America West Finds $150 Million In The Seat Cushions

The proposed merger between the Tempe-based airline and the bankrupt, twice-merged US Airways, gets an additional infusion of cash.

The Boston-based hedge fund Wellington Management, which manages $423 billion USD of funds, has pledged $150 million to the merger, according to a Wall Street Journal report.

The pledge would bring the total amount pledged to $500 million USD. An amended filing with the US Bankruptcy Court in Virginia disclosed the new pledge. Wellington holds positions in Northwest and Continental Airlines, and in American Airlines’ parent AMR.

America West management would run the new company from Tempe, but it would keep the US Airways name. And the agreement would form the nation’s fifth largest air carrier, and would be able to fly internationally.

David Utter is a staff writer for WebProNews covering technology and business. Email him here.