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SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
_____________
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of earliest event
reported: May 2, 2003
AMR CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 1-8400 75-1825172
(State of Incorporation) ( Commission File Number) (IRS Employer
Identification No.)
4333 Amon Carter Blvd. Fort Worth, Texas 76155
(Address of principal executive offices) (Zip Code)
(817) 963-1234
(Registrant's telephone number)
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Item 9. Regulation FD Disclosure
AMR Corporation is furnishing herewith first quarter
supplementary data and current expectations for fuel, traffic and
capacity for the second quarter.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned hereunto duly authorized.
AMR CORPORATION
/s/ Charles D. MarLett
Charles D. MarLett
Corporate Secretary
Dated: May 2, 2003
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AMR EAGLE EYE
May 2,2003
Statements in this report contain various forward-looking
statements within the meaning of Section 27A of the Securities
Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended, which represent the Company's
expectations or beliefs concerning future events. When used in
this report, the words "expect", "forecast", "anticipates" and
similar expressions are intended to identify forward-looking
statements. All such statements are based on information
available to the Company on the date of this report. The Company
undertakes no obligation to update or revise any forward-looking
statement, regardless of reason. This discussion includes
forecasts of costs per ASM, capacity, traffic, fuel cost and fuel
consumption, and demand, each of which is a forward-looking
statement. There are a number of factors that could cause actual
results to differ materially from our forecasts. Such factors
include, but are not limited to: the continuing impact of the
events of September 11, 2001 on the Company, the impact of the
recent bankruptcies of United Airlines and US Airways, general
economic conditions, competitive factors within the airline
industry which could affect the demand for air travel, changes in
the Company's business strategy, and changes in commodity prices.
For additional information regarding these and other factors see
the Company's filings with the Securities and Exchange
Commission, including but not limited to the Company's Form 10-K
for the year ended December 31, 2002.
First Quarter Update
Since AMR did not hold a conference call following the release of
our earnings, we want to provide some guidance, which normally
would have been covered during the call. The attached
information is more comprehensive than our normal Eagle Eye
update for this reason.
Please call if you have any questions.
Kathy Bonanno
Director, Investor Relations
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AMR EAGLE EYE
Period ending 1Q03 supplementary data
Balance Sheet Update:
Cash Balance: Approximately $1.8 billion of which $550 was restricted
Unencumbered aircraft value remains unchanged from prior quarter at
$2.9 billion
Net debt balance of $19.8 billion with net debt/capital ratio of 100%
Unit Revenue Perform ance by Entity: Yr/Yr Change - B/(W)
Domestic (3.2%)
Atlantic 1.0%
Latin 0.0%
Pacific (26.4%)
System (3.0%)
Unit Cost Performance Yr/Yr Change - B/(W)
Report unit cost (0.8%)
Fuel adjusted unit cost 3.5%
Fuel:
Average cost/gallon was 94 cents, up 40% yr/yr from 1Q02
Fuel hedging gains totaled $68M in 1Q03 or 9.4 cent/gal benefit on fuel cost
Forward Guidance
Fuel Hedge Position:
2Q03 Hedged on 35% of consumption at $23/bbl WTI Crude
Rest of 2003 Hedged on 30% of consumption at $23/bbl WTI Crude
Consensual labor savings phase-in by quarter:
2Q03 $200 M
3Q03 $400 M
4Q03 $450 M (steady state)
Unit Cost Forecast:
Given the fluidity of recent events, forward looking cost
guidance will be deferred until later in the quarter
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Capacity, Traffic and Fuel
-------Forecast--------
Apr May Jun 2Q03
AA Mainline Ops:
Capacity yr/yr H/(L) * (6.5%) (10.2%) (6.9%) (8.0%)
Traffic yr/yr H/(L) * (4.8%) (12.2%) (6.6%) (8.2%)
Fuel (cents/gal incl. tax) 89 82 81 84
Fuel cost/gal yr/yr B/(W) (17.4%) (9.1%) (8.5%)(11.6%)
Fuel Consumption (mil. gal.) 244 251 253 748
American Eagle:
Capacity yr/yr H/(L) 21.3% 23.6% 23.3% 22.6%
Traffic yr/yr H/(L) 25.4% 25.6% 22.8% 24.6%
* AA Traffic and Capacity results are actual for April