Can a Merger Save AMR? Investors Apparently Don’t Think So
By Avi Salzman
Thomas Horton, the president of American Airlines parent AMR (AMR), told the Times of London that he wants the company to merge with International Group, the owner of British Airways and Iberia, the New York Times reported today.
U.S. law forbids foreign companies from owning more than 25% of a U.S. airline, but Horton expects those rules to change and thinks he will see the two companies merge within his “working lifetime.”
The investment community, however, appears more skeptical. AMR, which posted weak results a couple of weeks ago, was down 2.4% this afternoon.
Can a Merger Save AMR? Investors Apparently Don’t Think So - Stocks To Watch Today - Barrons.com