CALIFORNIA - News from April 2, 1987

William Lyon, former chairman of AirCal and one of its principal stockholders, has been elected a director of AMR Corp., the parent company of American Airlines.

American on Monday received final government approval of its $225-million acquisition of Newport Beach-based AirCal.

Until the merger is completed, which will take between three and four months, Richard D. Pearson, one of American’s acquisition coordinators, will take Lyon’s place as chairman and CEO at AirCal. David A. Banmiller, AirCal’s president and chief operating officer since May, 1985, will continue in those posts until completion of the merger--when AirCal will cease to exist.

In addition to serving on AMR’S board of directors, Lyon, a retired Air Force brigadier general, is CEO of the William Lyon Co., a major residential development firm. He also is owner of Golden West Homes, a mobile home manufacturer.