(Archived Content)
The Air Transportation Stabilization Board today announced its conditional approval of the application by US Airways, Inc. for a loan guarantee under the Air Transportation Safety and System Stabilization Act and implementing regulations promulgated by the Office of Management and Budget. The Board’s decision was unanimous. The Board’s approval is subject to several conditions set out in the Board’s letter to US Airways, which is attached.
The Board noted the disciplined and comprehensive approach that US Airways brought to its restructuring, as reflected in its business plan. US Airways’ proposal is based on reasonable assumptions and includes substantial cost savings. The Board, however, has notified US Airways that it requires more compensation than has been offered and will continue discussions with the company.