|
|
|
|
|
|
|
|
|
US Airways to continue operations
|
|
|
|
US Airways got court permission to continue normal operations
while it is under Chapter 11 bankruptcy protection.U.S.
Bankruptcy Judge Robert G. Mayer Monday also permitted the
airline to proceed with US$75 million, the first stage of its
US$500 million debtor-in-possession funding plan. The package
is backed by a group led by Credit Suisse First Boston and
Bank of America Corp.Access to the next tranche, up to US$175
million, will be considered Sept. 26 at a hearing on whether
to finalize court approval of the financing package.The
nation’s seventh-largest carrier Sunday became the first major
airline to file for bankruptcy since the Sept. 11 attacks
devastated the airline industry.No airline was financially
harmed by the attacks more than US Airways, which had been
struggling well before the terrorist strikes. The
Arlington-based carrier is the largest airline at Reagan
Washington National Airport, which remained closed for weeks
after the attacks.Shares of other major airlines fell sharply
on the news as worries spread about the battered sector’s
health.US Airways has hubs in Charlotte, Philadelphia and
Pittsburgh and large operations in Washington, New York and
Boston. It reported losses of US$2.1 billion in
2001.(SD-Agencies)
|
|
| |
| |
