AMR wants to keep control over bankruptcy through March 11

Updated 02 December 2012

AMR wants to keep control over bankruptcy through March 11

NEW YORK: American Airlines' bankrupt parent has asked a judge to extend by six weeks, through March 11, the period in which it has the exclusive right to propose a plan to exit bankruptcy.
The request, made jointly with its creditors' committee, was filed on Friday in US Bankruptcy Court in Manhattan. The current exclusive window is set to end on Jan. 28.
AMR Corp. filed for bankruptcy a year ago in hopes of reducing labor costs and returning to profitability.
Its smaller competitor, US Airways Group Inc., is making a push to acquire it out of bankruptcy. AMR said earlier this year it would prefer to exit as a standalone company, but is discussing merger options, including with US Airways.
Friday's filing is a sign that discussions with creditors on how to bring AMR out of bankruptcy are progressing cooperatively, if a bit slower than initially expected.
"American and the (creditors' committee) believe that the proposed extensions will facilitate the expedition of the chapter 11 cases and benefit all parties in interest," the filing said.
Sean Collins, a spokesman for American, said in a statement that the company "has made significant progress in its restructuring."
"The work, while progressing well, takes time," he said.
The exclusivity period bars creditors and other parties from proposing their own plans for how AMR should exit bankruptcy.
That effectively blocks US Airways from making a hostile bid, as any merger plan unveiled during exclusivity would have to be proposed by AMR itself.
AMR's pilots union, in the midst of bitter contract talks with the company, supports a US Airways merger and called Friday's extension request a sign that "things are proceeding in a positive way."
"We assume that the strategic alternative talks, which include US Airways, are functional," union spokesman Dennis Tajer said.
A hearing on the extension request is set for Dec. 19.
The case is In re AMR Corp et al, US Bankruptcy Court, Southern District of New York, No. 11-15463.


UAE to impose 50% tax on soft drinks in health drive

Updated 21 August 2019

UAE to impose 50% tax on soft drinks in health drive

  • The 50% tax on soft drinks and 100% on vaping products start Jan. 1, 2020
  • The government says the taxes are necessary to help persuade people to make healthier choices

DUBAI: The UAE government has announced new taxes of up to 100 percent aimed at vaping and soft drinks, in a bid to reduce the consumption of unhealthy products.

Starting Jan. 1, 2020, the new list of taxable products will include sugary and sweetened soft drinks, as well as powders that can be used to make drinks, and electronic smoking devices.

A statement on state-run news agency WAM said the step is aimed at reducing “consumption of unhealthy goods and modifying consumers’ behavior.”

The Cabinet decision, will add a 50 percent tax on soft drinks with added sugar, in form of a liquid, concentrate, powders, extracts or any product that may be converted into a drink.

Vaping devices and the associated products will be taxed at 100%. (File/Shutterstock)

“The decision also requires manufacturers to clearly identify the sugar content in order for consumers to make sensible healthy choices,” the statement read.

The cabinet also announced the introduction of a 100 percent tax on electronic smoking devices - irrespective of whether they contain nicotine or tobacco - and the liquids used in the devices.

The UAE government first introduced a tax on specific goods deemed harmful to human health in 2017.