American Airlines Seeks Cuts

American Airlines pleaded with employees Tuesday to make steep cuts in wages, benefits and work rules to save $1.8 billion annually, stressing that the company’s livelihood was at stake.

“Our financial results make it abundantly clear that American’s future cannot be assured until ways are found to significantly lower our labor and other costs,” the company said after a private meeting with labor leaders.

As multibillion-dollar losses pile up, numerous analysts have speculated in recent weeks that American is increasingly at risk of becoming the next major carrier to file for bankruptcy protection, joining United Airlines and US Airways, unless it can dramatically reduce costs.

Executives and labor leaders are scheduled to meet again Friday, at which time American President Gerard J. Arpey expects employee representatives to present “palatable” ways to cut labor costs.

The $1.8 billion in cost cuts being sought would come as follows: $660 million from pilots, $350 million from flight attendants, $620 million from mechanics and ground workers, $80 million from ticket agents and $100 million from management.

American’s pilots union, the Allied Pilots Assn., said it was committed to helping the airline overcome its financial difficulties but was reserving judgment on the cost-cutting initiative.

The Assn. of Professional Flight Attendants said on its Web site that it wanted management to substantiate the need for cost savings.

Shares of parent firm AMR Corp. fell 8 cents to $2.87 on the New York Stock Exchange.