United Airlines to retire planes, eliminate 9,000 more jobs
CHICAGO (BLOOMBERG) -- UAL Corp., which owns United Airlines, said in a financing proposal that it will cut 9,000 more jobs, retire planes and reduce capacity to lower costs.
The company will trim capacity next year by 6 percent from 2002 levels, retire 49 aircraft and defer the scheduled delivery of planes through 2005. UAL will continue to eliminate jobs, expecting to have 74,000 workers by 2004, compared with more than 100,000 before Sept. 11, 2001.
The Chicago-based company is in talks to obtain $2 billion in financing in case it files for bankruptcy protection. UAL said in August that it may have to file for Chapter 11 if it can't get U.S. government-backed loans to help raise the money and pay $875 million in debt due before year's end.
Willis & Lowe sets sale
Anderson Auctions will oversee a liquidation sale at the Willis & Lowe store at 807 Elmwood Ave. starting Tuesday.
Bob Anderson said the sale of the store's contents will run through Saturday, from 10 a.m. to 6 p.m., each day.
"It's a discounted tag sale, with the prices going down each day through the end of the week," he said.
An auction might be held at a later date to dispose of any remaining merchandise and the store's fixtures. The home decor shop closed abruptly in mid-October with the owner, Hal Petri citing economic difficulties.
Investor wants Giuliani for CEO
NEW YORK (AP) -- A leading investor of WorldCom Inc. reportedly wants former New York Mayor Rudolph Giuliani to be named the company's chairman, the Wall Street Journal reported today.
The investor, David Matlin, has started a fund with Giuliani to accumulate at least one-third of WorldCom's bonds. Matlin's group of investors could retain the right to appoint board members if it owns more than a third of the company's bonds.
Sources close to the situation told the Journal that Matlin, who heads a bond-investor group backed by Credit Suisse First Boston, is expected to urge U.S. Bankruptcy Judge Arthur Gonzalez to accept a reorganization plan under which Giuliani would become chairman.
WorldCom, the telecommunications giant, admitted a $9 billion accounting fraud earlier this year and is mired in the biggest bankruptcy in U.S. history.