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Published on 10/30/2013 in the Prospect News Distressed Debt Daily.

Closing arguments for AMR merger injunction trial set for Jan. 6

By Caroline Salls

Pittsburgh, Oct. 30 - Closing arguments in the trial on the Department of Justice's challenge of the proposed merger of AMR Corp. subsidiary American Airlines, Inc. and US Airways Group, Inc. are scheduled for Jan. 6, according to a trial procedures order filed Wednesday in the U.S. District Court for the District of Columbia.

The trial is scheduled to begin on Nov. 25. According to Wednesday's order, the trial is expected to conclude on Dec. 16 or Dec. 17.

Specifically, the procedures order said the trial is expected to last 10 to 12 court days, with the trial to be held from 9 a.m. to 5 p.m. ET on Nov. 25, Nov. 26 and Nov. 27, Dec. 2, Dec. 3, Dec. 4, Dec. 5, Dec. 6 and Dec. 9, part of Dec. 10 and, if necessary, Dec. 16 to Dec. 20.

Post-trial briefs are due either 14 days after the conclusion of the trial or, if that date is a holiday, 15 days after the trial ends.

A pretrial conference is scheduled for Nov. 21.

As previously reported, AMR's plan of reorganization has been confirmed by the U.S. Bankruptcy Court for the Southern District of New York.

The company said previously that the effective date of the plan and its Chapter 11 emergence were expected to occur simultaneously with the closing of the planned merger with U.S. Airways, which has been delayed by the anti-trust lawsuit filed on Aug. 13 by the U.S. Department of Justice and several states.

AMR's official committee of unsecured creditors said in a motion filed earlier this week that the injunction sought by the Department of Justice against the merger would "return the AMR bankruptcy to square one with likely disruption and disarray among numerous, financially unaligned stakeholders."

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


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