American Airlines chief quits

Donald Carty, the chairman and chief executive of American Airlines resigned as negotiators for the world’s largest carrier and two of its unions reached a tentative cost-cutting deal that was the airline’s last hope for avoiding bankruptcy.

The flight attendants’ union, however, was split bitterly over the company’s £1.2bn (€1.73bn) increased pay and benefits offer, which improves potential bonuses for employees and shortens the length of concessions by one year to five years.