This is only a trading stock. Dont think if you own AAMRQ, that youre going to receive anything from this merger. Shareholders usually get nothing in most Chapter 11 cases. Chapter 11 gives companies to ability to get rid of obligations, such as share holders and their shares. It gives them the right to issue new shares, in which will happen. If you own AAMRQ, you own no part of AMR. Like I said, this is just a trading stock now, in which I feel youre crazy if you are trading this. Dont let anyone fool you. This is the truth.
In an unusual development for airline bankruptcies, shareholders in bankrupt AMR will receive at least 3.5% of the combined company. They would receive more than 3.5% if other claims are first paid in full.
AMR's unsecured creditors are expected to be made whole on their claims in the form of stock in the merged company and also get accrued interest, the people said. AMR's shareholders will get a small equity stake as well, they added.
Under the terms of the merger agreement, at the time of closing each outstanding share of common stock of US Airways will be exchanged for one newly issued share of common stock of AMR Corporation and stakeholders of AMR Corporation and its debtor subsidiaries will receive newly issued shares of AMR Corporation’s common stock.
Sorry, Im calling BS on that. AMR isnt obligated to do ANYTHING for shareholders. Thats what Chapter 11 is for..to start fresh. They would have to have a generous heart to give any shareholder a small equity stake, which would amount to hardly nothing anyway. What company has a heart? Wont happen