American Airlines launches an issue plan protecting a tax benefit of 165,000 pounds, as is an under-statement

American Airlines launches an issue plan protecting a tax benefit of 165,000 pounds, as is an under- ...

As the industry battles the Omicron coronavirus variant, American Airlines Inc demanded shareholder approval for a rights offering plan to prevent hostile takeovers and preserve the tax benefit, and a $6 billion worth of its assets.

The No. 1 airline said its cumulative U.S. federal net operating losses carryforwards exceeding $16.5 billion - an risk that is incurred if a changed ownership shift occurs.

In January this year, the company reported a year-long loss of $8,9 billion due to pandemic-induced restrictions and lockdowns.

The airline said it adopted an insurance protection plan to help the carrier afloat in reducing its federal income tax.

Under the plan, American will issue a preferred stock purchase a percentage of the outstanding shares of American Airlines common stock.

The dividend is due on January 5, 2022, said the company, but said that these rights are valid only if a group of group and a person acquires a stake of 4,9 % or more without the consent of the board.

The rights, if approved, will let the shareholder buy the shares of the world's biggest airline at a discount rate of 50%.

The airline said the rights will expire on December 20, 2022, if the shareholder approves it. Otherwise, their tenth birthday will expire in December 2024.

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