challenge for airlines due to currency restrictions.

And other nations and airlines have issues as well - for instance BA has had large sums locked up in Nigeria for ages.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-02-21 08:26:20 and read 14342 times.

AA shared a bankruptcy timeline with unions following the US Air merger news.

Here is what they are projecting.

American will file a Plan of Reorganization ("POR") and Disclosure Statement most likely within next 60 days.

The POR provides for, among other things, details on treatment of creditors and the merger transaction. Pursuant to a POR that provides for a merger of the two airlines, unsecured claims will receive a recovery in the form of equity in the new American.

Week 1: File POR/Disclosure Statement
Week 4: Hearing to approve Disclosure Statement outlined by the US Bankruptcy Code
Weeks 5-7: Distribution of information and solicitation of votes (20 days)
Week 7: Voting deadline for POR, tabulation of votes. More than 1/2 in number and at least 2/3 in dollar amount of impaired classes of creditors must vote in favor of the POR, among other requirements.
Week 9: Hearing to confirm POR
Week 12: Once declared effective, a confirmed Plan will discharge the company's outstanding debts and allow the company to emerge from Bankruptcy

Typically, the process takes 3-4 months beginning with the filing of a POR, depending on whether there are stakeholders opposing the POR.

A merger transaction will entail additional time beyond a typical bankruptcy process given DOJ and Hart-Scott-Rodino requirements.



So I guess we are looking at mid/late summer exist from BK by the company if the above timeline sticks.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-02-21 13:47:36 and read 14215 times.

Apparently March 27th hearing date has been set for POR presentation.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2013-02-21 15:53:08 and read 14143 times.

It seems to me that the bankruptcy case has to remain active, until DOJ makes a decision on whether to disapprove the merger, or to approve it with conditions.

Assuming that the merger is approved with conditions, then it's up to AA/AMR and US to accept them or not.

Assuming that the two management teams decided that they can live with the conditions, then the merger can proceed, bringing an end to the bankruptcy case.

If, on the off chance that the Feds say no, or conditions to approve the merger are deemed too onerous by the management teams, then AMR/AA management has to come up with Plan B on reorganizing and exiting bankruptcy.

Anyone care to guess how long it will take the Feds to make a decision on the merger?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-02-21 16:27:12 and read 14113 times.

Should be rather fast as AA-US said they expect to complete the deal in Q3.

From what I can find in DOT filings here is what happened with previous mergers:

DL/NW
Announce: April 2008
DOJ Approve: Oct 2008
DOT Approve: Oct 2008
Completed: Oct 2008
Total: 6 months

UA/CO
Announce: May 2010
DOJ Approve: Aug 2010
DOT Approve: Sep 2010
Completed: Sep 2010
Total: 4 months

So having announced it February, its quite possible DOJ/DOT reviews will be done by June-August, inorder to complete the transaction in Q3.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: TSS
Posted 2013-02-21 16:53:04 and read 14073 times.

Quoting ckfred (Reply 95):
If, on the off chance that the Feds say no, or conditions to approve the merger are deemed too onerous by the management teams, then AMR/AA management has to come up with Plan B on reorganizing and exiting bankruptcy.

I'm a bit confused. I had assumed that "Plan A" was for AA/AMR to exit bankruptcy without the involvement of US, and that "Plan B" was for AA to merge with US and then exit bankruptcy. In the event that "Plan B" fails or at least does not gain final approval, will AA/AMR need to formulate a "Plan C" or can they not simply proceed with the original "Plan A"?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2013-02-22 09:24:49 and read 13845 times.

Quoting TSS (Reply 97):

I'm a bit confused. I had assumed that "Plan A" was for AA/AMR to exit bankruptcy without the involvement of US, and that "Plan B" was for AA to merge with US and then exit bankruptcy. In the event that "Plan B" fails or at least does not gain final approval, will AA/AMR need to formulate a "Plan C" or can they not simply proceed with the original "Plan A"?

You're right that A was to exit bankruptcy as a stand alone carrier, and B was merge with US as the exit strategy. Last week's announcement swapped A and B in terms of the preferred plan.

So, if the Feds nix the merger, then Plan B is the original Plan A.

Regardless of the name, if the Feds nix the merger, AMR/AA have to go back to getting a plan of reorganization as a stand alone carrier ready to be approved by the court. That would be a pain, since all of the work is now focused on getting ther merger approved by the court and the Feds, as well as starting on the process to actually merge the two carriers.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-02-25 04:31:29 and read 13580 times.

