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Exhibit 99.2
2005 - 2007 PERFORMANCE SHARE PLAN
FOR OFFICERS AND
KEY EMPLOYEES, AS AMENDED AND RESTATED
AS OF JANUARY 16, 2007
Purpose
The
purpose
of the 2005 - 2007 AMR Corporation
Performance Share Plan
for Officers and Key
Employees, as
amended and restated as of January 16, 2007 ("Plan") is to
provide greater
incentive to officers and key employees of
the subsidiaries and affiliates of AMR Corporation ("AMR" or
the
"Corporation") to
achieve the highest level of
individual performance and to meet or exceed specified goals
during the time frame 2005 to 2007, which will contribute to
the success of the Corporation.
Definitions
For
purposes of the Plan, the following definitions
will control:
"Affiliate" is defined as a subsidiary of AMR or any
entity that is designated by the Committee as a
participating employer under the Plan, provided that AMR
directly or indirectly owns at least 20% of the combined
voting power of all classes of stock of such entity.
"Committee" is defined
as the Compensation
Committee,
or its successor, of the AMR Board of Directors.
"Comparator Group" is defined as the following six U.S.
based carriers: AMR Corporation, Continental Airlines, Inc.,
Delta Air Lines, Inc., JetBlue Airways, Northwest Airlines
Corp. and Southwest Airlines Co.
"Corporate Objectives" is defined as being the
objectives established by the Committee at the beginning of
each fiscal year during the Measurement Period.
"Measurement Period"
is defined
as the three year
period beginning
January 1, 2005 and
ending December
31,
2007.
"Total Shareholder
Return (TSR)" is defined as the rate
of return reflecting stock price appreciation plus
reinvestment of dividends over the Measurement Period. The
average Daily Closing Stock Price (adjusted for splits and
dividends) for the three months prior to the beginning and
ending points of the Measurement Period will be used to
smooth out market fluctuations.
"Daily Closing Stock Price" is defined as the stock
price at the close of trading (4:00 PM EST) of the National
Exchange on which the stock is traded.
"National Exchange" is defined as either the New York
Stock Exchange (NYSE), the National Association of Stock
Dealers and Quotes (NASDAQ), or the American Stock Exchange
(AMEX).
Accumulation of Award
Any
distribution under the
Plan will be determined by
(i) the Corporation's
TSR rank within the Comparator Group
and/or (ii)
the Corporation's
attainment of the
Corporate
Objectives during each
year of the Measurement Period and
(iii) the terms and conditions of the award agreement
between the
Corporation and the employee. The distribution
percentage of a target award pursuant to the TSR metric
and
based on rank, is specified below:
Granted Shares - Percent of Target Based on Rank
Rank 6
5
4
3 2
1
Payout% 0%
50%
75%
100%
135%
175%
In
the event that a carrier (or carriers) in the
Comparator Group
ceases to trade on a National Exchange at
any point
in the Measurement Period, the following
distribution percentage of
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