Pa. leaders offer US Airways $263 million to keep Pittsburgh hub

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Pa. leaders offer US Airways $263 million to keep Pittsburgh hub


By LARA JAKES JORDAN
The Associated Press
6/11/03 7:08 PM


WASHINGTON (AP) -- Pennsylvania's top officials on Wednesday offered U.S. Airways $263 million over five years to keep its hub in Pittsburgh, a plan that was quickly deemed a "good-faith effort" by the airline's chief.

But the airline's CEO, David Siegel, said the offer was only the opening step in negotiations beginning Thursday, and bluntly said he could not promise to accept it.

"Absolutely not," Siegel said when asked if he could immediately commit to remaining at Pittsburgh International Airport. "What we're committing to is a process to work very hard, and I would define success as finding a resolution where we can stay in Pittsburgh, where it works for U.S. Airways and works for Pennsylvania.

"The goal is to stay," he added.

The offer was made during a 90-minute meeting in Washington between Siegel and top Pennsylvania officials, including Democratic Gov. Ed Rendell, Republican Sens. Arlen Specter and Rick Santorum, and 14 of the state's 19 U.S. House members.

The Arlington, Va.-based airline, which emerged from bankruptcy in late March, has estimated that it needs roughly $864 million over the next five years to maintain its current service levels at Pittsburgh International.


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