AAMRQ will stop trading on March 11th and AMR will resume trading. AAMRQ shares will not carry over so your money will be gone on that day, unless creditors are paid back 100% and the rest given to commons, but haven't read anything about that.

Why hold on to shares if money is going to dissappear? Because history has shown Q stock grow until exit and is an opportunity to make money up until March 11 (although it takes a while for paperwork and signatures to process so it could trade days, weeks, or months past that date).

Also, the stock does not fall to $0.00 at the end. It just stops. It could be at $2.20 and on March 11 or past that date, and suddenly in the middle of the day there is no movement on the charts. It's frozen at that price, it doesn't fall down to $0.

It switches back to AMR after they submit their plan of reorganization to the judge, court currently scheduled for March 11 (unless AMR's request for April 15th extension is approved). Once judge approves the plan (to include or not include merger) the paper work is signed and they exit bankruptcy, AAMRQ ends and AMR starts.

I may be holding this stock until the new beginning instead of the end :)

http://www.businessweek.com/news/2013-02-08/amr-us-airways-said-near-merger-deal-as-boards-to-vote
February 08, 2013
"...Besides the split of equity between AMR creditors and US Airways investors, the proposed merger calls for existing AMR stockholders to get shares in the combined company, two of the people said. Details of that plan are still being negotiated, one person said..."

Q stocks are volatile towards news. Good news for this stock will be decision to merge, approvals from judge, profits, creditor payments, etc.

Just today, the pre-announcement of merger is raising the stock and as others have pointed out, the charts look great; so imagine how this will react after the actual announcement next week. The risk is if there is no announcement or a non-merge announcement. If the stock drops due to either one, just hold until the next good news.

I like Q stocks because most have a happy ending – the exit from bankruptcy (unless the company is too small to recover). Personally I am holding until the end, as I have already taken out my original investment and the rest is play money. But lots of investors sell when the stock rises with good news and buy when it falls with bad. It’s all risk and gamble.

CORRECTION: March 11 is court date

Sorry about that... no room for error here ;)

http://www.bizjournals.com/jacksonville/blog/morning-edition/2013/02/american-airlines-asks-for-more-time.html
Feb 5, 2013, 7:00am EST
"AMR and its unsecured creditors committee asked the U.S. Bankruptcy Court in a filing last week to extend the period during which creditors cannot pursue their own restructuring plans for the airline to April 15, according to Reuters. The Fort Worth, Texas-based airline (PK:AAMRQ) currently has until March 11 to file its plan."

News headlines keep saying merger will happen next week, which just means the decision to merge will happen next week. They can't actually merge until the company exits bankruptcy.

AAMRQ is a bankruptcy ticker symbol and will only change after they exit bankruptcy. The court date to exit is currently scheduled for March 15th (but American has asked for extension to April 15th).

The final step to exit bankruptcy is with approval from judge. American will submit their plan of reorganization to include merger activities. If court approves, they exit bankruptcy and the bankruptcy ticker AAMRQ will disappear and become regular AMR again or a new symbol. That's why people keep saying all AAMRQ investments will be lost. It's true, if you hold on to a ticker symbol that disappears, so does your money. But most money is made (and sold) before the ticker change.

http://www.kvue.com/news/American-Airlines-merger-expected-next-week-190263541.html
Posted on February 7, 2013 at 2:59 PM
"The US Airways board would still have to consider a merger, along with creditors, American’s bankruptcy judge, the U.S. Department of Justice and even the European Union before the two companies would ever become one."

Merger or Independent Exit cannot happen without Judge's approval. That's what makes this merger different. It is occuring while a company is under bankruptcy protection. If either happens it will be on March 11th or April 15th (depending if court allows April 15th extension).

I've never participated in a merge, especially during bankruptcy. I'm going to sell most during exit, but keep a few shares to see how the 10 to 1 translates. I'm curious and it will be good "real life" experience.

AMR asks for 15 more days to file its reorganization plan
January 31, 2013

In a bankruptcy filing made on Thursday, AMR amended its request to the bankruptcy court to extend its deadline to file a reorganization plan.

Earlier this year, AMR asked the court to extend its exclusivity period until April 1 from its current deadline of March 11. On Thursday, the carrier said it now needs until April 15 to file its reorganization plan.

The judge had not yet ruled on its earlier request and the new amended motion is also supported by the Unsecured Creditors Committee.

If it is approved by the court, it would be the fifth time that American has been granted an extension to submit its restructuring plan.

http://blogs.star-telegram.com/sky_talk/2013/01/amr-asks-for-15-more-days-to-file-its-reorganization-plan.html

I'm riding this out until trial date.

