Trading on the New York Stock Exchange in the common stock of the parent company of American Airlines will be halted after next Wednesday.
The regulatory arm of the exchange, NYSE Regulation, said Thursday that it determined that the common stock of AMR Corporation and related listed securities will be suspended prior to the opening of trading on Thursday, January 5, 2012.
The move comes because the price of AMR stock has been under $1 for 30 consecutive days. AMR filed for bankruptcy protection on November 29.
AMR expects to trade its securities under new symbols on over-the-counter markets operated by the OTC Markets Group.
Due to the company's Chapter 11 filing, AMR is not able to affirm an intent to cure the aforementioned share price deficiency and, accordingly, does not oppose the suspension and delisting of its securities.
The company expects that price quotations for its common stock and publicly traded debt securities will be available under new symbols on the OTC Bulletin Board (OTCBB) and Pink Sheets Electronic Quotation Service as early as Jan. 5, 2012.
The company will publicly announce the new symbols and their effective date as soon as practicable.
AMR and various of its U.S.-based subsidiaries (including American Airlines and American Eagle) filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code with the U.S Bankruptcy Court for the Southern District of New York on November 20.
AMR, at the time, said the petitions were designed to result in “a cost and debt structure that is industry competitive and thereby assure its long-term viability and ability to continue delivering a world-class travel experience for its customers.’’
Tom Steinert-Threlkeld writes for Securities Technology Monitor.