Full Description

AMR Corporation (AMR), incorporated in October 1982, operates in the airline industry. The Company’s principal subsidiary is American Airlines, Inc. (American). At December 31, 2008, American provided scheduled jet service to approximately 150 destinations throughout North America, the Caribbean, Latin America, Europe and Asia. AMR Eagle Holding Corporation (AMR Eagle), a wholly owned subsidiary of AMR, owns two regional airlines: American Eagle Airlines, Inc. and Executive Airlines, Inc. (Executive) (collectively, the American Eagle carriers). American also contracts with two independently owned regional airlines, which do business as the American Connection (the American Connection carriers). As of December 31, 2008, AMR Eagle operated over 1,400 daily departures, offering scheduled passenger service to over 150 destinations in North America, Mexico and the Caribbean. On September 12, 2008, American completed the sale of American Beacon Advisors, Inc., its wholly owned asset-management subsidiary.

American, AMR Eagle and the AmericanConnection airlines serve 250 cities in 40 countries with, on average, approximately 3,400 daily flights. The combined network fleet numbers approximately 900 aircraft. The American Eagle carriers and the American Connection carriers provide connecting service from 10 of American’s high-traffic cities to smaller markets throughout the United States, Canada, Mexico and the Caribbean.

American operates five hubs: Dallas/Fort Worth (DFW), Chicago O’Hare, Miami, St. Louis and San Juan, Puerto Rico. The American Eagle carriers provide connections at American’s hubs and certain other airports, such as Boston, Los Angeles, Raleigh/Durham and New York’s LaGuardia (LGA) and John F. Kennedy International (JFK) Airports. The American Connection carriers provide connecting service to American through St. Louis. The Company also provides international service to the Caribbean, Canada, Latin America, Europe and Asia. The Company’s operating revenues from foreign operations were approximately 40% of the Company’s total operating revenues during the year ended December 31, 2008.

American has marketing relationships with Air Pacific, Air Tahiti Nui, Alaska Airlines, British Airways, Brussels Airlines, Cathay Pacific, China Eastern Airlines, Dragonair, Deutsche Bahn German Rail, EL AL, EVA Air, Finnair, Gulf Air, Hawaiian Airlines, Iberia, Japan Airlines, Jet Airways, LAN (includes LAN Airlines, LAN Argentina, LAN Ecuador and LAN Peru), Malev Hungarian Airlines, Mexicana, Qantas Airways, Royal Jordanian, SNCF French Rail and Vietnam Airlines. American is a founding member of the oneworld alliance, which includes British Airways, Cathay Pacific, Finnair, Lan Airlines, Iberia, Qantas, Japan Airlines, Malev Hungarian, Dragonair, and Royal Jordanian. The oneworld alliance links the networks of the member carriers to enhance customer service and smooth connections to the destinations served by the alliance, including linking the carriers’ frequent flyer programs and access to the carriers’ airport lounge facilities.

The Company competes with AirTran Airways, Alaska Airlines, Continental Airlines, Delta Air Lines (including Northwest Airlines), Frontier Airlines, JetBlue Airways, Southwest Airlines, United, Virgin America Airlines and US Airways.