A BOARD WITHOUT PITY : THOUGH ITS MANDATE WAS LIGHTLY DEFINED, THE TIGHT-FISTED ATSB FORCED CHANGE ON THE INDUSTRY
The Air Transportation Stabilization Board has granted just over $1.5 billion of the $10 billion in guarantees it has at its disposal. Its initial rejection of the application by United Airlines' request for $1.8 billion in loan guarantees was generally viewed as prudent. Industry concerns centered around the influence the board would have on the airline industry structure as it followed its mandate to administer the loan guarantees until the loan is repaid. Most airlines were more interested in cash grants. The loan program helped some airlines obtain financing on their own in the public markets, and some campaigned against United's application. Observers are divided over how well the board met congressional intent. Meetings are secret, with minutes released in heavily edited form. The board did seem to succeed in getting loan guarantee applicants to devise business plans. The remaining loan guarantees are not expected to be granted unless there is another major crisis. Many in the industry would prefer to see the board dissolved.
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Availability:
- Find a library where document is available. Order URL: http://worldcat.org/issn/00022543
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Supplemental Notes:
- Page range: pp 38, 41
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Corporate Authors:
Penton Media
1300 E 9th Street
Cleveland, OH United States 44114-1503 -
Authors:
- Feldman, J M
- Publication Date: 2003-1
Language
- English
Media Info
- Features: Figures; Photos;
- Pagination: 2 p.
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Serial:
- ATW: Air Transport World
- Volume: 40
- Issue Number: 1
- Publisher: Penton Media
- ISSN: 0002-2543
Subject/Index Terms
- TRT Terms: Airlines; Bankruptcy; Competition; Government funding; Loans
- Identifier Terms: U.S. Air Transportation Stabilization Board
- Subject Areas: Aviation; Finance;
Filing Info
- Accession Number: 00941558
- Record Type: Publication
- Source Agency: UC Berkeley Transportation Library
- Files: BTRIS, TRIS
- Created Date: May 1 2003 12:00AM