American Airline Bankruptcy Filing Could Get Expensive

December 2, 2011
By

When American Airlines sought protection from its creditors and declared bankruptcy earlier this week, it sent shockwaves throughout the air travel community.

It was also cause for Logan Airport officials to scrutinize what the airport’s outside liabilities are with AA – who will be seeking to renegotiate all or vast parts of its substantial debt and obligations.

Moments after the filing, the FAA announced it would be stepping-up safety inspections, including enhanced oversight of the airline’s maintenance practices and pilot training.

Random checks of AA’s planes parked at gates as well as overnight in hangers have increased dramatically, according to Logan Airport officials.

The bankruptcy filing will affect the airline’s creditors however it is expected to have little to no impact on airline operations.

Passengers will experience virtually no change in service.

  • Eastiegails

    Filing for bankruptcy probably gives them an opportunity to try and squeeze their employees, yet again, to take some cuts in their benefits, etc.