US Airways Begins Building Delta Creditor Coalition

Law360, New York (November 20, 2006, 12:00 AM EST) -- Less than a week after proposing a takeover of rival carrier Delta Airlines Inc., US Airways has begun lobbying the airline’s creditors, hoping to garner enough support to push the $8 billion merger through.

US Airways has focused its efforts on bondholders and creditors not represented by the official creditors committee, hoping to convince them to support the hostile takeover bid.

Of the various third parties involved in Delta’s Chapter 11 proceedings, the bondholders are most likely to align themselves with US Airways.

Although their claims...
To view the full article, register now.