ATSB says to sell US Airways, America West loans
Fri Sep 23, 2005 08:26 AM ET
WASHINGTON, Sept 23 (Reuters) - The U.S. Air Transportation Stabilization Board on Friday welcomed US Airways' (UAIRQ.OB: Quote, Profile, Research) planned emergence from bankruptcy protection and merger with America West (AWA.N: Quote, Profile, Research) and said it would sell the airlines' loans to private investors.
"The board is working with a financial adviser to assess the remarketing of the two loans to private investors without the government guarantee and to gauge the marketability of the board's warrant to purchase shares in New US Airways," the board said.
It said it is receiving the warrant to buy shares in the merged company as part of compensation to the government for giving America West a loan guarantee in 2002.
The board said it was also looking at strategies to sell its remaining warrants in World Airways (WLDA.O: Quote, Profile, Research) and Frontier Airlines (FRNT.O: Quote, Profile, Research) .
Fri Sep 23, 2005 08:26 AM ET
WASHINGTON, Sept 23 (Reuters) - The U.S. Air Transportation Stabilization Board on Friday welcomed US Airways' (UAIRQ.OB: Quote, Profile, Research) planned emergence from bankruptcy protection and merger with America West (AWA.N: Quote, Profile, Research) and said it would sell the airlines' loans to private investors.
"The board is working with a financial adviser to assess the remarketing of the two loans to private investors without the government guarantee and to gauge the marketability of the board's warrant to purchase shares in New US Airways," the board said.
It said it is receiving the warrant to buy shares in the merged company as part of compensation to the government for giving America West a loan guarantee in 2002.
The board said it was also looking at strategies to sell its remaining warrants in World Airways (WLDA.O: Quote, Profile, Research) and Frontier Airlines (FRNT.O: Quote, Profile, Research) .