Crandall Now Head of AMR and American

Robert L. Crandall, president and chief operating officer of AMR Corp., the parent of American Airlines Inc., on Wednesday was elected chairman and chief executive of both companies. He succeeds Albert V. Casey, who had announced at the company’s annual meeting last May that he would retire when he reaches age 65 at the end of February.

Crandall, who will also remain president of both companies, has been president of American since 1980 after serving for seven years in high-level finance and marketing positions in the company.

The 49-year-old Crandall has been Casey’s heir apparent for years. He and Casey, who will remain a director of AMR, have had a very close relationship and are credited with modernizing the airline in the tough, competitive post-deregulation era that began in 1978.

Crandall, an outgoing person with a good sense of humor, has a reputation as a tough manager. However, he carries over to his new position legal problems arising out of a 1983 civil antitrust case.

In its suit, the Justice Department charged Crandall and the airline with anti-competitive practices and trying to monopolize air routes by attempting to raise fares in tandem with Braniff International Corp. Although the government suit was dismissed, the dismissal was overturned on appeal. American then appealed to the U.S. Supreme Court, where the suit now rests.

Casey, who joined American as president and chief executive in 1974, was elected chairman two months later. He had previously been president of Times Mirror Co., publisher of the Los Angeles Times.

Casey has indicated that he might go into financial management after retiring, but he has not said specifically what he will do now. He could not be reached for comment Wednesday.