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’American Airlines in trouble
Spotted flying at a few hundred feet above bankruptcy:
AMR (American Airlines’ parent company) stock was halted three times in 23 minutes on Monday amid rumours that the firm is to file for Chapter 11,
TPG, American offer JAL $1.1bn
American Airlines said it, Oneworld alliance members and private equity fund TPG would be willing to invest $1.1bn in Japan Airlines to bolster the airline’s finances and prevent it from defecting to a rival alliance,
Delta readies for $1bn JAL deal
Delta Airlines and alliance partners have prepared a $1bn package for Japan Airlines to lure the carrier from a grouping with American Airlines, reports Bloomberg. Delta and other SkyTeam members may buy $500m in Japan Air shares or convertible securities,
American Airlines raises $2.9bn
AMR, the parent of American Airlines, has struck financing accords with GE and Citigroup that will free $2.9bn in cash to help offset a slump in air-travel demand, reports the FT. Shares of the carrier jumped more than 23% on Thursday’s news,
American eyes stake in JAL
American Airlines has told Japan Airlines it would consider an equity investment in its Asian ally as part of a sweeping transpacific JV agreement between the two carriers, in a bid to ward off an approach by Delta Air Lines to the Japanese carrier.
American Airlines in talks for Citi cash
American Airlines is in early talks to raise cash from Citigroup, its credit card partner, after recently securing a $100m loan from Germany’s DVB Bank. The talks, which centre on their co-branded credit card,
Lex on airline mergers
It is wise if you’re heading into air turbulence to have a parachute, notes Lex, and British Airways “has three tucked under its seat”: ongoing merger talks with Iberia, a potential tie-up with American Airlines,
American, Iberia and BA plan JV
American Airlines, British Airways and Spain’s Iberia are close to applying for antitrust immunity to form a joint venture that would be one of the most powerful forces in the transatlantic aviation market.
A turbulent week for US airlines (and their investors)
On Monday, JP Morgan’s airline team engaged in a bit of Meredith Whitney-esque headline-grabbing. Not only would the airline industry lose $7.2bn this year, they said, but there would also be blood – and bankruptcies:
BA eyes tie-ups with US carriers
British Airways, American Airlines and Continental Airlines are “exploring opportunities for co-operation” that could lead to a transatlantic alliance of three of the world’s biggest carriers. Confirmation by BA and American of the talks comes amid intense manoeuvring among US carriers triggered by the recent announcement of the planned takeover by Delta Air Lines of Northwest Airlines.
AMR to divest American Eagle
American Airlines has unveiled plans to shed its American Eagle regional air service, one of four divisions the carrier is reviewing amid pressure from investors. The announcement comes a month after American revealed it was studying options for American Eagle;
Flights of fancy
Qantas bowed to a buy-out and takeover rumours have swirled around BA and, most recently, American Airlines. So what does it mean when private equity starts sniffing around the notoriously unstable airline industry,