US Airways to sell 97 older jets, take charge

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ARLINGTON, Va., March 27 (Reuters) - US Airways (U) said on Wednesday it
will sell 97 older jets, many of which were grounded when the carrier cut
capacity following the Sept. 11 attacks, and take a $148 million noncash
charge.

The unit of US Airways Group, the No. 6 U.S. carrier, said the noncash
charge will be taken against 2001 results due to a further decline in the
market for less efficient aircraft following the attacks.

US Airways will sell the older Boeing Co. (BA) jets as well as spare parts
and spare engines to undisclosed buyers, the airline said. The carrier
phased out DC-9s last August, but accelerated plans to retire other fleets
when the attacks cut capacity needs last year, a spokesman said.


US Airways said it will sell 55 Boeing 737-200s, 26 DC-9s, and 16 MD-80s
with most closed by the end of the first quarter. It retired all of its
737-200s by last December and the last MD-80s are set to go out of service
April 1, the airline said.

The airline several years ago moved to reduce the number of jet types it
flies operates to reduce maintenance and other costs, opting to order narrow
and wide-body Airbus jets. As of March 1, US Airways operated 329 jets.

Airbus SAS is 80-percent owned by the European Aeronautic Defence and Space
Co. NV (EAD) (EAD), with the remaining 20 percent held by British aerospace
and defense industries group BAE Systems Plc (BA).


©2002 Reuters Limited.

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