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Sitrick Handling US Airways Chapter 11

North America

Paul Holmes 13 Aug 2002

LOS ANGELES—US Airways, which filed for Chapter 11 bankruptcy protection earlier this week, has retained Los Angeles-based Sitrick & Company to provide communications counsel.
 
Sitrick is one of the leaders in bankruptcy PR, having provided advice to more than 150 companies in Chapter 11 since the firm's founding in 1989, including two other airlines: America West and Hawaiian Airlines. Other major cases include Orange County, Burlington Industries, Formica, and National Steel.
 
US Airways is anxious to communicate to nervous business travelers and others that it is not going out of business. It received permission from the bankruptcy court Monday to continue normal operations, and bankruptcy attorney John Butler said “What we need to do is make it very clear in dealing with our customers that we have the ability to deal with our customers without being fettered in any manner.”
 
The airline is presumably hoping to follow the flight path of rival Continental Airlines, which emerged from Chapter 11 in 1993 with its debt reduced and was the able to soar to profitability.

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Tags : Crisis Management-Bankruptcy

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