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American Airlines Could be Fined a Record $162.4 Million by the FAA

American Airlines could have a record $162.4 million in fines levied against them by the FAA for multiple violations according to court documents in the airline’s bankruptcy case.“The documents detail both proposed and potential civil penalties in connection with ongoing enforcement cases involving both American Airlines and American Eagle,” the agency said in its statement. “Because these cases remain open, the FAA cannot discuss the details of the individual investigations.” ( Ещё...

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indy2001 3
"Could be" is the key phrase here. The media routinely tells us the maximum penalty that someone could get, but how often is that maximum penalty actually imposed? Likewise, the FAA routinely reduces fines when airlines work to remedy the situation.
sparkie624 2
American is not the airline I would be concerned with on Maintenance... Since they are in Bankruptcy, the FAA will have them under the Magnifying Glass.
Jon Van Staalduinen 2
Anyone else deeply concerned over the maintenance neglect? Wiring? Landing gear? Engine? I am far from an aircraft mechanic but I know these are not areas to be neglected.
Gene spanos 2
We can only hope that for those in the air as we speak that all flights will land safely and that all planes on the ground will get checked out.
Thank you.
Those families locked
in the glide paths here
at O'Hare.
Marcus Pradel 3
Sure, get in line behind shareholders, the union & bondholders to collect pennies on any fines.
Toby Sharp 3
They will never get this money.......Marcus is totally right
Brantley Hinshaw 1
to American Airlines Headquarter...go back to NYC where your original business belong. Braniff International was the successful business. F U AA!
That will take the lift out of the wings!
jmilleratp 1
Put THAT in your Quarterly Report!
Thomas Lillis IV 1
I think I'm missing something. I was under the impression that one of the key differences of AA compared to other airlines is that they "in sourced" maintenance and it was still done in the US. If so, how do they wind up in such a mess.

Or do I have the wrong airline?
JetMech24 1
You got it right, but that also had a part in their downfall.
Donald Brockhaus 1
It's sad to see another of America's once-great airlines go down the tubes. There aren't many left.
jrkent11 0
American was a great airline from CR SMITH DAYS TO 1980. I worked for Americanfrom 1969 to 1979. Crandal took over as CEO and he and each succeding Ceo have ruined the airline. Bean counters and not aviators are ruining our airline system.
Michael Fitzgerald 0
All of you calling for a corporation to fail because the CEO makes a lot of money, are falling for the class warfare crap being dished out by Obama. Wake up and understand what is happening to our free enterprise system.
Brantley Hinshaw 0
love to see if American Airlines goes out of business!!! Wanted Braniff International back in business and not to hire all ex-AA workers!
Jon Van Staalduinen 0
I agree Michael, why would anyone desire an American company owned and run by Americans to fail?

[This poster has been suspended.]

phumflyer 7
"i [sic] hope every corporation that pays a ceo over 500k per year fails."

You do realize that you're effectively saying that you hope the global economy fails, right?
sstuff 4
Agreed; it falls into the category of “Be careful what you pray for.” That gratuitous, banal rant, and others like it, seems to be based solely on resentment, rather than on reason.

Yes, the AirNation article leans toward “awful-izing” the subject. To be fair, AirNation states that it delivers . . . “airline news, rumors, [and] insightful and entertaining articles . . . .” The FAA’s claimed and proposed fines are filed with the court as creditor standing, and normal in a bankruptcy proceeding. At this stage, whether creditors receive pennies on the dollar or nothing, at all, is speculation; we should wait to see what the court actually “does,” and take the discussion from that point.
slgordon3 1
"Awful-izing" - nice word, i'm gonna use that one. Thanks.
I guess everyone has their own take depending on their position in a corporation. What I really don't get is a bankrupt company wanting to give bonuses to management to "retain talent". What talent does the management team have that managed themselves into BR while at the helm? The captain of the ship no longer goes down with the ship? And exactly what do board of directors do today besides collect a check?
blake1023 -2
If you guys were in their shoes managing a $22 billion company, 80k employees, 5000 plus flight worldwide per day. You'd want the same salary! If you can run an airline better, why don't you apply for management positions, work your way up. Or start your own business, if your so brilliant in the industry.
First off read what I wrote. I didn't say anything about their salary. I didn't say I could run it better. I had my own business which I just sold. And my assets far exceeded my debt. A 22 billion dollar corp means nothing when you are broke. If it weren't for the
BR law they would be out of business. That is a fact. I questioned bonuses to retain talent when the obvious fact is they didn't possess enough talent to run the company either. Not saying it's all on one doorstep but the buck has to stop somewhere.IMHO

blake1023 -1
I did read what you wrote. Your part about the Board, and collecting a check. And to Mr. Rudd's rant about pay.

Look I'm broke too. You are right about the BR laws, you, me, and most people would be out of a job, thats a fact. So yes $22 billion does mean something, so they dont whined up out of business. The buck does stop with them, the shareholders vote on it. I'm not saying thats right, but its the world we live in, sorry! I just the love to people who rant about execs pay, as if they can do a better job, and as if they would run a $22 billion company with lower pay for themselves.
So here we are today with a broke company who cannot meet it's obligations, but the Board, the CEO, the management team, and yes the employees; that have all done their jobs proficiently. Go figure. "Champagne all around"!!
blake1023 0
Thats about right! Welcome to the Airlines!

I'm sorry, but their salary or bonuses or parachutes, is very little in the grand scheme of things. Just look at an airlines financial results. They got millions under "other" expenses. Now if we took Mr. Rudds pay rates, $250k for every captain, and $150k for every FO, that would put the whole industry out of business! That would be nice though.
My only point in the whole deal is that management didn't get it done, their fault or not. No rewards deserved. Board appoints CEO , not shareholders. Their bad. Who pays the price of non performance-shareholders and creditors. Not the people making the decisions. Sell the company off and get new management and new wherewithal in place and everyone will gain going forward. Including the employees who are kind of pawns in this high stakes game of business. Not everyone can be a winner. Somebody always has to lose. Good luck to all going forward.
Jayden Hakunti 1
shut up and enjoy the system. don't challenge it openly. get rich like everyone else or go live off the grid you hippie. jk.
blake1023 -2
If the economy, and high oil prices, dont bring down the airlines, the Feds will!!


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