AMR Bankruptcy Exit Timeline Points to Third Quarter

The company said Solicitation packages will be distributed by June 20 and the voting deadline is July 29. Its court hearing is scheduled for Aug. 15, 2013. AMR signaled that the reorganization plan is supported by the official committee of unsecured creditors, and holders of about $1.6 billion of prepetition unsecured claims also have committed to vote to accept the Plan.

AMR’s merger with US Air is expected to provide a recovery of 3.5% of the common stock  of the combined company for holders of existing AMR equity securities, with the potential for such holders to receive additional shares. US Airways holders are set to receive one share of common stock of the combined company for each share of US Airways common stock then held and will represent 28% of the diluted equity ownership of the combined company. AMR’s stakeholders, unions, and employees will hold the remaining 72% of the diluted equity ownership of the combined company.

With les than a month left in the second quarter, the third quarter is much closer than it sounds.