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Sun, Jan 23, 2005

American Airlines Has Doubts About A380

AMR CFO Beer Questions Whether Huge Airliner Fits Future World Market

James Beer, CFO of the parent company of American Airlines, AMR, commented last week during a conference call the company is of the opinion the new Airbus A380 super jumbo jet "doesn't really fit with the way we see the world market in the future."

During the conference call, which AMR was holding to announce the company's 4Q04 financial results, Beer talked about the airline's plans to purchase aircraft. So far, AMR has deferred delivery of 54 Boeing airliners due to the well known financial problems the airline has suffered since 9/11.

However, when Beer was asked what he thought of the Boeing 7E7 Dreamliner, he did not state that the company was considering purchasing the smaller, more economical aircraft, but he did not close the door on it as he appeared to do with the Airbus product. Beer stated that so far, no plans had been made, but it is "clearly a long-term possibility."

FMI: www.amrcorp.com

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