According to an Icelandic investor group that owns more than 9% of AMR Corp. , the company should spin off its frequent-flier program as means of helping its stock price. This development is just the latest in what some are calling a trend of financial players trying to push the airline industry out of its slump by converting its non-core assets into cash. Specifically, the recommendation to AMR suggests that the AAdvantage frequent-flier program is worth $4 billion, which could be turned over to shareholders. The group suggested that AMR commit to a strategic review to monetize AAdvantage's value for shareholders. Some are calling the letter that AMR received, the boldest assault yet on the airline industry's frequent flier [sic] programs.

Investors see this suggestion as a positive step, as AMR is more than 1% higher as we head into the final 15 minutes of trading. Technically, it is going to take a lot more to snap AMR back to respectability. The stock has spent a majority of 2007 in a descent pattern, dropping some 46% since January's high of 41. This drop has been assisted by the equity's 10-week and 20-week moving averages, which the equity has not topped since late February.