US Airways to brief AMR creditors on takeover plan

Written by Bloomberg | London | Updated: Mar 24 2012, 09:23am hrs
US Airways Group, seeking support for a possible American Airlines merger, is discussing a takeover plan with some creditors of the bankrupt carrier and their advisers, people with knowledge of the talks said.

Executives have laid out details of US Airways proposal for a combined airline to some members of the unsecured creditors committee and gotten a positive reception, said the people, who declined to be identified because the terms arent public. The goal would be to complete a merger before American parent AMR exits Chapter 11, the people said on Thursday.

US Airways has been making the overtures as American works toward its target of leaving court protection as an independent airline. Tempe has said it learned the value of labour and creditor backing after its hostile bid for Delta Air Lines collapsed in 2007.