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Complete coverage of the bankruptcy proceedings and its impact on customers and the local economy
AMR Pushes to End Two Costly Leases
Airline in court to fight lease agreements
Ben Russell
Attorneys asking to be freed from the leases on 24 airplanes stored in the desert and an unused maintenance facility.
Attorneys for AMR, the parent company of Fort Worth-based American Airlines, are in a New York bankruptcy court Thursday fighting to free the company from unwanted expenses.
AMR filed for Chapter 11 bankruptcy protection late last month. Thursday's hearing will be the second appearance before the bankruptcy judge who will help bring the company into financial solvency.
Attorneys, among other requests, will ask for AMR to be freed from the leases on 24 airplanes that the company pays for but no longer uses. Those airplanes are kept in storage in the desert.
Another request will focus on freeing the company from its responsibility to pay rent on a maintenance facility in Kansas City that American Airlines stopped using years ago.
Experts have predicted that the bankruptcy process will take a year to 18 months to complete.
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