New court hearing items for this week.
I also understand some items from of the week of the 11th including AE union attempts to block the Republic deal were carried over.


o Allowance of Compensation and Reimbursement of Expenses of Stuart Maue Mitchell and James, Ltd., Consultant
o Objection seeking to disallow 79 tax claims
o Authorization to enter Into sale leaseback transactions with International Lease Finance Corporation for 15 Boeing 737's and 1 777-300ER aircrafts
o Modifying the automatic stay to permit Travelport Ltd to amend their counterclaims against American Airlines.
o Authorizing Travelport Ltd and American Airlines, to file certain pleadings and documents under seal
o Authorizing the retention and employment of Hay Group, Inc. as compensation consultant
o Extensions of time to assume or reject unexpired leases at JFK, ORD and SFO.

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: PanAmPaul
Posted 2013-02-25 14:28:26 and read 13435 times.

In related news, AA and US today announced the two people who will lead the integration efforts during BK, Bev Goulet, American’s chief restructuring officer, and Scott Kirby, US Airways’ president.

American, US Airways Move Ahead With Merger, Announce Transition Team, File For Court Approval

"American Airlines and US Airways, which announced plans to merge on February 16, filed for court approval of the merger and named executives from both airlines to lead the integration process.

The combined airline, which will retain the American Airlines name, will be the world’s largest airline by passenger traffic. ..."

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-03-11 07:39:59 and read 13127 times.

After a couple weeks, court back in session this week.

Some new, along with carry over items.

The union opposition to the Republic E175 leases should be heard finally.


o Motion of The Bank of New York Mellon Trust Company, as trustee, requesting adequate collateral shortfall protection in various facility bonds at JFK, LAX and TUL.
o Motion for execution of and performance under capacity purchase agreement with Republic Airline for 12-year term
o Extension of time to assume or reject an unexpired leases at XNA and JFK
o Authorizing assumption of unexpired leases in ATL
o Application for authorization for retention and employment of Heidrick & Struggles as consultant
o Authority to employ and retain Bill Isenegger Ackermann AG as special counsel
o Authority to employ and retain Jones Day as special counsel
o Authority to employ and retain Covington & Burling LLP as special counsel
o Extension covering negotiations on 6 MD-80 aircraft - N70529, N7538A, N577AA, N578AA, N579AA, N580AA

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-03-14 10:52:23 and read 13380 times.

AMR filed to extend its exclusivity period further to file its POR (plan of reorganization) - now asking the court for May 29th deadline with parties having until July 29th to file comments.

AMR, American Airlines ask bankruptcy judge for more time to file a plan of reorganization
http://aviationblog.dallasnews.com/2...ile-a-plan-of-reorganization.html/

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-03-17 10:09:12 and read 13064 times.

U.S. Trustee filed an objection to the carriers merger plans by challenging planned severance and retention payments including deal that gives Tom Horton nearly $20 million on grounds they go against 2005 Congressional changes to federal bankruptcy code.

U.S. Trustee objects to merger proposal because of management compensation
http://aviationblog.dallasnews.com/2...e-of-management-compensation.html/

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: PanAmPaul
Posted 2013-03-19 21:25:48 and read 12757 times.

Although Congress has no jurisdiction in the matter, the Senate held hearings today and Parker and Horton gave testimony.

American, US Air CEOs Testify in Senate Hearings on Merger

The hearing was entitled The American Airlines/US Airways Merger: Consolidation, Competition, and Consumers.

Quotes from testimony include:

“What we’re trying to do here is provide more to our customers,” said Douglas Parker, US Airway’s CEO. “We [currently] don’t have the ability to get to as many places as some of our larger competitors – combined, we do.”

“There’s no substitution for competition,” said William McGee, a consultant with the Consumers Union, which publishes Consumers Reports magazine, in his testimony. “A merger of this magnitude can dramatically change the structure of the market and dramatically alter profit-making centers away from keeping prices low.”

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-03-26 07:35:45 and read 12396 times.

Small, yet important number of items on the court calender this week.

o Establishing notification procedures for substantial claim holders and equity security holders and on transfers of interests in the AMR estates
o Extend exclusivity periods to May 29, 2013 and July 29, 2013,
o Time extension for negotiations covering approximately 90 spare engines
o Approving execution of and performance employee compensation and benefit arrangements, termination fees, and related relief part of merger agreement among AMR Corporation, and US Airways
o Authorizing and approving merger agreement among AMR Corporation, AMR Merger Sub, Inc., and US Airways Group, Inc.

