The Company Stock Option

This option is invested primarily in shares of AMR common stock. In addition, the option will maintain an appropriate amount of liquidity to process Participant transactions on a daily basis. Under certain circumstances, the option may be required to borrow from the American Airlines Federal Credit Union Option to satisfy its liquidity needs. Because the option invests in a single stock, the Company Stock Option has the greatest potential for risk and reward of all of the $uper $aver options. As with other potentially volatile options, investors were permitted to invest up to a maximum of 10% of their total Plan account balance in the Company Stock Option*. The shares of AMR common stock invested in by this option were purchased by State Street or U.S. Trust, N.A. (i) directly from the Company, (ii) on the open market or (iii) in private transactions, at a price or prices that did not exceed the fair market value of AMR common stock on the date of purchase. Please note that the presence of liquidity in the option may affect the option's ability to match the performance of AMR common stock. For any given period, the option may perform better or worse than AMR common stock. In general, the option will tend to underperform AMR common stock during periods when the price of AMR common stock is rising and outperform during periods when the price of AMR common stock is falling.

Please note that this is a unitized investment option created specifically for the $uper $aver 401(k) Plan. This unitized investment option is invested primarily in AMR common stock.