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Pilots to get stake in firm

US Airways Group Inc pilots would receive as much as a 20 percent stake in the carrier in return for pay and benefit concessions under terms of a tentative agreement, their union said. The proposal for a new contract calls for pilots at the seventh-largest US airline to receive 17.5 million restricted shares and options for 11.5 million shares in exchange for US$465 million in concessions, the US Airways Air Line Pilots Association said in a message to members. US Airways this week received a US$900 million US loan guarantee that will help the company raise US$1 billion in financing if it wins concessions from work groups. The company and pilots are still negotiating on the full contract. Chief Executive Officer David Siegel said this week he hopes to get about 85 percent of a targeted US$950 million in annual labor savings to help the carrier stop losses and avoid a bankruptcy filing. The new options would replace an old options grant that lost value with a decline in the company's stock.

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