American Airlines' parent company, Texas-based AMR, filed for Chapter 11 bankruptcy Tuesday morning, making it the last major airline in the U.S. to do so. American, the nation's third largest airline, will continue operations during the restructuring, which it hopes will reduce labor costs and $29.6 billion in debts. AMR has lost $982 million since the beginning of the year, and has posted annual losses for the last three years. In recent years, American has struggled to compete against United and Delta, both of which merged with other airlines after going through their own reorganizations. Barbara Peterson, senior aviation correspondent for Conde Nast Traveler, discusses what the bankruptcy means for labor unions and consumers.