AMR Corp. Shares Plummet Amid Bankruptcy Worries

Strategic Insights -

Shares of AMR Corp. (AMR) continued to decline on Monday after-hours, with the company's stock price dropping 33% to close regular trading at $1.98. The volatility was triggered by market fears that AMR may file for bankruptcy protection, with several analysts mentioning the prospect of a filing in their coverage. In response to TheStreet's request for comment, AMR spokesperson Andrew Backover stated that the company is focused on improving its results and not considering a court-supervised restructuring.

Key Takeaways:

  • AMR Corp. shares dropped 33% to close regular trading at $1.98, with volume exceeding 76 million.
  • The stock was briefly halted during the regular session due to the volatility triggered by bankruptcy worries.
  • AMR's average daily volume is around 11.7 million.
  • The airline sector took a hit on Monday, with United Continental (UAL) closing down 11.7%, Delta Airlines (DAL) falling 11.3%, US Airways (LCC) dropping 16%, and Southwest Airlines (LUV) losing 8.5%.
  • Bank of America (BAC) shares remained active after the closing bell, losing another 2 cents to $5.51.
  • The company is facing difficulties, including a major backlash over its plan to assess a monthly fee of $5 for debit card usage.

Statistics:

  • 98 cents: AMR Corp. stock price drop.
  • 76 million: Volume of AMR Corp. shares traded.
  • 11.7 million: AMR Corp.'s average daily volume.
  • $1.75: AMR Corp.'s session low, its worst level in over 8 years.
  • 8%: AMR Corp. shares bounce in late trades.
  • $2.05: AMR Corp.'s overnight price.
  • 4.3 million: Sprint (S) trade volume.
  • 92 million: General Electric (GE) trade volume.

Sources:

  • TheStreet.com
  • The Wall Street Journal
  • Nasdaq.com