American Airlines and Orbitz Reach Settlement

gavelIn a brief statement, American Airlines, a wholly owned subsidiary of AMR Corporation, and Orbitz Worldwide, LLC, a leading online travel seller, announced that they have reached an agreement to resolve all litigation between them.

The companies said that the settlement requires review and approval by the federal bankruptcy court presiding over AMR Corporation's restructuring. "At this time, neither company will have further comment."

Last month, Travelport  - who has a 48 percent stake in Orbitz  Worldwide - and American announced a new long-term, global distribution agreement. American and Travelport also said at the time that they had resolved all litigation between them

In the Travelport announcement American said that the new agreement positions Travelport to become the first global distribution system to offer access to American’s full content, as well as other products and services.

Travelport and American said they plan to use their  technology, including both Travelport’s Universal API technology and American’s XML-based direct connect interface, to deliver additional capabilities to all Travelport subscribers, including the ability to sell American’s newly introduced Main Cabin Extra seating product.

Dan Westbrook, vice president and general manager of global distribution sales and service, Travelport, commented at the time of the announcement: “American…. can build upon Travelport’s airline partnership approach to merchandizing, optional ancillary sales and product differentiation. All of our subscribers will continue to access American’s full content, while American can merchandize its full line of products through Travelport, providing consumers and travelers a transparent marketplace and the ability to shop and book all services at their channel of choice.”

In addition to its restructuring AMR's American is also in talks for a merger with US Airways

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