Atsb Comments On Us Airways'

[USA320Pilot]

In an interview with the Observer, ATSB Executive Director Mark Dayton said he believes the airline's restructuring plan seems sound, but neither he nor the lenders' financial advisers have finished looking over all the details.

While looking over the specifics of US Airways' plan, the board won't make demands for the airline to change pieces of the plan, Dayton said. Through its history, the board has done more listening than demanding, he said.

"Throughout the guarantee approval process the board did not dictate specific business plans to borrowers, and we wouldn't start doing that in the bankruptcy process either," he said. "We've always said, `Present us with a plan that works, and we'll work with you.' "

Dayton, who said the board's top priority is protecting taxpayer dollars, said Judge Stephen Mitchell -- not the ATSB -- will get the final say on whether US Airways survives.

"At this point in the bankruptcy, we can't unilaterally say, `Give us the cash collateral back,' and in any case, we're certainly not at that point today," he said.

The board's financial advisor, Lazard Freres & Co. LLC, is reviewing details of the airline's plan at the airline's expense. According to court documents, US Airways is to pay Lazard $250,000 a month plus expenses, and an additional $1 million if the bank loan's lenders, led by Charlotte-based Bank of America Corp., get their money back. The ATSB and the airline typically communicate daily.

Complete Story

Regards,

USA320Pilot

 

[aerosmith]

Go back to sleep 320 your not entertaining me.

 

[MrAeroMan]

If you're on USAviation looking for entertainment then you might want to consider EAS.

 

[cavalier]

If you're on USAviation looking for entertainment then you might want to consider EAS.

[post="190370"][/post]​

Blow it out your shorts air man

 

[motnot]

From lower in the story:

"Perhaps the most restrictive limits, though, are on US Airways' ability to burn through its cash. The airline must report its cash balance daily to the ATSB, and if it falls below certain levels on a weekly basis, the ATSB would gain the right to demand repayment of the loan.

"But if the airline's projections for its cash levels are close to accurate, it will not violate the minimum cash requirements -- even without the labor cuts it says it needs.

"For instance, on Jan. 14, the company has projected it will have $626 million in cash without the cuts. With the cuts, it estimates it will have roughly $730 million. But to be in compliance with the new agreement, the company needs to maintain only $550 million."

 

[PITbull]

From lower in the story:

"Perhaps the most restrictive limits, though, are on US Airways' ability to burn through its cash. The airline must report its cash balance daily to the ATSB, and if it falls below certain levels on a weekly basis, the ATSB would gain the right to demand repayment of the loan.

"But if the airline's projections for its cash levels are close to accurate, it will not violate the minimum cash requirements -- even without the labor cuts it says it needs.

"For instance, on Jan. 14, the company has projected it will have $626 million in cash without the cuts. With the cuts, it estimates it will have roughly $730 million. But to be in compliance with the new agreement, the company needs to maintain only $550 million."

[post="190394"][/post]​

I don't know where the media gets this information. The CFO just testified last Thurday that without the cuts, the company's cash balance would fall below $350 million by February according to their projections..

I don't get it.
So whose lying and when and to whom?

 

[jack mama]

no one's lying...the data produced shows the company will be ok through jan 14. but what happens after that when the 200 mil in payments is due in late jan/early feb. No one is going to give them that money....they have to start saving now.

 

[RowUnderDCA]

I don't know where the media gets this information. The CFO just testified last Thurday that without the cuts, the company's cash balance would fall below $350 million by February according to their projections..

I don't get it.
So whose lying and when and to whom?

[post="190396"][/post]​

February is after January. Jan 14 is before the aircraft payments are due. February is after they are due. I'm sure a union rep would know this stuff inside and out... so ask one of them.

 

[cavalier]

no one's lying...the data produced shows the company will be ok through jan 14. but what happens after that when the 200 mil in payments is due in late jan/early feb. No one is going to give them that money....they have to start saving now.

[post="190449"][/post]​

So mamma data man, are you a remote viewer looking down the psychic path or are you away this full of horse sh--t

 

[Schatzee]

no one's lying.......they have to start saving now.

[post="190449"][/post]​

And the perfect opportunity will be Thursday right before they speak to the judge. Jerry and the boys should all pass the plate amongst themselves. Giving begins at home Mr. Glass

 

[EyeInTheSky]

How the hell is this company going to make it past February?

* Management is incompetent
* Creditors just want to get their money and bail
* Fuel costs are rising
* All the negative press is scaring passengers

If you haven't been getting your resume out there -- you're nuts! Start now because let me tell ya; it's not easy. But, it can be done. New Frontiers await if you just look for them and pick wisely.

 

[X-U]

"The board's financial advisor, Lazard Freres & Co. LLC, is reviewing details of the airline's plan at the airline's expense. "


Lazard Freres...Lazard Freres...seems I've heard that name before....

 

[X-U]

"The board's financial advisor, Lazard Freres & Co. LLC, is reviewing details of the airline's plan at the airline's expense. "
Lazard Freres...Lazard Freres...seems I've heard that name before....

[post="190478"][/post]​

Oh yeah:

Stephen M. Wolf
"STEPHEN M. WOLF Chairman and Chief Executive Officer of US Airways Group, Inc., Arlington, VA. Mr. Wolf assumed his present position in January 1996. Previously and from August 1994, he was senior advisor in the investment banking firm of Lazard Freres & Co. LLC. Previously and from 1987, he was chairman and chief executive officer of UAL Corporation and United Air Lines, Inc. He serves as a director of R.R. Donnelly & Sons Company and as a trustee of Northwestern University, the Brookings Institution and the Rush-Presbyterian-St. Luke's Medical Center.... Director since 1993." He continues as a director of Altria in 2003

 

[USA320Pilot]

Without consensual or imposed labor relief the company cannot meet its January and February aircraft lease payments and continue to operate.

Bruce Lakefield told the ALPA MEC in "open session" that if the company is forced to reduce the fleet size to conserve cash, the most likely aircraft to leave the fleet are the A330's becuase of their cost and that they are due for expensive heavy maintenance.

With the employee cost cuts there will likely be a larger fleet and more jobs.

Respectfully,

USA320Pilot

 

[mwereplanes]

Oh, that must be why the fragmentation rights are gone.

Because there will be more jobs and a larger fleet.

Man, you just don't get it.

mr