[P align=justify][FONT face=Times New Roman size=3]Chip said: But, the problem is the company no longer qualifies for the loan guarantee and further DIP financing, after reevaluating future revenues, which will be discussed at the November 7 Omnibus Hearing in Alexandria.[/FONT][/P]
[P align=justify][FONT face=Times New Roman size=3]ATC asked: Could you expand upon this?[/FONT][/P]
[P align=justify][FONT face=Times New Roman size=3]Usfliboi asked: Yeah expand on that chip... No one has said that anywhere ? Is there something factual you can refer me to that says that in writing?[/FONT][/P]
[P align=justify][FONT face=Times New Roman size=3]Chip answers: On October 25 Dow Jones Newswires wrote, the nation's seventh-largest airline said it needs to tighten its belt more if it expects to regain profitability, win a federal loan guarantee and receive further debtor-in-possession funding. It filed the information Thursday with the Securities and Exchange Commission. Earlier this week, the company told creditors rising fuel prices and the industry's dismal outlook necessitate further trimming.[/FONT][/P]
[P align=justify][FONT face=Times New Roman size=3]To view the entire article click on the following link:[/FONT][/P]
[P align=justify][A href=http://www.quicken.com/investments/news/story/?story=NewsStory/dowJones/20021025/ON200210250326000179.var&p=UAWGQ][FONT face=Times New Roman color=#000000 size=3][A href=http://www.quicken.com/investments/news/story/?story=NewsStory/dowJones/20021025/ON200210250326000179.var&p=UAWGQ]http://www.quicken.com/investments/news/story/?story=NewsStory/dowJones/20021025/ON200210250326000179.var&p=UAWGQ[/FONT][/A][/A][/P]
[P align=justify][FONT face=Times New Roman size=3]Chip comments: With the revenue deterioration the airline can no longer provide a business plan the meets the ATSB requirement to provide a 7 percent profit margin within a 7-yer period. This must be proven to an outside auditor, Fitch Rating. [/FONT][/P]
[P align=justify][FONT face=Times New Roman size=3]Today USA Today wrote [STRONG]CEO David Siegel painted a bleak outlook in his weekly recorded telephone message to employees. We're busy reassessing the current softness and how that's likely to continue into next year, he said. Make no mistake, we have a steep challenge ahead of us. [/STRONG]The company may have to reforecast revenue for next year and look for new ways to boost revenue or save money, he said, noting that the environment is tough for most airlines. Quite frankly, the industry over the last several weeks has just completely fallen off a cliff. And that's caused every major carrier to scramble for ways to balance the equation by cutting more costs.[/FONT][/P]
[P align=justify][FONT face=Times New Roman size=3]Chip[/FONT][/P]