American-TWA deal on course for Monday

ST. LOUIS TWA officials said an appeals court Saturday denied arequest to delay American Airlines' buyout of the company.

The 3rd U.S. Circuit Court of Appeals in Philadelphia did not makepublic any ruling. But Jamie Sprayregen, lead counsel for TWA, saidhe was informed that the court denied a stay requested by a committeeof TWA creditors.

A call to Edward Weisfelner, a lawyer for TWA creditors, was notanswered.

Under the deal, American would pay $742 million for St. Louis-based TWA and assume $3.5 billion in TWA debt.

TWA officials said the buyout, which would make American thenation's largest airline, is on course to be completed Monday.

TWA spokeswoman Julia Bishop-Cross said the buyout still must beapproved Monday in U.S. Bankruptcy Court in Wilmington, Del.

"Nothing we've seen so far would stop the sale," she said.

On Friday, U.S. District Judge Sue Robinson denied a request byTWA creditors to delay the sale.

The Philadelphia court ruled Saturday on the appeal of herdecision, Sprayregen said.

TWA lawyer Alex Dimitrief said the airline would run out of moneythis next week if the sale doesn't go through.

"We are running out of time," Dimitrief said. "If we are unable toclose on Monday, we won't have any cash left. This is do or die."