American Trans Air gets conditional loan guarantee

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American Trans Air gets conditional loan guarantee  =

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Thursday September 26, 6:26 PM EDT =


WASHINGTON, Sept 26 (Reuters) - ATA Holdings Corp.(ATAH), parent of low-c=
ost carrier American Trans Air Inc., received conditional approval Thursd=
ay for a $148.5 million federal loan guarantee.

The Air Transportation Stabilization Board, the entity set up after last =
year's hijack attacks to help struggling carriers with credit assistance,=
 said the airline must amend its application to win final approval.

Among other things, the government wants a greater stake in the carrier's=
 business than has been offered.

The three-member board voted unanimously to grant conditional approval, s=
aying the airline "demonstrated a reasonable assurance" that it will be a=
ble to repay the loan according to the government's terms.

The board has denied most of the applications it has received. The bigges=
t carrier to apply for a loan guarantee is United Airlines, a unit of UAL=
 Corp. (UAL), which is seeking $1.8 billion in assistance. =



=A92002 Reuters Limited. =


Roger
EWROPS

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