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: flyinryan99
Posted 2013-03-26 07:40:09 and read 12407 times.

Also looks like Embraer and Republic closed on the deal of 175s. Does anyone know when the deliveries will begin and when they will enter service?

http://atwonline.com/airframes/embraer-adds-republic-order-backlog

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-04-03 07:50:26 and read 11929 times.

Court items for this week. Mostly fleet and airport stuff.

o Authorize assumption of certain unexpired leases at JFK
o Sale Leaseback Rransactions with AerCap Ireland Limited for up to 11 Boeing 737-823 aircraft
o Settlement agreement covering single B757 - N643AA
o Authority for the employment and retention of Sheppard Mullin Richter & Hampton LLP as special counsel
o Authorize assumption of certain unexpired leases at JFK
o Extensions of time to assume or reject certain unexpired leases at AFW, BNA, LAX, ONT, SFO, SJU

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-04-12 06:48:29 and read 11569 times.

Court held a separate hearing on objections of U.S. Trustee’s office about the proposed $20 million severance payment for Tom Horton, chairman and CEO of American Airlines and parent AMR.

The court disallowed the proposed severance saying as structured it was outside what the revised bankruptcy code allowed.

However judge gave AMR a wink and nod essentially by saying the company post-merger would be beyond the bankruptcy code, and Newco board could vote on the Horton severance post-bankruptcy.

Story:
Judge disallows $20 million severance for American Airlines’ Horton
http://aviationblog.dallasnews.com/2...for-american-airlines-horton.html/

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-04-16 10:31:53 and read 11261 times.

AMR today filed its intended schedule for its Plan of Reorganization (POR).

The confirmation hearing is tentatively scheduled to be heard in court on August 15, 2013.

In the interim there will solicitation, presentation and voting by creditors on the plan that will run through the end of July.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-04-23 10:20:19 and read 11034 times.

Items for this week:

o Various applications for compensation for professional services rendered and reimbursement
o Approving settlement agreement among American Airlines, Inc., Travelport Limited and Travelport, LP
o Approving settlement agreement Among American Airlines, Inc. and Orbitz Worldwide
o Authority to employ and retain K&L Gates LLP as special counsel
o Authority to expand the scope of Covington & Burling LLP's retention
o Authority to employ and retain Yetter Coleman LLP as special litigation counsel
o Motion to reject aircraft lease for 1 MD-80 aircraft - N90511
o Application of Duff & Phelps, LLC, property tax consultants
o Extensions of time to assume or reject unexpired leases at ORD

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: par13del
Posted 2013-04-23 10:28:22 and read 11036 times.

Quoting LAXintl (Reply 109):
The confirmation hearing is tentatively scheduled to be heard in court on August 15, 2013.

Does this mean they are in Chpt.11 thru Aug-2013?
I have not kept up with the latest filings and rulings, planning a trip to Central America in July, hedging bets that all will be well with the workforce by then.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-04-23 16:53:03 and read 10894 times.

That is correct. AMR will remain in BK until the creditors vote and approve the proposed plan of reorganization, and the court signs off on it after that.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: BDL757
Posted 2013-04-23 17:20:10 and read 10875 times.

Quoting LAXintl (Reply 112):

Wow, another extension! How long has AA's bankruptcy been compared to all the others?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-05-06 08:30:31 and read 10573 times.

Items for this week.

Interesting they are still working on clearing up aircraft leases after such a long time......


o Approving assumption of certain executory credit card and payment agreements
o Authorizing issuance of subpoenas for testimony for the PBGC
o Assumed 94 various lease claims satisfied by cure payments
o Waiving 6 pending claims
o Objection to 59 pending claims
o Satisfied 28 tax claims
o Satisfied 23 general business claims
o Application of alliance of compensation for Stuart Maue Mitchell and James, Ltd., Consultant
o Authorizing AMR to remarket existing special facility revenue bonds issued in connection with the Tulsa International Airport.
o Modifying the automatic stay to allow AMR to resolve certain tax issues
o Approving settlement agreement covering single B757 - N632AA
o Approving settlement agreement covering 39 ATR aircraft
o Authorizing AMR to obtain postpetition secured aircraft financing for 3 777-300ER aircraft and grant security interests and liens covering 11 current aircraft.
o Authorizing the retention and employment of Rothschild Inc. as financial advisor
o Obtain aggregate term financing amount up to $2.25 billion and revolving financing up to $1 billion secured by certain slots, gates and route authorities
o Authorizing the retention and employment of Moelis & Company LLC as investment banker
o Adversary proceeding ALPA vs American Eagle Airlines summary judgment motion

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-05-20 07:34:58 and read 10024 times.

