Originally Posted by
austin_modern
Originally Posted by
LetsGoToo
Very interesting. It looks like Citi is going to be the credit card provider. AA can't afford the chaos of not doing it.
really? Isnt bankruptcy precisely for getting out of these kind of agreements and stiffing other folks and businesses with broken contracts and financial losses?
From the article:
"Citibank advanced $1 billion to American in September 2009 to pre-purchase miles in the AAdvantage frequent-flier program. The obligation is secured by takeoff and landing rights at airports, airport facilities, route authorities and other assets."
I think losing those assets would be chaotic for AA.