Participation in competitive, cyclical, and capital intensive airline industry Subpar but improving operating performance Respectable market position as third-largest U.S. airline, which would be improved somewhat by the proposed merger with US Airways Group Inc. Potentially significant revenue synergies from merger Significant debt burden will be lightened somewhat through bankruptcy process, although most obligations are secured debt and leases that will largely remain Substantial underfunding of pension plans, which are not being terminated in bankruptcy Heavy capital expenditure commitments to modernize aircraft fleet Not applicable for a company rated 'D'. Standard&Poor's Ratings Services will assign a new corporate credit rating when AMR Corp. emerges from Chapter 11, incorporating, if applicable, the effects of a merger with US Airways
