Originally Posted by
B767
Can someone please explain, in Layman's terms, why the divestiture is better for the shareholders. AMR stock is a whopping $3.32. Now the shareholders will get stock in a, pretty much, worthless public company. How will they make money off the divestiture? Add to that that AMR will keep AE debt, which will lower the stock price. We can't be the only ones thinking AMR will file ch 11.
"posible" divestiture = In negotiations with AA pilots while they start retiring and demand for pilots at AA starts to increase (they want to get the contract signed and relax SCOPE limitations) and also AE pilots approaching contract negotiations as well as need senior pilots to move on so we can lower pilot cost. AMR wants to feel Eagle, if not sold will continue with the potential of a spin off. Read all the quotes from AMR officials, AE could remain wholly owned but spreading the feed remains a priority.