American Airlines reworks credit terms with lenders

NEW YORK, June 25 (Reuters) - American Airlines (AMR.N) has obtained the approval of its lenders to rework the terms of a credit agreement with its lenders, according to a regulatory filing on Thursday.

The remaining loan facility under the credit agreement consists of a fully drawn $433 million secured bank term loan facility with a final maturity of Dec. 17 2010.

The airline and its guarantor AMR Holding will be allowed to waive stringent profit ratio requirements for the period ending on June 30 but thereafter AMR will be required to maintain a ratio of cash flow to fixed charges above agreed minimum levels over the next several quarters.

American will pay fees to the lenders who agreed to the amendment.

(By Yinka Adegoke, tel:+1 646 223 6000)