Satisfactory liquidity, with $4.5 billion of unrestricted cash and short-term investments, and some assets available for collateral (in contrast to most other large U.S. airlines); and Largest U.S. airline, with substantial market positions in the domestic market, U.S.-U.K. routes, and U.S.-Latin America routes. Participation in the price-competitive, cyclical, and high operating leverage U.S. passenger airline industry; Poor near-term U.S. airline industry outlook, due to very high fuel prices and likely recession; A heavy (though declining) burden of debt, leases, and unfunded retiree liability; Highest labor costs among U.S. airlines, with pressure from unions to increase compensation, representing a competitive disadvantage against peer airlines that restructured in bankruptcy and low-cost airlines; and A large portion of American's narrow-body fleet consists of
