US Airways Going Bankrupt?

[DisneyFix]

A few weeks ago I heard on the news that US Airways will file for bankruptcy. Does anyone know how long this will take? We are scheduled to use them in late November. What happens if they go bankrupt before then? (Our trip is booked through Walt Disney Travel).

 

[disneydreamerinny]

Please tell me you are joking. When ever we fly, that is who we use. That is who I planned on using for our next trip.... I hope it doesnt happen....

 

[Beckles]

Originally posted by DisneyFix
A few weeks ago I heard on the news that US Airways will file for bankruptcy.

You heard wrong.

 

[Disnydad]

It may be most likley that pieces of it will be sold here and there. It is not looking good, but they are still flying at this time.

 

[ducklite]

I do believe that they will be in for some tough times, but I don't believe they will be going belly up. I'm holding over 100,000 ff points on them, so I hope not...

Anne

 

[Beckles]

Originally posted by Disnydad
It may be most likley that pieces of it will be sold here and there. It is not looking good, but they are still flying at this time.

Considering US actually had an operating profit (despite a net loss) last quarter, unlike many other major US airlines, there is no basis for saying that "It is not looking good".

US will also likely be getting a large cash payment ($50 million) from UA when the merger is officially called off.

US is not going anywhere anytime soon. They will either be bought whole or go on operating, US management has already said they are not selling the airline off in pieces.

 

[Disnydad]

There should be a government decision this week maybe on any merger. US Air lost only $24 million instead of the expected $60 million.

"Analyst Glenn Engel said US Airways had used tight cost controls to limit its loss to $24 million or 36 cents a share during the second quarter. Engel said in a research note that he had a forecast the carrier losing 80 cents a share."

Should the government reject the offer, as expected, United is very intersted in parts of US Air eastern routes. I think it's the northeast they really want.

 

[Beverly Lynn]

in teh 13 yrs I was employed by them they yelled bankruptcy so many times its pathetic. yet the CEO got his raises on time while the rest of us took pay cuts and pay freezes........they cry no money every time its time for a union contract and such.

 

[JandD Mom]

USAir is also adding routes from the northeast like crazy. It is now going to be a major carrier to the Caribbean from the Northeast, which will take lots of business away from American. A lot of the statements about USAir having to sell or go out of business, were made in the winter/spring by USAir management to the government in an effort to get the merger approved. Now that both airlines are basically letting the government cancel the merger for them (so neither side looks like it is backing out), USAir is saying how strong the airline is. I wouldn't hold my breath for that bankruptcy petition.