Why hasn't American Airlines declared bankruptcy yet?

Question

I heard on a TV program about the company that they haven't declared bankruptcy yet, unlike big U.S. airlines such as United and U.S. Airways just to name a few.

Thank you

Answer 1

Because they have integrity.  Declaring bankruptcy means cheating customers, lenders, employees and investors.  AA is the only legacy airline to have never hidden behind a bankruptcy court.

Answer 2

Because George dubya Bush is still around. Hurrah for his economic policies!!

Answer 3

Amazing what you can do in contract negotiations with a sharp pencil.

Answer 4

They're trying to ride it out, or possibly hoping for another government bailout.

Answer 5

CNBC did a special show called "A day in the life of American Airlines"  In the show the president of the company said that AA wanted to avoid bankruptcy because when a company does that it's creditors get pennies on the dollar.  The same companies that AA would need a good business arrangement with after all is said a done.  It also makes it very hard for the company to borrow money needed after bankruptcy to get back on it feet.

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