Route to bankruptcy
Events outside American Airlines' control ultimately pushed the Fort Worth-based carrier into bankruptcy, but it was decisions by company executives that paved the way by leaving American outmaneuvered, analysts and experts say. Here are three turning points on the way to the Nov. 29 filing.
Market forces: Higher labor costs, a global economic slowdown, high fuel prices and a credit downgrade were factors in the board's decision to declare bankruptcy.
Executive pay/morale: "Pull Together -- Win Together" dissolved amid millions in stock bonuses that destroyed good will between executives and rank-and-file employees.
Strategic decisions: American delayed upgrading to a newer, more efficient fleet, and declined to pursue a merger, even as other airlines did.
Airlines improve customer satisfaction scores with better on-time performance
Bad weather and a computer failure are blamed for the AMR regional carrier’s struggles.
Five executives from US Airways and three from American will lead carrier.
AMFA says federal regulators won’t let it join in on the American mechanics’ union representation election
Excluding reorganization fees and accounting items, AMR would have posted a monthly net profit of $14 million.
The Teamsters union, which filed documents with the National Mediation Board, is also seeking a representation election for US Airways mechanics.
Tips on taking toddlers to Disney World
Even the smallest visitors can have a great time with a little help from Mom and Dad.
