Bankrupt airline has one of the most expensive houses in Britain

4:21 PM airline, Bankrupt, Britain, expensive, houses No Comments

This five-bedroom in an exclusive area of London could get up to 20 million pounds ($ 31 million), according to a broker. Owner of AMR Corp., the airline is in the bankruptcy protection with debts of around 30 billion $.

By Rhys Jones and Chris Wickham, Reuters

Is buried deep in American Airlines Chapter 11 bankruptcy filing a striking gut-- a town house in one of London's most expensive streets which property that experts say could be worth up to $ 30 million.

The five-room house in London end district Kensington is a relapse in the airline expansion from two decades and a 10-minute walk from the former House Princess Diana, with nobility and diplomats as neighbors is.

UK regulatory filings show that the House was used as residence for executives, including the current Chairman and CEO bought Thomas Horton, because the airline in the early 1990s.

The five-floor House Salzburg parent company AMR Corp., is declared as "London residence LON6526" one of the eight owned properties when it asked for the protection of creditors 30 November, sagging under $30 billion debt.

The plush residence in Cottesmore Garten--recently named Britain's 10-the most expensive address company Zoopla--property could be a thorn in the airline as they fight their way through bankruptcy.

Robert Mann, an airline consultant with RW Mann & co, which is a former fleet planning Executive at AMR, said that the ownership of the House by far is the biggest problem that the company is facing, but added that it would raise eyebrows and should probably be sold.

"Within the framework of a general debt clearing exercise, yes it back if they really want to, there to remain probably sold and leased." "If you can make $17 million, consider it to do."

American Airlines confirmed possession of the House, said that it is used by the senior officials of the international business "and for business activities from time to time"

Contacted last week, was first to say, whether it was planned to hold on the House, but when said in response to Reuters queries his ownership of the property.

"AMR can confirm that it is a property it bought in the 1990s as low property values were," the airline said. "However, as we work through our chapter 11 reorganization, we focus on achieving a competitive cost and debt structure and is, of course, check our use and ownership of these and all our real estate as part of this process."

A Trade Union expresses outrage through the 30,000 workers at American Airlines and American Eagle.

"In the current economic crisis many Americans have lost their homes." "In this bankruptcy, AMR executives lose their House, which", James C. little, President of the 200,000 Member said on Transport Workers Union of America, which is the airline's creditors.

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A frugal Britain keeps costs for royal wedding

8:06 PM Britain, costs, frugal, keeps, royal, wedding No Comments

LONDON - can it the stuff fairy tales are out - but Prince William and Kate Middleton's wedding comes with a strong real price.

And in the middle of the country's joy, that has some British grumble that such waste for age of strict is unsuitable.

For thousands of newly unemployed, the poor fight facing sharp in tuition fees of crossed-out services of general interest and students, is there to celebrate a little.

The couple and Palace officials have repeatedly said that they are aware of the harsh environment.

The wedding on Friday are certainly not on the scale of the total grandeur of the wedding of Prince Charles and Lady Diana Spencer in 1981, as the procession route to St. Paul's Cathedral was much longer and the honeymoon lasted almost three months.

No official figures for the wedding costs have been published. But Palace officials recently said reporter, that will be Bill for William and Middleton's wedding in the six figures.

The wedding not so expensive as people think, the Palace stressed, because the monarchy already employs many of the participants in the wedding, such as caterers and chefs for the champagne reception.

The wedding no State is different than, say opportunity - we, a coronation. This means the Royal family is paying for the most points at the wedding Checklist: the flowers, the carriage procession, the clothes, the service and reception.

Rental Westminster Abbey was free of charge, so a large part of expenditure on is entertainment. Queen Elizabeth II is the account to receive the couple for about 650 guests at Buckingham Palace, basics, during William's father, Prince Charles, the dinner for 300 Friday night host.

Although much public money already flows of the British Royal family - taxpayer ? 38 million ($ 60 million) sent the Royal household last year - the monarchy earned millions from his large land and real estate portfolio. The Royal family will pay millions in his income taxes.

Kate's parents have agreed to chip-in with a private contribution"", although neither amount nor the products of numbers is known.

What the Palace "consequential issues" calls it remain - the significant cost of security.

Taxpayers are the tab for the massive security operation, which will include picking up the installation of 5,000 police officers. Because the day is declared a public holiday, the cost will be higher than usual as officers receive overtime.

The security cost will be estimated at least $ 11 million. A similar figure is the cost of security for Pope Benedict XVI visit in the UK last year added approximately 18.7 million (12 million pounds).

The wedding is to inject money into the economy. Analysts predict that it, provides a boost of up to 1 billion pounds ($ 1.6 billion), due to the sale in the retail, booking hotel rooms and the hospitality trade. Millions of Britons plan to celebrate road or private parties, and this is welcome news for pubs, food and alcohol seller.

However, each public holiday costs ? 6 billion in lost productivity in general the economy – leave a deficit of ? 5 billion.

The day may be a blessing to retail based in London as wedding-happy shoppers Pack the aisles. But still yet another blow after losses by a severe winter storm and a new VAT hike saw other companies, such as manufacturer, the day.

To make their big day less over-the-top as William's parents, the Prince and Middleton have chosen at the Abbey, Wed the parade route make much shorter compared to St. Paul's Cathedral on the other side of London. Only the procession, it will take about five minutes to get to the Abbey from the Palace.

Middleton has also decided not to arrive at the Abbey in horse-drawn carriage, to show opting in a car and to reserve the carriage for which to trip. The decision, but probably more out of the desire, their transition from the common Princess, rather than a cost reduction strategy symbolize was born.

The couple probably had some difficult decisions to make - while deliberately suffer the strict, they have also promised to deliver pomp and circumstance, that best can the United Kingdom.

The public has a look, how the wedding as a worker and florist eight trees to the course to the Abbey Tuesday line is supplied. The trees - and many flowers - were of Middleton create what promises to be a rich, English garden ordered themed service.

So it looks like the masses get their spectacle and the champagne is on Friday.

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