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Daily US Airways Liquidation Watch

The US Airways Liquidation Watch continues today, with Chairman David Bronner saying that employees must make another $800 million in concessions in the next 30 days or the airline may have to liquidate. He joked that the remains of US Airways could be used to start Bama Air, named after his home state of Alabama. I’m sure the employees, who have given up 2 sets of wage cuts, are laughing at that one. Bronner added that the airline’s investors would be better off in a liquidation scenario because they could buy the planes and route structure without being saddled with the labor contracts. This one is going to be ugly for a while. While no one (certainly not the unions) want the airline shut down and sold for parts, that’s probably the only viable scenario for the carrier, whose cost per seat mile are nearly double that of JetBlue.

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