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AMR CEO Tim Horton admits that the carrier could become a takeover target candidate from...

  • Thursday, December 15, 2011, 2:26 PM ET
    AMR CEO Tim Horton admits that the carrier could become a takeover target candidate from "opportunists" in a letter to employees that was more direct in tone and less defiant than previous communications about the firm's prospects out of bankruptcy. He also writes that AMR will restructure debt and aircraft leases, ground planes, and will "most certainly end the process with fewer people than we have today." Shares trade down 4.4% on the day on their inevitable path to being worthless.
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This news story has 9 comments:

  •  
    Won't the stock pick up some steem once someone takes it over as he says ?
    Or even if the china deal happens ?
    This airline is very different that all the others in the past.
    AA still seats in a lot of cash , over $4 billion.
    15 Dec 2011, 02:36 PM Reply Like
  •  
    Probably not. Any potential purchase would go towards (partially) paying off creditors. The odds that a buyer would pay enough to make creditors whole so that there is some value left for common stockholders are remarkably low.
    15 Dec 2011, 03:44 PM Reply Like
  •  
    Would love to see some opportunists. Right now my stock is worth nothing and soon my wages will be diminished and my pension frozen.
    Buttt, outside of the CEO we have the same people in charge.
    Chances of anyone taking over the reins at American is extremely rare. Even Icahn would not be interested.
    15 Dec 2011, 02:37 PM Reply Like
  •  
    I would like to see the Transportation Union buy AMR.
    They are loaded with cash and could save a lot of employees jobs.
    16 Dec 2011, 01:36 PM Reply Like
  •  
    US Airways is the likely candidate, when will they throw their hat in the ring??
    15 Dec 2011, 02:39 PM Reply Like
  •  
    lol lol never.
    16 Dec 2011, 01:36 PM Reply Like
  •  
    "their inevitable path to being worthless." Why is SA injecting an opinion in providing a news bulletin? Obviously there is a whole market with people believing that the stock does have value. A better ending comment is that the shares continued to hold most of their value established this week.

    SA editors take note - injecting editorial comment based on no facts of these shares becoming worthless depreciates your service to investors. There was no news today to indicate anything new that would conclude that these shares will be worthless.
    15 Dec 2011, 04:18 PM Reply Like
  •  
    Mexcom,
    I am with you, I think there will be a taker or a partnership of some sord and the stock will spike just on the rumor.
    They are in talks with a china airline for route exchange and Join hub deals.
    Like you say there are a lot of investors holding it waiting for any good news on the line.
    also, no body knows what level of chapter 11 they are in and this process could takes the entire 2012 to conclude.
    The comment about any funds going to creditors is lame , as of now they are not liable for any debt any longer while in protection.
    And they are trying to re structure under this law.
    My opinion is that AMR will get out of this in good shape and the stock will start to move towards $2 soon.
    16 Dec 2011, 09:13 AM Reply Like
  •  
    "AMR" may get out of it but there will be little or nothing for shareholders. I read of shares moving to $3. How any value would get by the employees and creditors is a mystery.
    16 Dec 2011, 09:25 AM Reply Like
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