Airline files suit to stop providing health benefits to current retirees

The Associated Press: AMR Sues Retired Workers Over Health Benefits
American Airlines and its parent company are suing to stop providing health care and life insurance benefits to current retirees. AMR Corp. and American filed the lawsuit Friday as part of their bankruptcy case in federal court in New York. The airline wants the bankruptcy judge to rule that it can end the benefits as a way to cut costs in "sound business judgment." American says it never promised benefits to last the retirees' entire lives, and it reserved the right to change the benefits plan (Koenig, 7/6).