New Pension Bill Will Give Airlines Some Breathing Room, S&P Reports Aug 06

Standard & Poors, August 2006

Abstract
NEW YORK (Standard & Poor's) Aug. 8, 2006--Pension legislation approved by the Senate last week, and earlier agreed by the House of Representatives, should ease cash obligations for AMR Corp. and Continental Airlines Inc. over the next several years and facilitate the bankruptcy reorganizations of Delta Air Lines Inc. and Northwest Airlines Corp., according to "Pension Bill Gives Airlines Breathing Room," published by Standard & Poor's Ratings Services today. "By dramatically lengthening the pension deficit repayment period to 17 years, the legislation strengthens Delta's and Northwest's financial outlook and should help them attract debt financing, and possibly equity investment, to exit Chapter 11," said Standard & Poor's credit analyst Philip Baggaley. "While AMR and Continental gain less from the legislation,...

Companies mentioned in this report are:
- AMR Corp.
- United Airlines Inc.
- Delta Air Lines Inc.
- Northwest Airlines Corp.

Action: S&P Event

Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.

Research type: News
This product is a is a brief one-page announcement of no more than 500 words with a quote from the analyst. It is media and investor focused with no accompanying commentary article.

- AMR Corp.
- United Airlines Inc.
- Delta Air Lines Inc.
- Northwest Airlines Corp.

Customers who bought this item also bought

• Commercial And Military Flight Simulation - Global Strategic Business Report
• Aerospace and Defence Industry - Global Strategic Business Report
• Aerospace and Defense Industry - Global Strategic Business Report
• Aeronautical Telecom Solutions by Satellite, Global Market Analysis & Forecasts (2011 Edition)
• Analyzing the Russian Aerospace & Defense Industry
• Aerospace and Defense Report 2011
• Assessment of Technologies for Aircraft Communications
• Western European Markets for Firefighter Personal Protective Equipment
• The European Aerospace & Defense Industry
• The 111th U.S. Congress Tackles Healthcare Reform and the Pharmaceutical Industry