HURDLES PASSED:
Federal Air Transportation Stabilization Bd. gives airline access to day-to-day cash through June 30
Creditor General Electric provides $140 million and deferral of aircraft debt and lease payments.
Aircraft makers agree to deliver six new regional jets.
$94 million in costs cuts ratified by Flight Attendants.
$300 million in cost cuts ratified by Pilots
$137 million in cost cuts ratified by Customer Service Agents.
$6.6 million in cost cuts ratified by dispatchers, flight simulator engineers and flight crew training instructors.
Bankruptcy judge allows airline to cancel pension plans covering 50,000 people and shift burden to federal agency, saving about $200 million annually.
Brankruptcy judge allows airline to save money by cutting retiree health care, saving about $40 million annually.
Bankruptcy judge throws out contracts of machinists, allowing airline to impose terms of its choosing. Company, though, sends union one last cost-cutting offer and allows members to vote on it.
HURDLES STILL TO GO:
TODAY: Airline must find $100 million in new equity to keep GE deal intact.
Jan 21: Voting ends on $268 million cost cuts for the machinists union.
Feb 15: Deadline to file a plan of reorganiztion.
Jan-Mar: Slow travel period, cash is scarce.
June 30: Carrier has to emerge from bankruptcy with $250 million in exit financing.
SURVIVAL CLOSE:http://www.marketwatch.com/tvradio/playerfull.asp?siteid=yhoo&dist=yhooBB&guid=%7B9C725160%2D10F6%2D483E%2D8BFE%2D5821F27A61B6%7D
Federal Air Transportation Stabilization Bd. gives airline access to day-to-day cash through June 30
Creditor General Electric provides $140 million and deferral of aircraft debt and lease payments.
Aircraft makers agree to deliver six new regional jets.
$94 million in costs cuts ratified by Flight Attendants.
$300 million in cost cuts ratified by Pilots
$137 million in cost cuts ratified by Customer Service Agents.
$6.6 million in cost cuts ratified by dispatchers, flight simulator engineers and flight crew training instructors.
Bankruptcy judge allows airline to cancel pension plans covering 50,000 people and shift burden to federal agency, saving about $200 million annually.
Brankruptcy judge allows airline to save money by cutting retiree health care, saving about $40 million annually.
Bankruptcy judge throws out contracts of machinists, allowing airline to impose terms of its choosing. Company, though, sends union one last cost-cutting offer and allows members to vote on it.
HURDLES STILL TO GO:
TODAY: Airline must find $100 million in new equity to keep GE deal intact.
Jan 21: Voting ends on $268 million cost cuts for the machinists union.
Feb 15: Deadline to file a plan of reorganiztion.
Jan-Mar: Slow travel period, cash is scarce.
June 30: Carrier has to emerge from bankruptcy with $250 million in exit financing.
SURVIVAL CLOSE:http://www.marketwatch.com/tvradio/playerfull.asp?siteid=yhoo&dist=yhooBB&guid=%7B9C725160%2D10F6%2D483E%2D8BFE%2D5821F27A61B6%7D
