US Airways gets ´huge boost´ from ATSB

US Airways got a boost in its effort to survive when the federal Air Transportation Stabilization Board (ATSB) agreed January 13 to let the airline extend its use of cash proceeds from its federally guaranteed loan through June 30.

US Airways has been operating with the use of ATSB cash collateral since its second Chapter 11 filing Sept. 12 of last year, but that agreement was due to expire Jan. 15.

Airline President and CEO Bruce Lakefield called the ATSB agreement a “huge boost,” and proclaimed “customers should book us with confidence, knowing that we have sufficient cash to operate as well as to implement the many changes that are already under way.”

US Airways faces another potentially critical moment Jan. 21, however, when the mechanics union tallies its members votes on a cost-cutting contract.