Airline CEO resigns

Tuesday, Nov. 27, 2001 | 10:56 a.m.

ARLINGTON, Va. -- The president and chief executive of US Airways, the nation's sixth-largest carrier, unexpectedly resigned today and the company said Chairman Stephen Wolf would take over both positions.

The carrier, which has struggled all year and whose proposed merger with United Airlines fell apart, said Rakesh Gangwal quit to pursue a career in venture capital.

Analysts described the management shakeup as a needed change for the embattled carrier, which lost $766 million in the third quarter and continues to lose millions of dollars each day because of weak travel demand.

"With the way the airline's been going, I'm thinking Stephen -- the master turnaround artist -- decided to roll up his sleeves and dig in," ABN Amro analyst Ray Neidl said.

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