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On 4 October we said that “American Airlines Bankruptcy Rumors Premature,” but apparently they were nonetheless correct. The company issued a press release on 29 November 2011 which said, “AMR Corporation (“the Company”), the parent company of American Airlines, Inc. (“American”) and AMR Eagle Holding Corporation (“American Eagle”), announced that in order to achieve a cost and debt structure that is industry competitive and thereby assure its long-term viability and ability to continue delivering a world-class travel experience for its customers, the Company and certain of its U.S.-based subsidiaries (including American and American Eagle), today filed voluntary petitions for Chapter 11 reorganization in the U.S. Bankruptcy Court for the Southern District of New York.” American Airlines Files For Bankruptcy

Airline employees and air travelers with tickets on American Airlines can seemingly breath a sigh of relief as the panic-driven crash of American Airlines (AA) parent company stock – that’s AMR folks – yesterday (3 October 2011) – seems to be an unwarranted and short term problem. We don’t normally report on airline finance and stock prices here at Airline Explorer but this event seemed worth a little ink. American Airlines Bankruptcy Rumors