Sherman's Travel

Swirling rumors of American Airlines pending bankruptcy proved true this morning, when the parent of the carrier, the AMR Corporation, filed for bankruptcy protection. The airline – the last major legacy airline in the country to file for Chapter 11 – has pledged that the filing will allow it to emerge as a stronger company, by affording it the opportunity to reduce labor costs and emerge from debt. Speculations are being made that this latest bankruptcy filing might give birth to another round of airline consolidation, considering that the bankruptcy declarations by Delta led to their teaming up with Northwest, while United’s led to a merger with Continental. So what does this all mean for you, the traveler? Well, by all accounts, not too much – it’s really the airline’s employees and stockholders that will bear the brunt of the envisioned restructuring. Read on for some Q & A on what to expect if you already have tickets or are still interested in booking a flight with AA:

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