American Airlines (NYSE:AAL) shares are trading lower on continued momentum after the company announced a $3.5 billion stock and convertible note offering.
As travel is one of the hardest-hit sectors, airline companies are scrambling to find money to cover ongoing expenses. The company expects the proceeds from this offering to go towards general corporate purposes and to increase its liquidity position.
American Airlines operates, under normal conditions, almost 7,000 flights per day to more than 350 destinations in 50 countries. The company generated roughly $45 billion in revenue during 2018.
American Airlines was trading 7.55% lower at $13.81 at the time of publication on Tuesday. The stock has a 52-week high of $34.99 and a 52-week low of $8.25.