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Published on 3/13/2013 in the Prospect News Distressed Debt Daily.

American Airlines, Travelport ink distribution agreement, settlement

By Caroline Salls

Pittsburgh, March 13 - AMR Corp. wholly owned subsidiary American Airlines has reached a new long-term, global distribution agreement with Travelport, according to a Travelport news release.

In addition to enabling continued access to shop and book the full content of flights marketed by American Airlines, Travelport said the new agreement positions it to become the first global distribution system to offer access to American's other products and services.

Following a period of technical integration, Travelport and American plan to use their industry technology, including both Travelport's Universal API technology and American's XML-based direct connect interface, to deliver additional capabilities to all Travelport subscribers, including the ability to sell American's newly introduced Main Cabin Extra seating product.

Travelport vice president and general manager of global distribution sales and service Dan Westbrook said in the release, "American is an industry leader, and the perfect partner with which to build upon Travelport's airline partnership approach to merchandizing, optional ancillary sales and product differentiation.

"All of our subscribers will continue to access American's full content, while American can merchandize its full line of products through Travelport, providing consumers and travelers a transparent marketplace and the ability to shop and book all services at their channel of choice."

According to the release, American and Travelport also resolved all litigation between them. The settlement agreement is subject to bankruptcy court approval.

Travelport is an Atlanta-based provider of critical transaction processing solutions and data to companies operating in the global travel industry.

AMR Corp., the Fort Worth, Texas-based parent of American Airlines, filed for bankruptcy on Nov. 29, 2011 in the U.S. Bankruptcy Court for the Southern District of New York. Its Chapter 11 case number is 11-15463.


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