A couple fleet related items this week in court

o Extension covering negotiations for 5 MD-80s - N513AA, N7514A, N7540A, N7541A and N7542A
o Approval of stipulation between AMR and Airbus allowing 3rd parties to enter into additional agreements regarding the purchase of one or more of the leased aircraft covered under the 'Airbus Agreement' and, upon such purchase, to lease such aircraft back to AA.

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ckfred
Posted 2013-05-20 08:18:57 and read 9977 times.

Quoting BDL757 (Reply 113):
Wow, another extension! How long has AA's bankruptcy been compared to all the others?

I seem to recall that UA was in bankruptcy for over 3 years, with a lot of extensions. It seems to me that UA's management just plain couldn't figure out what the plan should look like, whereas AA has been a case of some creditors wanting a merger with US, and others wanting AA to go alone. Now, to some extent, the proceedings are tied to DOJ's anti-trust review.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-05-28 08:01:57 and read 9520 times.

Busier agenda this week.

o Multiple applications for compensation for professional services rendered and for reimbursement of actual expneses
o Motion to modify automatic stay to permit patent infringement litigation against AMR
o Authorizing AMR to obtain financing secured by certain slots, gates and route authorities,
o Authorize AMR to repay certain prepetition debt
o Authorizing AA to enter into sale leaseback transactions with Avolon Aerospace Leasing for 2 Boeing 737-800 aircraft
o Approving settlement agreement between AMR subsidiaries and the Federal Aviation Administration
o Memorandum of Understanding regarding collective bargaining agreement among American Airlines, US Airways, Allied Pilots Association, and US Airline Pilots Association,
o Memorandum of understanding among American Airlines, US Airways, and Transport Workers Union of America
o Authority to employ and retain Linklaters LLP as special counsel
o Authority to expand the employment and retention of Ford Harrison LLP as special counsel
o Litigation HTL Operating, LLC d/b/a MCM Elegante Hotel v. American Eagle
o Presentment of stipulation and agreed order between the AMR, Felsberg, Pedretti e Manrich Advogados e Consultores Legais, and fee examiner
o Approving extensions of time to assume or reject leases at BNA.


In other news Citibank seems to be getting nervous over if the new AA will chose it over Barclay's for the co-branded card.
Citibank has filed with the court a request for AMR to decided by July 2nd if it will accept or reject the Citibank card agreement. If AMR rejects the agreement, Citibank says it will lodge a "mulit-billion" claim against AMR.
Some might remember, Citibank in 2009 advanced AA $1billion by pre-purchasing miles.

http://aviationblog.dallasnews.com/2...lines-to-love-me-or-leave-me.html/

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-06-03 11:05:10 and read 8824 times.

A few items this week.

o Establishing notice and objection procedures for confirmation of the Plan of Reorganization
o Approving the forms of ballots and establishing procedures for voting on the plan
o Approving support and settlement agreement among with consenting creditors
o First amended to Plan of Reorganization
o Objection of various vendor claims

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2013-06-04 05:15:12 and read 8573 times.

I'm very happy to read the news today that AA seems to have selected Citi as its cobranded AAdvantage credit card partner going forward (vs Barclaycard, which USAirways uses).

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-06-11 07:25:08 and read 8219 times.

Items for this week;

o Agreement to amend term sheet covering single MD-80 aircraft - N7517A
o Authorizing Issuance of subpoenas for testimony by the PBGC and directing production of documents by AMR
o Authorizing purchase of prepettition secured notes and enhanced equipment trust certificates
o Citibank's motion to compel debtors to assume or reject executaory contracts
o Authorization to Retain and Employ Ernst & Young LLP
o Reimbursement of expenses incurred by retired employee committee members
o Extensions of time to assume or reject leases at ORD and LAX
o Various motions in case ALPA vs AE
o Case MCM Elegante Hotel vs AE

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-06-24 07:59:27 and read 7768 times.

