NEW YORK (Standard&Poor's) July 19, 2006--AMR Corp. (B/Stable/B-2), parent of American Airlines Inc. (B/Stable/--), reported second-quarter net earnings of $291 million, far above a $58 million profit in the like period last year. Standard&Poor's Ratings Services' ratings, which were raised to current levels June 6, 2006, and outlooks on these entities are not affected. The much-improved results reflect strong revenue generation (American's revenue per available seat mile was up 11.7%), which more than offset 27% higher fuel expense. American, like other U.S. airlines, is benefiting from improved pricing and higher load factors, particularly in the domestic market, where bankrupt competitors have reduced seat capacity. However, there is some risk that further increases in oil (and thus