Most likely, but not until court approves exit from bankruptcy, that's over a month from now. If creditors are paid back 100% the rest of new stock will be given to shareholders.

See... a little patience and just this Thursday the POS is back up, passed your $1.25 from Monday :)

Yes, very true. All stocks certainly have risk. I bought AAMRQ when they first entered bankruptcy, about a year ago, at $.35 so as long as the stock doesn't fall below that I'll be a happy risker!

I'm risking a bit o’$$$ as well. Honestly, I am holding on only until the day of the trial. I’ve seen where press announces approval to exit bankruptcy and Q is gone (and our money) following 2 hours. I have also seen where the Q sticks around for couple more weeks and doubles again.

The only reason I’m in till the end is because Q stock are rare that you actually know when the end is and I don't know why, but Qs usually rise before trial. Maybe newbies not knowing the stock ends and thinking they are getting in at the bottom???

BTW, haven’t read anywhere that AMR got their April 1st extension to submit reorganization plan, has anyone?

I agree. Any decision, including merger, must get approved by the judge during hearing March 11th or April 1st. The court will decide how they exit bankruptcy: 1) Independently 2) Merged 3) Who acquires who? Will American Airlines acquire US Airways or vice-versa? There is still speculation that AMR creditors will get 100% back and rest to shareholders. Still lots of unknowns, too early to run scared IMO.

Warren Buffet, “Be greedy when others are scared”

"The merger still must navigate actual exit from bankruptcy, government approvals, shareholder approvals and the official merger closing. All of this takes time."

Found this at: http://ourafa.org/q-a/

Doesn't AAMRQ have to exit bankruptcy either way, merge or not?

Darn the 3 day weekend! Now we have to wait til Tuesday for next outcome :(

Someone should update this page with new AA logo :)

The key is to sell after announcement, but before they actually emerge and the Q stock stops trading (e.g. while paperwork is being signed), otherwise the stock resumes at regular ticker symbol AMR and AAMRQ holders will lose it all.

This is from personal past experience from the TRONOX and BLOCKBUSTER bankruptcies. AMR is much better positioned than these other companies were. Made most my money after court approval.

Usually Q stocks grow AFTER court approval announcement to exit bankruptcy. I'm surprised at how this stock is responding before the hearing.

The stock market is unpredictable. I thought AAMRQ was a lost cause when it hovered at $.80. Now it is hovering at $1.5. Come court time the stock will rise again, hopefully hovering at $2 :)

Definitely buy, AMR is asking for an extension to exit bankruptcy from March 11 to April 1. That's 2 more months of continuous growth for this stock.

Need this stock to go to $2.00 to make back all the money I've lost the past 4 years :)

AMR's next earnings report is Monday, January 14, 2013. If it's positive this stock will soar again on Monday/Tuesday.

NO WAY!!! Equity holders might receive some value from its Chapter 11 reorganization...


"(Reuters) - AMR Corp (>> AMR Corporation), the parent of American Airlines, said its business prospects have improved to the point equity holders might receive some value from its Chapter 11 reorganization."

http://www.4-traders.com/AMR-CORPORATION-9583638/news/AMR-cites-possibility-of-equity-value-in-Chapter-11-case-15762097/

This stock just keeps getting better!

PNCLQ not cancelled until Feb. 15th. or later:

"Pinnacle said it must file a reorganization plan acceptable to Delta and other creditors by Feb. 15." Then it has to go to court to get approved, if approved the company exits bankruptcy and the bankrupt stock stops trading.

But until then, PNCLQ will continue to trade up and down, and the closer it gets to court date the higher it will climb. Just sell on or after the court date...

I have been investing in Q stocks a while now and make 2-10x my money.

All you have to do is hold on to the stock until the court date (AMR's date will soon be announced). Once announced, the stock begins to rise.

On the court date, once the judge APPROVES the reorganization plan the stock SOARS! BUT the stock will also just END sometime after judgement is announced - could be 20 minutes after, could be 2 months after (Get it, the company has been approved to exit bankruptcy thus the bankrupt AAMRQ stock will no longer exist and the company will go back to their regular ticker symbol. Remember, you invested in AAMRQ not AMR). But, it usually takes a couple weeks after judgement for paperwork and all parties to sign off. Usually a Q stock will reach around $2.00 before it ENDS, but if you haven't sold before the stock ENDS you lose all your money. So to play it safe, sell the day of court or minutes or hours after judgement.

Hope this helps!