Items for this week. Amazing they are still haggling over aircraft after all this time.

o Extension covering negotiations for 2 MD-80s. - N9627, N975TW
o Extension covering negotiations for 1 Saab340 - N3515
o Approving assumptions of various execuatory credit card and payment agreements
o Allowance of compensation for professional services rendered
o Objection to tax claims in TX, NM, CO, CT, IL, CA, AL, MO, CT, OK, TN, MN
o Objection to 55 claims due to insufficient documents
o Objection to 131 claims due being duplicates
o Authorize sale and lease back with SMBC Aviation Capital covering 8 B737-800 aircraft
o Authorize sale of real estate property (condominium) in Coral Gables
o Settlement with Metropolitan Nashville Airport Authority
o Approving cure stipulation and assumption of some leases with City and County of San Francisco
o Authorize to assumption of non-expired cargo facility lease at SJU
o Authority to employ and retain Daugherty, Fowler, Peregrin, Haught & Jenson, PC as special counsel
o Authority to employ and retain Pillsbury Winthrop Shaw Pittman LLP as special counsel
o Extensions of time to assume or reject leases at ORD

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: oc2dc
Posted 2013-06-24 10:23:04 and read 7654 times.

Quoting LAXintl (Reply 121):
o Authorize sale of real estate property (condominium) in Coral Gables

Hmmm, I remember AA had to get rid of a 20 million dollar home in London, I wonder how much this one is worth...

I also wonder how many more properties AA owns around the world...Does anybody know why AA has these properties in the first place?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-06-24 11:48:49 and read 7583 times.

Quoting oc2dc (Reply 122):
I wonder how much this one is worth...

$577,540

Quoting oc2dc (Reply 122):
Does anybody know why AA has these properties in the first place?

Likely corporate housing for execs. Often much cheaper then hotels.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-07-08 07:30:09 and read 7186 times.

A few short items this week.

o Extension covering negotiations for 3 MD-80s. - N3507A, N7506, N7509
o Authority to employ and retain Shook, Hardy & Bacon L.L.P. as special counsel
o Authority to employ and retain Venable LLP as special counsel
o Adversary Proceeding ALPA vs American Eagle Airlines
o Extension of time to assume or reject a real estate lease at AFW

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-07-22 07:47:12 and read 6545 times.

Court items for the week ahead;

o Disallow 774 pending claims
o Object to various claims related to section 1110 aircraft stipulations
o Hearing on determining disputed claims reserve
o Motion of Aeritas, LLC to modify automatic stay
o Allowance and payment of administrative expense in connection with post-petition infringement of "589 Patent" & "903 Patent"
o Authorizing sale leaseback transactions with with Aercap Ireland Limited for 6 Boeing 737-823 aircraft
o Expand the scope of Winstead PC’s retention
o Authority to employ and retain Addleshaw Goddard LLP as special counsel
o Authorizing assumption of unexpired leases and establish cure amounts at ORD and LAX
o Approving extensions of time to assume or reject remaining leases LAX, ORD and ONT

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: commavia
Posted 2013-07-31 13:36:16 and read 6227 times.

AMR announced today that it has succeeded in issuing $1.41B in new debt, secured by 75 aircraft, to refinance existing debt. The great news for AMR is that the new debt has been refinanced at dramatically lower interest rates that the debts it replaces - in some cases less than half.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-08-01 08:10:11 and read 6095 times.

Tentative results are out for stockholder and creditor voting on the plan of reorganization.

With 88% eligible ballots cast, over 97% voted in favor of the merger.

http://finance.yahoo.com/news/amr-co...nces-voting-results-123000958.html

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: Revelation
Posted 2013-08-01 09:27:59 and read 5993 times.

Quoting LAXintl (Reply 127):

With 88% eligible ballots cast, over 97% voted in favor of the merger.

Which means a lot of folks who said it'd never happen need to get ready for their dose of crow pie...

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: uberflieger
Posted 2013-08-14 09:39:53 and read 5549 times.

guys, what's the impact of the DOJ decision on the actual bankruptcy proceedings?

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-08-14 19:12:59 and read 5369 times.

AMR says it will proceed as planned and ask the BK judge to certify the creditor votes and approve the plan of reorganization that involved the US Airways merger.

Hearing for this process was already planned for tomorrow - August 15th.

