Anyone else hear that USair declared Chapter 11?

[Kteacher]

This was just on CNN

 

[Buckalew]

I heard it too.

 

[Michelle]

US Airways Files for Chapter 11

.c The Associated Press

ALEXANDRIA, Va. (Aug. 11) - US Airways, hard hit by the drop off in travel after the Sept. 11 terrorist attacks, filed for Chapter 11 bankruptcy protection Sunday, the company said.

The airline, which has mentioned bankruptcy as possibility after it lost $2.1 billion during 2001, said all of its flights are expected to continue. The Arlington, Va.-based airline said it received $500 million in financing to keep operating while it reorganizes.

''Ultimately, this effort is about our customers, employees and the communities we serve, as we seek to fix the airline's finances and return to profitability,'' said US Airways president and chief executive David Siegel. ''US Airways will continue to operate while we complete our financial restructuring, and our customers should be confident that we will continue service to the more than 200 communities in our network.''

AP-NY-08-11-02 1749EDT

 

[Pin Wizard]

I've got a friend who's been working for them for years.

 

[ncligs]

They will keep on flying. I wouldn't worry right now. This was in Fridays Pittsburgh paper.

http://www.post-gazette.com/businessnews/20020809pilots0809bnp2.asp

 

[d.kurz]

US Air always makes me think of Beverly Lynn.

 

[Mark P.]

I'm hoping that the employees will be all right. Even though it's a restructuring thing now, I know myself, I'd be a wreck just not knowing for sure what the end result's going to be.

I may not have my facts all in line here, and admittedly, I'm ignorant about business lingo and all the mumbo-jumbo that was put out by USairways, but I do watch alot of news, and I recall them (USairways) requesting a 1 Billion dollar guaranteed federal loan a month or so ago. They basically said that if they don't receive the loan, they wouldn't be able to continue everyday functions, etc., ect...

Now, from what I understand, USairways did in fact get the guaranteed loan, and now filed for Chapt.11? I'm sure it's a legal business tactic and all, but for the lay person like myself, with coporate games like this being played out, I think it's no wonder why the business world is so 'messed' up, and the public's trust is diminishing.

Not a normal response for me, but maybe a little selfishness crept in, as we're planning our trip now, and USairways is our 'Disney express'. We were planning on getting our tickets in the next few weeks, but luckily our trip is way off, so we'll just wait it out for now I guess...

Again, my thoughts are with the folks who work there, and that they'll be all right in the end.