AMR to pay millions on debt due to vote extension

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AMR to pay millions on debt due to vote extension  =

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Tuesday April 15, 5:03 PM EDT =


DALLAS, April 15 (Reuters) - American Airlines said on Tuesday it would f=
ile for bankruptcy if its flight attendant rejected a concession deal, ad=
ding it will be forced to make millions of dollars in debt payments becau=
se it extended a deadline on the vote.

American, a division of AMR Corp. (AMR). had asked all three of its major=
 unions to ratify concession deals aimed at saving the world's largest ca=
rrier $1.8 billion in annual labor costs by Tuesday. It extended the voti=
ng until Wednesday for flight attendants, the only group that rejected th=
e deals.

"In order to be able to extend the deadline, the company announced that i=
t will immediately make millions of dollars in scheduled debt payments du=
e today as part of its ongoing commitment to preserve jobs and avoid bank=
ruptcy," it said in a statement.

"With almost 10,000 jobs hanging in the balance, and the future of 100,00=
0 employees at stake, we agreed to take this risk and make this investmen=
t for our employees because we believe that all employees will be better =
off if we can save jobs and restructure our costs consensually rather tha=
n through the bankruptcy process," AMR Chairman Don Carty said. =



=A92003 Reuters Limited. =


Roger
EWROPS

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