An investor in AMR Corporation (NYSE: AMR) has reportedly filed a proposed securities class action lawsuit on behalf of all securities purchasers of AMR Corporation.
The complaint alleges according to a press release by a law firm that the Individual Defendants of AMR Corporation breached their duty of loyalty by unilaterally adopting an unlawful bylaw designed to impinge upon the AMR stockholders' statutory right to act by written consent. The sole purpose and effect of the bylaw is to entrench the Individual Defendants and the corporate policies they have implemented by affording them the time and information necessary to defeat the will of the stockholders, so the lawsuit.
AMR Corporation operates in the airline industry. AMR’s principal subsidiary is American Airlines, Inc. At December 31, 2008, American Airlines provided scheduled jet service to approximately 150 destinations throughout North America, the Caribbean, Latin America, Europe and Asia. AMR Corp is located in Fort Worth, Texas, and had $22.935billion in total revenue in 2007 with a net income of $504million and $23.776billion in total revenue in 2008. Shares of AMR Corp. (NYSE: AMR) traded recently at $5.55 per share, down from $12.29 per share in January 2009, $13 per share in September 2008, and $40.65 per share in 2007.