Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: FRIDAY, October 20, 1995 TAG: 9510200037
SECTION: BUSINESS PAGE: B-8 EDITION: METRO
SOURCE: Bloomberg Business News
DATELINE: ARLINGTON LENGTH: Short
The 56-year-old Schofield, who wants to retire, is entitled to receive triple his $500,000 base salary, plus an annual bonus, if control of Arlington-based USAir changes, according to a company proxy statement filed with the Securities and Exchange Commission this week.
The possibility of a change in ownership at USAir is real. The sixth-largest U.S. airline said earlier this month it is talking with UAL and AMR Corp. about possible alliances that include an outright acquisition.
Talks between USAir and UAL, parent of United Airlines, are more serious, industry executives have said. AMR's Chief Executive Robert Crandall has said he won't allow UAL to make the only bid.
If an acquisition results, Schofield also will get an undisclosed amount equal to the pension benefits he would have received if he had stayed at USAir until his contract was up, medical benefits until he joins a new employer and travel benefits for the rest of his life.
He's also entitled to reimbursement for salary reductions he took because of a cost-cutting plan adopted in 1991, which the proxy shows totaled $111,384 for 1992 and 1993.
Schofield, who's been with USAir for 38 years, decided last month to retire, then postponed leaving until acquisition talks were completed or called off. UAL is conducting a one-month study to evaluate the purchase and expects to have a decision later this month.
by CNB