US Airways CEO Gangwhal Departs

US Airways today announced that Rakesh Gangwhal has stepped down from the CEO post at both US Airways Group and US Airways Inc. Stephen Wolf, currently chairman of both companies, reassumed CEO duties and said he was "disappointed" in Gangwhal's departure.

Confirming that there is no 'interim' qualifier in front of Wolf's reclaimed CEO title, a US Airways spokesperson said, "there is no hidden agenda and Stephen Wolf is running the show."

The carrier's senior management has taken much criticism during the past year, stemming from a failed merger attempt with United Airlines and a very high cost structure. US Airways, losing money before Sept. 11, lost $766 million in the third quarter alone.

"There has been talk of change since the United deal fell through," said one executive at a mega travel agency. "Maybe this is the first step of several."
Most industry observers think US Airways is on the selling block, teetering near bankruptcy or both. But it remains to be seen if Gangwhal's departure indicates a major move afoot.

Gangwhal first was hired by Wolf in 1996 as president and COO and was appointed CEO in 1998. He left to "work in the field of private equity and venture capital."