Notice To Holders Of American Airlines Group Series A Convertible Preferred Stock Regarding Third Mandatory Conversion Date

 Notice To Holders Of American Airlines Group Series A Convertible Preferred
               Stock Regarding Third Mandatory Conversion Date

PR Newswire

FORT WORTH, Texas, March 10, 2014

FORT WORTH, Texas, March 10, 2014 /PRNewswire/ --American Airlines Group Inc.
(the "Company") today provided the following notice to holders of its Series A
Convertible Preferred Stock (NASDAQ: AALCP) (the "Convertible Preferred
Stock") pursuant to Section 5.1 of the Certificate of Designations governing
the terms of the Convertible Preferred Stock. Capitalized terms not otherwise
defined in this notice have the meaning set forth in the Certificate of
Designations.

  oA total of 41,963,700 shares of Convertible Preferred Stock will be
    converted into shares of Common Stock (NASDAQ: AAL) as of the open of
    business on March 10, 2014. By operation of the mandatory conversion
    mechanism contained in the Certificate of Designations, each holder will
    have approximately 70.48 percent of its shares of Convertible Preferred
    Stock mandatorily converted.
  oThe Conversion Price used for determining the number of shares of Common
    Stock issuable upon conversion of the Convertible Preferred Stock is
    $33.8080. For each $1,000 in Stated Value of Convertible Preferred Stock
    mandatorily converted, holders will receive 29.5788 shares of Common
    Stock. Stated a different way, each share of Convertible Preferred Stock
    mandatorily converted will be converted into 0.7510 shares of Common
    Stock, subject to rounding.
  oThe Depository Trust & Clearing Corporation (DTCC) will be processing the
    conversion on its systems on the morning of March 10, 2014.
  oThe next Mandatory Conversion Date will occur on April 8, 2014. All
    outstanding shares of Convertible Preferred will convert to Common Stock
    on that Mandatory Conversion Date. The conversion ratio will be determined
    based on the volume weighted average price of AAL for the five trading
    days prior to April 8, 2014.
  oThe fourth Optional Conversion Period will commence on March 13, 2014.

American Airlines logo.

Additional Common Stock Distributions

  oPursuant to Section 4.5 of the Company's Fourth Amended Joint Plan of
    Reorganization (the "Plan"), holders of AMR Common Stock (formerly traded
    under the symbol: "AAMRQ") who received an initial distribution of AAL
    shares in connection with the effective date of the Plan will receive, for
    each share of previously owned AMR Common Stock, a distribution of
    approximately 0.1842 shares of AAL stock on or about March 10, 2014. AAMRQ
    holders may in the future receive additional distributions based on the
    trading price of AAL Stock during the 120-day period after the Effective
    Date and the total amount of allowed claims, in each case, in accordance
    with the terms of the Plan.
  oPursuant to Section 5.15 of the Plan, holders of convertible notes who
    elected to be treated as if they had converted their notes to AMR Common
    Stock prior to the Effective Date will also receive a distribution of
    shares of AAL. Individuals who held AMR's 6.25 % Convertible Senior Notes
    due in 2014 and elected to be treated as if they held AMR Common Stock
    will receive 20.1853 shares of AAL for each $1,000 of principal amount
    thereof, and individuals who held AMR's 4.5 % Convertible Senior Notes due
    2024 and elected to be treated as if they held AMR Common Stock will
    receive 9.000 shares of AAL for each $1,000 of principal amount thereof,
    in each case on or about March 10, 2014.
  oAlso pursuant to the Plan, 1.2407 million shares are being distributed as
    part of the Labor Common Stock Allocation (as defined in the Plan).

Additional Information and Where to Find It
For questions about distributions under the Plan, please
visitamrcaseinfo.com.

For information about American Airlines Group Inc., including financial
information, corporate governance and its SEC filings, please visit
aa.com/investorrelations.

About American Airlines Group
American Airlines Group (NASDAQ: AAL) is the holding company for American
Airlines and US Airways. Together with American Eagle and US Airways Express,
the airlines operate an average of nearly 6,700 flights per day to 339
destinations in 54 countries from its hubs in Charlotte, Chicago, Dallas/Fort
Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix and Washington,
D.C. American's AAdvantage and US Airways Dividend Miles programs allow
members to earn and redeem miles for travel and everyday purchases as well as
flight upgrades, vacation packages, car rentals, hotel stays and other retail
products. American is a founding member of the oneworld^® alliance, whose
members and members-elect serve 981 destinations with 14,244 daily flights to
151 countries. Connect with American on Twitter @AmericanAir or
Facebook.com/AmericanAirlines and follow US Airways on Twitter @USAirwaysand
on Facebook.com/USAirways.

Logo - http://photos.prnewswire.com/prnh/20130208/DA56847LOGO

SOURCE American Airlines Group

Website: http://www.aa.com
Contact: Investor Relations, +1-817-931-3423, investor.relations@aa.com
 
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