Thursday, December 15, 2005 - House Clears Bill to Bolster Pensions

The pension reform bill took another big step Thursday after market hours. Bills have been passed by the house and senate and airline industry executives have received assurances that the final bill will include relief for the industry.

Spreading the required payments out to 20 years should help cash flow and liquidity at AMR and CAL. CAL is current on its pensions but the relief will still help with future cash flows. AMRwent up $1.80 a share today. What a horse?