AMR looks to pay creditor professionals' fees tied to plan formulation

By Caroline Salls

Pittsburgh, Aug. 29 - AMR Corp. requested court approval to pay work fees and expenses of professionals hired by an informal group of creditors in connection with formulation of a potential plan of reorganization for the company, according to a Wednesday filing with the U.S. Bankruptcy Court for the Southern District of New York.

A group of "substantial creditors" of the AMR debtors formed the group in April.

AMR said the group has expressed an interest in participating in the formulation of a plan of reorganization.

In addition, the company said the group has expressed interest in potentially providing for any equity and other financings that may be required to support American Airlines' business plan and the completion of a Chapter 11 plan or plans.

The group is prepared to negotiate with the AMR debtors concerning a plan or plans and the financing commitments, subject to appropriate due diligence, the motion said.

The proposed work fees and expenses would be paid in connection with the group's due diligence, analyses, negotiation, preparation and potential obtaining of the commitments.

A hearing is scheduled for Sept. 20.

AMR, the Fort Worth-based parent of American Airlines, filed for bankruptcy on Nov. 29, 2011. The Chapter 11 case number is 11-15463.

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