Delta Lobbies Creditors To Oppose US Airways Bid

Law360, New York (November 17, 2006, 12:00 AM EST) -- Still hoping to fend off a proposed hostile takeover bid from US Airways, Delta Air Lines is rapidly working to gather creditor support to save its dream of exiting Chapter 11 as a freestanding company.

On Wednesday, undeterred by earlier failed merger talks, US Airways tried to circumvent the beleaguered carrier by submitting a proposal that appealed directly to the company’s creditors with an $8 billion buyout offer.

In response to that move, Delta Air Lines Chief Executive Gerald Grinstein and other executives have begun working...
To view the full article, register now.