Manufacturing Industry
US Airways has contingency plans for failure of United Airlines merger deal
Airline Industry Information, July 19, 2001
AIRLINE INDUSTRY INFORMATION-(C)1997-2001 M2 COMMUNICATIONS LTD
US Airways is expected to present its board of directors with possible options for its future survival should a proposed merger with UAL Corp's United Airlines fall through.
Sources suggested to Reuters that there were three alternative options (plans B, C and D), with these including an alliance with an international carrier, reducing unprofitable routes and cutting costs.
The fate of the proposed takeover currently rests with federal regulators, though UAL Corp has tried to withdraw from the deal prior to requesting that the Justice Department make a final decision.
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US Airways has not commented on any proposed strategies.
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