Amr Cuts Payroll, Names New President
AMR Corp., the parent of American Airlines, on Wednesday announced 900 layoffs in order to cut costs and the naming of a new president for the nation’s secondlargest air carrier.
The moves, which are expected to save the company $93 million a year, come as the airline struggles with years of losses. It already has slashed routes and operations, furloughed 610 pilots, slashed capital spending and cut its fleet.
Donald J. Carty, 48, was named president of American Airlines, replacing Robert L. Crandall, who will continue as chairman, president and chief executive officer of AMR and chairman and CEO of American.
Carty will take responsibility for operations, marketing, labor negotiations, safety and capacity planning for American, and AMR’s four American Eagle commuter carriers.