Tag Archives: AMR Corporation

Queens’ Morning Roundup


| ctumola@queenscourier.com


TODAY’S FORECAST

Wednesday: Overcast with thunderstorms and rain showers, then thunderstorms in the afternoon. High of 81. Winds from the SW at 10 to 15 mph. Chance of rain 80% with rainfall amounts near 0.4 in. possible. Wednesday night: Mostly cloudy in the evening, then partly cloudy. Low of 75. Winds from the West at 5 to 10 mph. Chance of rain 20%.

EVENT of the DAY: Alobar’s Tomato Festival

All this week, Long Island City restaurant Alobar is honoring the harvest season with a rotating menu of tomato dishes supporting local farms at $30 per person for two courses and a cocktail or glass of wine. Click here for more info or to submit an event of your own

Seven Queens schools slated for closure re-open this week

After months of uncertainty, many teachers at seven Queens high schools previously slated for closure are going back to work. Read more: New York Daily News 

Internet currency exchange biz owner gets jail for tax conviction

The owner of an Internet currency exchange business is going to prison on a tax conviction. U.S. Attorney Preet Bharara announced the two-year sentence today for Ilya Boruch of Forest Hills, Queens. Read more: New York Post

 School in Queens to serve “brunch”

he thought of having lunch, or as the principal of IS25 calls it “brunch,” at 9:45 in the morning is not going over well. Come Thursday, many students at the middle school in Auburndale, Queens will feast on roast chicken, rice and pinto beans, just two hours after their day. Read more: ABC New York

Juniper Valley Park plagued by trash, vandalism and under-aged drinking, civic leaders say

Underage boozing, vandalism and mounds of trash have plagued Juniper Valley Park all summer due to lack of Parks Enforcement Patrol officers, civic leaders say. Read more: New York Daily News

With City Council redistricting looming, activists unveil “Unity Map”

Activists are trying to protect the city’s minority groups as the City Council district lines are about to be redrawn. Minority advocate groups unveiled their so-called Unity Map Tuesday. Read more: NY1

Ed Koch being treated for anemia at New York Presbyterian

Former mayor Ed Koch was being treated at New York Presbyterian on the Upper West Side and will remain hospitalized for a few days after undergoing a blood transfusion, officials said Tuesday night. Read more: CBS New York

Airlines to face trial over 9/11

The AMR Corporation’s American Airlines and United Continental Holdings must face a federal trial over negligence claims tied to the hijacking of jetliners used in the Sept. 11, 2001, terrorist attacks, a federal judge ruled Tuesday. Read more: New York Times

Mrs. Obama: Husband knows what struggle means

Democrats are using one of Barack Obama’s strong suits, that voters believe he understands the problems of ordinary people, to trump his weakest suit, the economy. Read more: AP

American continues to fly, despite Chapter 11


| mchan@queenscourier.com


American Airlines — and its parent company AMR Corporation — have filed for reorganization under Chapter 11 bankruptcy protection, but the company said it is still operating normal flight schedules, as well as honoring tickets and refunds.

“This was a difficult decision, but it is the necessary and right path for us to take – and take now – to become a more efficient, financially stronger and competitive airline,” said AMR President Thomas Horton, who is also the company’s newly-appointed chairperson and CEO. “We have met our challenges head on, taking all possible action to secure our long-term position.”

AMR filed voluntary petitions for Chapter 11 in the United States Bankruptcy Court for the Southern District of New York on November 29.

The Chapter 11 process enables the company to continue conducting normal business operations while they restructure their debt, costs and other obligations. According to the U.S. Courts, Chapter 11 debtors usually seek debt relief by proposing a plan of reorganization to keep its business alive and pay creditors over time.

According to a statement released by the company, AMR has $4.1 billion in unrestricted cash and short-term investments to ensure uninterrupted supply of goods and services during the proceedings. The money allotted will go toward fully maintaining AAdvantage frequent flyer and other customer service programs, ensuring all AAdvantage miles and elites status earned by members remain secure and intact, providing employee wages, healthcare coverage, vacation and other benefits without interruption and paying suppliers for goods and services received during the reorganization process.

AMR will be filing monthly operating reports with the Bankruptcy Court and also plans to post monthly operating reports on the Investor Relations section of their website, AA.com.

“Our very substantial cost disadvantage compared to our larger competitors, all of which restructured their costs and debt through Chapter 11, has become increasingly untenable given the accelerating impact of global economic uncertainty and resulting revenue instability, volatile and rising fuel prices and intensifying competitive challenges,” Horton said.

Competitors Delta, United, Continental and US Airways have all previously filed for Chapter 11 reorganizations.

“But as we have made clear with increasing urgency in recent weeks, we must address our cost structure, including labor costs, to enable us to capitalize on [our] foundational strengths and secure our future,” said Horton.

For more information, visit AA.com/restructuring.