US Airways says it won''t move headquarters to Pa.
Gov. Rendell wants the carrier to relocate from Virginia, but that''s not on the table, the new chairman said.
By Marcia Gelbart
Inquirer Staff Writer
US Airways Group Inc. won''t be calling Pennsylvania home anytime soon, the airline''s new board chairman said yesterday.
With US Airways seeking $390 million in public funding to improve its Pittsburgh and Philadelphia operations, Gov. Rendell said last week that he would ask the airline to move its headquarters to the state from Arlington, Va.
Everybody has visions, said David Bronner, who was elected board chairman April 4. He is chief executive officer of the Retirement Systems of Alabama, which holds a majority of US Airways'' board seats.
I''ve already agreed with management to allow it to stay where it''s at, so that''s not on the table, Bronner said in an interview.
The Alabama pension fund has given the airline, which emerged from bankruptcy protection two weeks ago, $240 million in exchange for a 37 percent ownership stake.
Previously, when the fund loaned millions to a small newspaper owner from Lexington, Ky., Bronner said part of the investment deal was that the newspaper company move its headquarters to Birmingham.
But concerning US Airways, which is managed from a high-rise building across the Potomac River from the nation''s capital, Bronner said: Washington is very important to us... . Plus, because the management team is so new, you don''t want to disrupt them from focusing on surviving [financially].
US Airways, which has nearly half of its workforce based in Pennsylvania, wants $235 million in government aid to cover rent costs, as well as facilities and runway improvements at Philadelphia International airport.
It also wants $155 million in cost savings from Pittsburgh''s airport, where the airline wants to base its new regional jet carrier, Mid-Atlantic Airways.
It''s not clear where any of that money would come from.
A Rendell spokeswoman offered little comment yesterday on Bronner''s ruling out the airline''s relocation. The spokeswoman, Kate Philips, also wouldn''t say whether the governor would pursue the effort in a meeting he was planning to hold with US Airways officials later this month.
In a related matter, the number of international travelers flying through Philadelphia''s airport has dipped for the first time in at least six months. According to the airport, 7.8 percent fewer passengers boarded aircraft this February than in the same month last year.
The drop comes as city airport officials are preparing for the May 2 opening of the new US Airways international terminal.
Last year, in spite of a nationwide decline in overseas travel, a record 3.2 million passengers used Philadelphia''s airport.
Gov. Rendell wants the carrier to relocate from Virginia, but that''s not on the table, the new chairman said.
By Marcia Gelbart
Inquirer Staff Writer
US Airways Group Inc. won''t be calling Pennsylvania home anytime soon, the airline''s new board chairman said yesterday.
With US Airways seeking $390 million in public funding to improve its Pittsburgh and Philadelphia operations, Gov. Rendell said last week that he would ask the airline to move its headquarters to the state from Arlington, Va.
Everybody has visions, said David Bronner, who was elected board chairman April 4. He is chief executive officer of the Retirement Systems of Alabama, which holds a majority of US Airways'' board seats.
I''ve already agreed with management to allow it to stay where it''s at, so that''s not on the table, Bronner said in an interview.
The Alabama pension fund has given the airline, which emerged from bankruptcy protection two weeks ago, $240 million in exchange for a 37 percent ownership stake.
Previously, when the fund loaned millions to a small newspaper owner from Lexington, Ky., Bronner said part of the investment deal was that the newspaper company move its headquarters to Birmingham.
But concerning US Airways, which is managed from a high-rise building across the Potomac River from the nation''s capital, Bronner said: Washington is very important to us... . Plus, because the management team is so new, you don''t want to disrupt them from focusing on surviving [financially].
US Airways, which has nearly half of its workforce based in Pennsylvania, wants $235 million in government aid to cover rent costs, as well as facilities and runway improvements at Philadelphia International airport.
It also wants $155 million in cost savings from Pittsburgh''s airport, where the airline wants to base its new regional jet carrier, Mid-Atlantic Airways.
It''s not clear where any of that money would come from.
A Rendell spokeswoman offered little comment yesterday on Bronner''s ruling out the airline''s relocation. The spokeswoman, Kate Philips, also wouldn''t say whether the governor would pursue the effort in a meeting he was planning to hold with US Airways officials later this month.
In a related matter, the number of international travelers flying through Philadelphia''s airport has dipped for the first time in at least six months. According to the airport, 7.8 percent fewer passengers boarded aircraft this February than in the same month last year.
The drop comes as city airport officials are preparing for the May 2 opening of the new US Airways international terminal.
Last year, in spite of a nationwide decline in overseas travel, a record 3.2 million passengers used Philadelphia''s airport.