Bankruptcy case of American Airlines parent AMR goes on despite US lawsuit to block merger
http://www.startribune.com/politics/national/219637241.html

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: uberflieger
Posted 2013-08-15 08:15:45 and read 5145 times.

Judge Lane has doubts about AMR's bankruptcy plan

http://finance.yahoo.com/news/judge-...ubts-amr-bankruptcy-145011048.html

  

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: Prost
Posted 2013-08-15 13:25:15 and read 4914 times.

Quoting Revelation (Reply 128):
Which means a lot of folks who said it'd never happen need to get ready for their dose of crow pie...

Damned crows got out of the cage...

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: ECAMActions
Posted 2013-08-15 13:40:34 and read 4901 times.

Quoting Prost (Reply 132):
Damned crows got out of the cage...

Considering how weak the DOJ case against this merger is I expect most people on here to be eating multiple crow pies.
I doubt this even makes it to court but if it does I expect US/AA to prevail very easily.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-08-15 18:57:50 and read 4779 times.

Well today's hearings are done.

The judge closed the records for all matters related to the bankruptcy exit plan except for whether the DOJ case means for confirmation of the plan.

He asked all parties to submit by August 23rd their briefs on why he should or should not confirm the plan.
One of the AA attorneys pointed out there was zero harm in approving the plan, the only thing that is different is that the plan simply does not go into effect until the DOJ suit is squashed.

Hearing is scheduled on August 29th.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-08-26 07:51:39 and read 4330 times.

Items this week:

o Potential Impact of DOJ Action on proposed confirmation
o Motion of Dow Chemical Company for order modifying automatic stay allowing it to pursue various prepetition obligations by AMR
o GECAS limited objection to of section 1110 aircraft settlement stipulations rights with regards to other claims being asserted
o AMR objection to various aircraft claims covering 81 aircraft
o AMR objection to proff of claim of 100 equity securities parties
o Adversary Proceeding ALPA vs American Eagle

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-08-29 10:26:05 and read 4032 times.

BK court judge says he is leaning towards approving the AMR plan of reorganization which covers the AA-US merger regardless of DOJ lawsuit.
Basically the line of thinking is the confirmation would be conditional anyhow on required regulatory approvals, and would come back to the court if the merger was found to be disallowed or if terms of the merger had to change in the future.

Approval could likely come at the next scheduled hearing (Sept 12).


Judge indicates he’s leaning toward confirming the American Airlines bankruptcy plan
http://aviationblog.dallasnews.com/2...can-airlines-bankruptcy-plan.html/

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-09-09 07:54:56 and read 3504 times.

Court items for this week;

o Application of Cooley LLP, special counsel for compensation and reimbursement
o Application of Rothschild Inc. as financial advisor and investment banker for payment of compensation for professional services rendered
o Application of Cooley LLP, special counsel for reimbursement of expenses
o Application of Dewey & LeBoeuf LLP, for allowance of compensation for professional services rendered
o Application for authority to expand scope of employment and retention of Grant Thornton LLP as consultants
o Objection to 134 claims
o Authorize assumption of unexpired leases along with cure payments at LAX and ONT.

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-09-12 09:20:23 and read 3261 times.

And BK court today formally approved AMRs plan of reorganization which includes the US Airways merger.

Implementation of the plan is pending the DOJ lawsuit.

U.S. Bankruptcy Court judge confirms American’s reorganization plan
http://aviationblog.dallasnews.com/2...mericans-reorganization-plan.html/

=

Topic: RE: AMR Bankruptcy Court Thread - Part 4
Username: LAXintl
Posted 2013-09-23 09:34:34 and read 2436 times.

Court items this week --

o Extension to accept/reject leases on approx 90 RB211, JT8D and CF6 engines
o Approve reimbursement of expenses Incurred by individual unsecured creditors committee members
o Approve reimbursement of expenses Incurred by individual committee of retired employees members
o Objection to 30 superseded claims
o Approve assumed lease claims satisfied by cure payments
o Extension to assume of reject certain leases at AFW and DFW
o Authority to retain and employ Ernst & Young LLP
o Complaint for injunctive relief against violation of section 7 of the Clayton Antitrust Act

=


The messages in this discussion express the views of the author of the message, not necessarily the views of Airliners.net or any entity associated with Airliners.net.

Copyright © Lundgren Aerospace. All rights reserved.
http://www.airliners.net/