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Wage cuts help American Airlines

By Michael Clarke

AMERICAN Airlines has starved off bankruptcy
protection after unions agreed to proceed with wage concessions.

The unions had threatened to pull out of
a deal that would save the airline $1.8 billion after it emerged American
executives were in line for special retention bonuses and pensions.

However, the resignation of
chief executive Don Carty helped calm the situation, allowing the wage cuts to
be immediately implemented.

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