American Air says raised $617 mln in bond financing

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American Air says raised $617 mln in bond financing  =

 =


Wednesday September 25, 1:41 PM EDT =


FORT WORTH, Texas, Sept 25 (Reuters) - American Airlines, a unit of AMR C=
orp. (AMR), on Wednesday said it had raised $617 million Tuesday through =
an aircraft-secured bond financing in the public capital markets.

The world's largest air carrier said the bonds sold were structured as en=
hanced equipment trust certificates (EETC) and were credit-wrapped by an =
AAA-rated insurance provider, MBIA Insurance Corporation (MBI).

Earlier on Wednesday, AMR Chairman Donald Carty said American will cut it=
s capacity by about 2 percent beyond announced plans over the next few mo=
nths as it aims for about $3 billion in structural cost savings.

American slashed capacity by about 20 percent after the Sept. 11, 2001, a=
ttacks and announced an additional 9 percent capacity cut about two month=
s ago, but Carty said on Wednesday he expected the latest figure to be cl=
oser to 10 or 11 percent.

AMR shares were up 45 cents, or 12.5 percent, at $4.05 on the New York St=
ock Exchange on Wednesday. =



=A92002 Reuters Limited. =


Roger
EWROPS

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