AMR Corp's American Airlines is negotiating with aircraft makers Airbus and Boeing Co to replace its entire domestic fleet by purchasing at least 250 airplanes in a deal valued at about $15 billion, the Wall Street Journal reported.

American, which currently operates an all Boeing fleet, is interested in Airbus' narrow-body family of A320 airplanes as well as a new-engine A320 variant that will go into production in 2015, the Journal reported citing people familiar with the matter.

American, which is also evaluating Boeing's 737 family of airplanes, hopes to resolve the terms of the order this summer, the paper reported.

American Airlines and Boeing could not be immediately reached for comment.

Airbus, which is a unit of European Aeronautic Defense and Space Co also could not be immediately reached for comment.

(Reporting by Abhishek Takle in Bangalore; Editing by Gary Hill)