ARLINGTON, Va. (AP) _ A group of US Airways shareholders upset with the performance of the airline’s stock is exploring a sale or merger of the company.
Tiger Management LLC, a hedge fund led by Julian Robertson Jr., holds 22.4 percent of US Airways Group stock. The investment fund said in a Securities and Exchange Commission filing released Monday that it is exploring the options because the company’s stock value ``does not properly reflect the intrinsic value of the business.″
A US Airways representative declined to comment.
The airline reported in July that profits for the second half of 1999 would be lower than analysts had expected. Analysts blamed the company’s fast expansion of its discount carrier Metrojet, as well as problems associated with a change in its computer reservation system.
A spokesman for New York-based Tiger, which has held US Airways stock since 1996, said the filing allows it to enter discussions with the company’s management, although it has no plans to push for a change in the US Airways board.
``This allows Tiger to speak directly to management about strategic options,″ spokesman Fraser Seitel said. ``Tiger is looking for ways to gain shareholder value.″
There is no guarantee that Tiger will take any action, the filing said.