(FORTUNE Magazine) – While other airlines yielded to the urge to merge, Bob Crandall, chief executive of American Airlines and its parent AMR Corp., held fast to the strategy of growth from within (FORTUNE, September 29). In November he announced a ''tactical modification'' and paid $225 million in cash for West Coast carrier AirCal and its parent, ACI Holdings. American tried to negotiate a ten-year marketing agreement that would have kept the smaller airline independent, but sources say AirCal's controlling shareholders worried about their company's fate at the end of the pact. They offered to sell instead. American decided to stop flying solo because it wants access to the so-called California corridor, where local authorities have put tight restrictions on gates and landing slots at many airports.