US Airways, Delta Bankruptcy News

Sep 10th, 2004 | By Jared Blank

The NY Times is reporting that US Airways may declare a second bankruptcy as early as Sunday if pilots do not offer the $300 million in concessions the carrier is demanding. The airline would finance the bankruptcy with cash on hand, as finding addiional financing could be extremely difficult. I don’t know if liquidation is a certainty, but it’s a very real possibility. One piece of advice: Dividend Miles members may be smart to book a free ticket on a partner airline so your miles are protected.

As for Delta, airline analyst Jamie Baker is saying that there’s a 70% chance the airline will declare bankrtupcy, regardless of whether its restructuring is successful.





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