S&p May Cut Credit Rating

[BoeingBoy]

Reuters
S&P may still cut US Airways ratings
Monday March 15, 12:10 pm ET

(The following statement was released by the rating agency)

NEW YORK, March 15 - US Airways Group Inc. announced on March 12, 2004, an agreement with the Air Transportation Stabilization Board (ATSB) under which subsidiary US Airways Inc. prepaid $250 million of its original $1 billion loan (the balance is now $726 million) in return for relief on covenants. At the same time, the company disclosed that its 2003 10-K report would contain a going concern qualification in the auditor's letter, which cites uncertainty regarding covenant compliance, and its ability to finance upcoming regional jet deliveries and to lower operating costs in order to compete with low-cost airlines. Standard & Poor's Ratings Services said today its ratings on US Airways Group Inc. and its US Airways Inc. subsidiary (both B-/Watch Neg/--), which were lowered to current levels Jan. 9, 2004, remain on CreditWatch with negative implications, where they were placed on Dec. 10, 2003.

Article

Jim

 

[delldude]

QUOTE=BoeingBoy,Mar 15 2004, 01:43 PM] Reuters
S&P may still cut US Airways ratings
Monday March 15, 12:10 pm ET

(The following statement was released by the rating agency)

NEW YORK, March 15 - US Airways Group Inc. announced on March 12, 2004, an agreement with the Air Transportation Stabilization Board (ATSB) under which subsidiary US Airways Inc. prepaid $250 million of its original $1 billion loan (the balance is now $726 million) in return for relief on covenants. At the same time, the company disclosed that its 2003 10-K report would contain a going concern qualification in the auditor's letter, which cites uncertainty regarding covenant compliance, and its ability to finance upcoming regional jet deliveries and to lower operating costs in order to compete with low-cost airlines. Standard & Poor's Ratings Services said today its ratings on US Airways Group Inc. and its US Airways Inc. subsidiary (both B-/Watch Neg/--), which were lowered to current levels Jan. 9, 2004, remain on CreditWatch with negative implications, where they were placed on Dec. 10, 2003.

Article

Jim [/QUOTE]
finance people say nice move on lowering your debt structure but your plans still suck.
http://biz.yahoo.com/rf/040315/airlines_us...ways_s_p_2.html

 

[28yearsnojob]

:down: AND THESE PEOPLE (I dont call them management)are going to get a 5%
raise,I wouldnt let them balance my checkbook.

 

[BoeingBoy]

S&P keeps US Airways on negative watch list

Tuesday, March 16, 2004
By Dan Fitzpatrick, Pittsburgh Post-Gazette

Despite Friday's restructuring of a federally backed $1 billion loan that provided much-needed breathing room, US Airways learned yesterday that it would remain on Standard & Poor's credit watch with "negative implications," meaning a further downgrade of the airline's already junk-level credit rating is possible.

Article

Jim

 

[pitguy]

I am hopeful Dave and the gang will find a workable solution.

-- Secret Crystal City strategy meeting photo below.