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February 27, 2012

Texas state Sen. Wendy Davis calls for state/local incentive package for American

Texas state Sen. Wendy Davis is calling on her political colleagues to step up and create an incentive package to keep American Airlines from closing its Alliance maintenance base in Fort Worth.

"Together we can explore economic incentives that could potentially save thousands of jobs and restore hope to thousands of families here in North Texas who face economic disaster," Davis said in a news release.

Davis has sent letters to Gov. Rick Perry and Fort Worth Mayor Betsy Price inviting them to join together to create an economic incentive package that may keep American Airlines jobs in Tarrant County.

Davis said she believes that the Texas Enterprise Fund could be used to save jobs at American's parent company, AMR Corp. The fund has been used by Perry to give money to companies that invest in the state and create jobs, such as Texas Instruments, Vought Aircraft Industries and the former Countrywide Financial.

It is unclear what kind of incentives or tax breaks Texas officials can offer American Airlines. The Alliance facility is owned by the city of Fort Worth so American does not pay property tax on the maintenance base.

Officials in Tulsa, site of American's other maintenance base, have been publicly lobbying American to keep its maintenance facility open since the carrier filed for bankruptcy in November.

The Tulsa base is expected to lose 2,100 positions under the company's current restructuring proposal.

-Andrea Ahles

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Comments

DC

Yeah, that's what we need, more tax breaks and loopholes for special interests.

Save our Money

Do not give a failed company more money to give its executives and stock holders. This company must fail. If it decides to move jobs oversees then it will pay for it at the ticket line. We have the right to chose the airlines we fly. If fly those airlines that have maintenance contracts here in the US then the other companies will fall in line. Quit giving away everybodys money so the rich can stay rich.

AAAMT

I wouldn't classify thousands of Tarrant County jobs as "special interest". I also wouldn't consider the Bell Helicopter and the American Airlines Alliance airport facilities sitting empty as being good business on behalf of the taxpayers.

spivey jean

Wendy Davis, a tax and spend liberal. Are people shocked at her proposal? I guess she learned nothing from similar boondoggles in DC. If American Airlines can't compete, then let them fold. Enough of my/our tax dollars supporting the few.

Wayne Ylen

It's not about helping AMR. It's about helping ourselves. These jobs have value to our economic base as do the wages are to Alliance employees. But rather than just throw taxpayer money at this, there should be a proper list of pros and cons put together to see whether investing taxpayer dollars into this facility makes economic sense for this area.

jetfuel7

attention: Save our Money - I reread your post several times attempting to make sense of it amid all the grammatical errors and misspellings! I am still unclear as to whether you're faulting American Airlines for outsourcing maintenance jobs overseas or Senator Davis for backing the possible state support

XAACUSTOMER

AA already takes too much of my money in baggage fees, ticket change fees, excessive high fares, the company has been run into the ground. No tax subsidies for terrible customer service.

Iw

No Wendy! AA is a bankrupt company. Unions have plundered them. You are wasting the taxpayers money. Time to let go.

G Brizendine

Horrible idea. How about we ask the executive management to give back some of their salaries? Why do we keep rewarding bad management? The reality is that IT IS their fault the company is in this state. They should be the ones to pay, not tax payers.

Chuck daCEO

the only incentives the executives deserve is a pair of shackles and an Iron bar 6x6 room.

Chuck daCEO

to Iw.. you are so wrong.. the executives plundered the airline. no unionized employee got million$ bonuses, nor bought a $30million town home in London with company funds, nor caused FAA fines for not following guidelines . nor did they spend $118million on consultants for this bankruptcy NOR are they begging for concessions only to beat the May deadline for this years bonuses..

Chuck daCEO

@XAACUSTOMER: please show the math how you figure AA is charging TOO MUCH since they can't turn a profit... I'd like to see it. I"m sure the bAAnkruptcy Judge would too. Admit it, you are just too cheaap.

Keller Rat

For Save our Money: Did you know American Airlines is the only US airline that does all and yes I mean all of their major maintenance in the US by their own employees? No other US airline does that. That is about to change. Soon you will have no choice.

E Alger

Typical Democrat party strategy-give to the unions. That, along with the excessive corporate bonuses and poor management ruined this company. Let's not throw good money after the bad money that's already been blown.

Anonymous

The company needs to fail to get rid of the current mgt

Miguel V.

This is frightening, how many people clamoring for the dissolution of AA! Are they serious? Do they know how many tens--if not hundreds--of thousands of jobs would be immediately and negatively impacted by AA folding?

Wow, talk about people acting (and voting, btw) against their own economic self-interest!

DC

@ AAAMT - a tax incentive for one company but not for others? What would you call it? I support lower taxes (coupled with lower spending) and/or more favorable conditions for all businesses, not just the ones who hire the most lobbyists and contribute to politicians' campaigns.

M. Clemens

I can see both sides to the comments here. But those that are all for throwing the AA employees to the wolves think about this: we come to work EVERY day and do the job as required,hot or cold, rainy or dry. We do what management wants us to do. NOBODY stuck a gun to managements head and forced them to sign our contracts.

On the other side,management DID stick a proverbial gun to OUR heads in 2003 to get us to sign off on the last concessionary contract that we are under now. When does it end? We give and management waste the opportunities they are given.

AA management are totally responsible for the business plans that they operate under today. We have little to no say in how they do business. They have been waging a PR war against their own workforce for 10 years and have gotten the local papers and many of YOU to believe we are the reason AA can't make a profit. It's all corporate BS deflecting responsibility away from the real people responsible,AMR management.

AAAMT

@ DC - the way I understand it, Bell got 4.7 million Tarrant taxpayer dollars, are spending it on updating the Hurst facility while they are sending all the production JOBS to Amarillo. Incentives to keep American Airlines JOBS in Fort Worth instead of China makes all the sense in the world to me.

Miguel V. got it right. The impact of the lost American JOBS is going to be staggering to the Tarrant economy.

Short sighted union bashers need to be careful what they ask for. Those thousands of so called over-paid union JOBS about to disappear paid A LOT of Tarrant county taxes over the years. Let AA fail at Alliance and lose that income and replace it with unemployment, lost spending, housing market drops, etc.

Epsteinsmother

Gov Perry shoots his mouth off about HIS job creation. Suddenly silent about prospect of losing, on average, each job worth $80K. This ain't minimum wage jobs being lost here gov. No word from you gov on how to "save" great jobs. Your silence tells AA employees everything they need to know about you.

Smells like cowpies here

It's NEVER the employee's fault. They NEVER steal from the Company (see numerous judicial cases); they never are overpaid (see their own comments about being overpaid for years in this paper); they never slack off work early nor hide from work (go try to find a person working at AFW any time of the day, I dare you); they never wage in disruptive and illegal practices (see APA fines by the courts).

No! Employees are perfect. They should all receive a $75000 payout and immediate free health benefits until death!

Good grief.

DC

@ M. Clemens: You seem to be conveniently ignoring the entire concept of collective bargaining. If the union doesn't agree with the offer, they strike. That seems like a pretty large gun to the head.

DC

@AAAMT: Why does AA deserve special treatment? Just because they're big? Too big to fail? Providing equal incentives for all companies is fine. Providing incentives to some companies and not others is corruption...it may be legal, but it's still a form of bribery.

And I don't understand your the first part of your post. Amarillo is not in China.

Jm

A govt hand out is nothing more than buying more union votes!!
If aa cannot compete on its own then so be it.

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