FORT WORTH, Texas, April 8, 2014 /PRNewswire/ -- American Airlines
Group Inc. (the "Company") today provided the following notice to
holders of its Series A Convertible Preferred Stock (NASDAQ: AALCP)
(the "Convertible Preferred Stock") pursuant to Section 5.1 of the
Certificate of Designations governing the terms of the Convertible
Preferred Stock. Capitalized terms not otherwise defined in this
notice have the meaning set forth in the Certificate of
Designations.
- The remaining 17,230,082 shares of Convertible Preferred Stock
will be converted into shares of Common Stock (NASDAQ: AAL) as of
the close of business on April 8,
2014.
- The Conversion Price used for determining the number of shares
of Common Stock issuable upon conversion of the Convertible
Preferred Stock is $33.8080. For each
$1,000 in Stated Value of Convertible
Preferred Stock mandatorily converted, holders will receive 29.5788
shares of Common Stock. Stated a different way, each share of
Convertible Preferred Stock mandatorily converted will be converted
into 0.7549 shares of Common Stock, subject to rounding.
- The Depository Trust & Clearing Corporation (DTCC) will be
processing the conversion on its systems on the morning of
April 9, 2014.
Additional Common Stock Distributions
- Pursuant to Section 4.5 of the Company's Fourth Amended Joint
Plan of Reorganization (the "Plan"), holders of AMR Common Stock
(formerly traded under the symbol: "AAMRQ") will receive, for each
share of previously owned AMR Common Stock, a distribution of
approximately 0.1864 shares of AAL stock on or about April 10, 2014. AAMRQ holders may in the future
receive additional distributions pending the resolution of the
Disputed Claims Reserve on or after June 30,
2014.
- Pursuant to Section 5.15 of the Plan, holders of convertible
notes who elected to be treated as if they had converted their
notes to AMR Common Stock prior to the Effective Date will also
receive a distribution of shares of AAL. Individuals who held AMR's
6.25% Convertible Senior Notes due in 2014 and elected to be
treated as if they held AMR Common Stock will receive 20.4245
shares of AAL for each $1,000 of
principal amount thereof, and individuals who held AMR's 4.5%
Convertible Senior Notes due 2024 and elected to be treated as if
they held AMR Common Stock will receive 9.000 shares of AAL for
each $1,000 of principal amount
thereof, in each case on or about April 10,
2014.
- Pursuant to Section 4.4, 4.11 and 4.17 of the Plan, 41.5144
million shares, inclusive of the Disputed Claims Reserve, will be
distributed on or about April 10,
2014 in satisfaction of the Single-Dip Non-Preferred
Allocation. This distribution will be the final distribution in
satisfaction of Single-Dip claims.
- The Disputed Claims Reserve will contain a total of 30.4052
million shares, which will be distributed in accordance with
Section 7.3 of the Plan. Allowed claims will receive 30.7553
shares, subject to reduction for expenses of the Disputed Claims
Reserve, including tax liabilities, for each $1,000 of allowed claims.
- Also pursuant to the Plan, 11.6628 million shares are being
distributed as part of the Labor Common Stock Allocation (as
defined in the Plan).
Additional Information and Where to Find It
For questions about distributions under the Plan, please
visit amrcaseinfo.com.
For information about American Airlines Group Inc., including
financial information, corporate governance and its SEC filings,
please visit aa.com/investorrelations.
About American Airlines Group
American Airlines Group (NASDAQ: AAL) is the holding company for
American Airlines and US Airways. Together with American Eagle and
US Airways Express, the airlines operate an average of nearly 6,700
flights per day to 339 destinations in 54 countries from its hubs
in Charlotte, Chicago, Dallas/Fort
Worth, Los Angeles,
Miami, New York, Philadelphia, Phoenix and Washington, D.C. American's AAdvantage and US
Airways Dividend Miles programs allow members to earn and redeem
miles for travel and everyday purchases as well as flight upgrades,
vacation packages, car rentals, hotel stays and other retail
products. American is a founding member of the
oneworld® alliance, whose members and
members-elect serve 981 destinations with 14,244 daily flights to
151 countries. Connect with American on Twitter @AmericanAir or
Facebook.com/AmericanAirlines and follow US Airways on Twitter
@USAirways and on Facebook.com/USAirways.
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SOURCE American Airlines Group Inc.