News From Terre Haute, Indiana

Community News Network

December 18, 2013

Company to get $135 million from American Airlines over 9/11

NEW YORK — Cantor Fitzgerald LP will receive $135 million from American Airlines to drop its lawsuit in which the carrier is accused of failing to stop the hijacking of the plane that crashed into the north tower of the World Trade Center on Sept. 11, 2001, killing 658 of the firm's employees.

Cantor disclosed the accord in a court hearing last week and on Tuesday told U.S. District Judge Alvin K. Hellerstein in Manhattan the size of the settlement, Robert Hubbell, a spokesman for Cantor, said Tuesday in a phone call. A hearing on approval is scheduled for Jan. 13.

"For us, there is no way to describe this compromise with inapt words like ordinary, fair or reasonable," Cantor Chief Executive Officer Howard Lutnick said Tuesday in an e-mailed statement. "All we can say is that the legal formality of this matter is over."

The settlement of the lawsuit, filed almost 10 years ago, came four days after American's parent, AMR Corp., completed a merger with US Airways Group Inc. to form American Airlines Group Inc. Hubbell declined to comment Tuesday on how Cantor will use the money.

Al-Qaida terrorists flew jetliners into the Twin Towers, causing both to burn and collapse. Two other planes were hijacked. One hit the Pentagon near Washington, and another crashed in a field in Pennsylvania after passengers fought the terrorists. About 3,000 people died.

Cantor alleged American should have stopped five Islamic extremists who took over Flight 11 from Logan International Airport in Boston and crashed into the North Tower. Cantor's offices were near the top of the 110-story building.

In a statement about the deal on Dec. 13, Kent Powell, a spokesman for Fort Worth, Texas-based American, said the lawsuit alleged it "should have done what the government could not do: prevent the terrorist attacks." The carrier's insurers agreed to settle with Cantor, he said.

In the lawsuit, filed in September 2004, the New York-based global financial services firm sought $945 million. A 2011 ruling in the airline's favor limited Cantor to seeking damages for business interruption and barred it from seeking damages for the deaths of its employees.

Lutnick's brother, who was a senior executive at the firm, died in the attack. The firm had 960 employees in New York at the time.

On Sept. 11 each year, Cantor and its affiliate, BGC Partners Inc., which was spun off in 2004, give all their revenue from the day to more than 40 nonprofit groups. The companies, both led by Lutnick, raised about $12 million this year, and over the past 11 anniversaries combined it has donated about $89 million, Hubbell said.

Cantor, founded in 1945, has new offices off Park Avenue in Midtown Manhattan. The company and BGC have a total of about 3,200 employees in New York and 8,000 worldwide.

1
Text Only | Photo Reprints
Community News Network
Latest News
TribStar.com Poll
AP Video
Joy Fills Streets of Cleveland As LeBron Returns Raw: Rebel Leader Weds in Eastern Ukraine Raw: Israel, Gaza Exchange Rocket Fire Ana Ortiz on 'Devious Maids' Finale Arizona Mom of Missing Baby Released From Prison Police: Prostitute Linked to 2nd Death Texas Shooting Suspect Collapses in Court WH: LeBron's Move a 'Powerful Statement' Proposed Bill to Regulate NY Costumed Characters Diaz and Segel Strip Off for 'Sex Tape' Death Toll Tops 100 As Israel Offense Continues Raw: Protesters, Israeli Security Forces Clash Man Flees Police in World Cup Scalping Scheme Raw: Stunning Timelapse of WC Final Host City Robot Writes Jewish Torah Scroll Raw: Australia Hosts Annual Beer Can Regatta More Immigrants Detained Along Rio Grande LeBron James Says He's Returning to Cavaliers Children Face Deportation Without Attorneys Raw: Airstrike Creates Chaos on Gaza Streets
NDN Video
Cleveland welcomes home LeBron Houston Killer Collapses in Court When Read Capital Murder Charges for Allegedly Killing Family of Six Worst Valet Ever Wrecks $500K Lamborghini Glee Star Becca Tobin's Boyfriend Matt Bendik Found Dead in Hotel Aerial fish restocking in Utah ScarJo Channels Marilyn Monroe Obama Responds to Hecklers on Immigration Tiny Hamsters Who Ate Burritos are Back for a Tiny Hedgehog's Party Watch Kelly Ripa Get Soaked! 'Referee' Hands Out Yellow Cards for Social Faux Pas in NYC 2014 Emmy Nominees: 8 Snub Shockers Emma Watson Is Va-Va-Voom in Valentino 7 Infamous Sports Blowouts Argentina tops Holland in World Cup semifinals News flush: Japanese toilet exhibition making a splash Emmy Nominations: What to Watch For 'Game of Thrones' Leads 66th Emmy Awards Nominations Photographic 'Proof' That LeBron Is Leaving Miami - @TheBuzzeronFOX Elephant Pool Party at The Oregon Zoo Must-See! Berry and Fallon Form Human Hamster Wheel
Parade
Magazine

Click HERE to read all your Parade favorites including Hollywood Wire, Celebrity interviews and photo galleries, Food recipes and cooking tips, Games and lots more.
  • -

     

    March 12, 2010

activity