Exhibit 99.1

            US AIRWAYS TO IMPROVE CASH POSITION THROUGH BANKRUPTCY
             COURT APPROVAL OF AIRLINE SALE/LEASEBACK TRANSACTION

         ARLINGTON, Va., September 2, 2005 -- The U.S. Bankruptcy Court for
the Eastern District of Virginia today entered an order that will allow US
Airways Group, Inc. to close on its previously announced plans to sell certain
Embraer regional jet aircraft and slot assets to Republic Airways Holdings.
Upon closing, the transaction, expected to occur within the next two weeks,
will provide US Airways with approximately $100 million in cash.

         US Airways also filed motions this week, and received interim
approval, to sell and leaseback five Airbus A330's, nine Airbus A319's and
five Airbus A320's. The sale and leaseback transactions are scheduled to be
heard by the Court on Sept. 9, 2005. If approved and consummated later this
month, US Airways would realize additional liquidity in excess of $120
million, bringing the total liquidity generated from aircraft transactions in
connection with its emergence from Chapter 11 to approximately $300 million,
which will strengthen the company's cash position as part of its proposed
merger with America West Airlines. If the merger closes as planned, the new
airline is expected to have approximately $2.5 billion in total cash shortly
after closing, including approximately $800 million in restricted cash.

         "We are very pleased with the results of our asset sale programs. The
additional liquidity realized from these transactions, when added to the cash
being generated from other capital resources, should allow us to emerge from
Chapter 11 with an even larger cash cushion than originally anticipated," said
Ron Stanley, US Airways executive vice president of finance and CFO.

         Stanley added that these developments are extremely positive given
that high fuel prices have created financial turmoil for the airline industry.

         The Court also approved today a deal reached between US Airways and
the Pension Benefit Guaranty Corp. (PBGC), resolving nearly $2.7 billion in
claims. The agreement provides for US Airways to pay the PBGC $13.5 million in
cash, in addition to giving the PBGC a $10 million note and 70 percent of the
common stock being allocated to unsecured creditors.

         US Airways Group, Inc. and its domestic subsidiaries filed voluntary
petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code on
Sept. 12, 2004.

         The US Airways and America West merger will create the first
full-service, low-cost nationwide airline, with a pricing structure offering a
network of low-fare service to over 200 cities across the U.S., Canada,
Mexico, Latin America, the Caribbean and Europe, and amenities that include an
extensive frequent flyer program, airport clubs, assigned seating and First
Class cabin service. The airlines will operate under the US Airways brand and
will be headquartered in Tempe, Ariz. The merger is expected to close in late
September or early October 2005.

                          FORWARD-LOOKING STATEMENTS

Certain of the statements contained herein should be considered
"forward-looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995, which reflect the current views of US Airways
Group with respect to current events and financial performance. You can
identify these statements by forward-looking words such as "may," "will,"
"expect," "intend," "anticipate," "believe," "estimate," "plan," "could,"
"should," and "continue" or similar words. These forward-looking statements
may also use different phrases. Such forward-looking statements are and will
be, as the case may be, subject to many risks, uncertainties and factors
relating to the company's operations and business environment which may cause
the actual results of the company to be materially different from any future
results, express or implied, by such forward-looking statements. Factors that
could cause actual results to differ materially from these forward-looking
statements include, but are not limited to, the following: the ability of the
company to continue as a going concern; the ability of the company to obtain
and maintain any necessary financing for operations and other purposes,
whether debtor-in-possession financing or other financing; the ability of the
company to maintain adequate liquidity; the ability of the company to absorb
escalating fuel costs; the company's ability to obtain court approval with
respect to motions in the Chapter 11 proceedings prosecuted by it from time to
time; the ability of the company to develop, prosecute, confirm and consummate
one or more Plans of Reorganization with respect to the Chapter 11 proceedings
and to consummate all of the transactions contemplated by one or more such
Plans of Reorganization or upon which consummation of such plans may be
conditioned; risks associated with third parties seeking and obtaining court
approval to terminate or shorten the exclusivity period for the company to
propose and confirm one or more Plans of Reorganization, to appoint a Chapter
11 trustee or to convert the cases to Chapter 7 cases; the ability of the
company to obtain and maintain normal terms with vendors and service
providers; the company's ability to maintain contracts that are critical to
its operations; the potential adverse impact of the Chapter 11 proceedings on
the company's liquidity or results of operations; the ability of the company
to operate pursuant to the terms of its financing facilities (particularly the
financial covenants); the ability of the company to fund and execute its
business plan during the Chapter 11 proceedings and in the context of a Plan
of Reorganization and thereafter; the ability of the company to attract,
motivate and/or retain key executives and associates; the ability of the
company to attract and retain customers; the ability of the company to
maintain satisfactory labor relations; demand for transportation in the
markets in which the company operates; economic conditions; labor costs;
financing availability and costs; security-related and insurance costs;
competitive pressures on pricing (particularly from lower-cost competitors)
and on demand (particularly from low-cost carriers and multi-carrier
alliances); weather conditions; government legislation and regulation; impact
of the continued military activities in Iraq; other acts of war or terrorism;
and other risks and uncertainties listed from time to time in the company's
reports to the SEC. There may be other factors not identified above of which
the company is not currently aware that may affect matters discussed in the
forward-looking statements, and may also cause actual results to differ
materially from those discussed. The company assumes no obligation to update
such estimates to reflect actual results, changes in assumptions or changes in
other factors affecting such estimates other than as required by law.
Similarly, these and other factors, including the terms of any Plan of
Reorganization ultimately confirmed, can affect the value of the company's
various prepetition liabilities, common stock and/or other equity securities.
Accordingly, the company urges that the appropriate caution be exercised with
respect to existing and future investments in any of these liabilities and/or
securities.

ADDITIONAL INFORMATION AND WHERE TO FIND IT

In connection with the proposed merger transaction, US Airways Group has filed
a Registration Statement on Form S-4 (Registration No. 333-126162), which
includes a proxy statement of America West Holdings, and other documents with
the Securities and Exchange Commission. The proxy statement/prospectus was
mailed to stockholders of America West Holdings after the registration
statement was declared effective by the SEC on August 11, 2005. WE URGE
INVESTORS TO READ THE REGISTRATION STATEMENT AND PROXY STATEMENT/PROSPECTUS
AND OTHER RELATED MATERIALS CAREFULLY BECAUSE THEY CONTAIN IMPORTANT
INFORMATION ABOUT THE PROPOSED TRANSACTION. Investors may obtain free copies
of the registration statement and proxy statement/prospectus as well as other
filed documents containing information about US Airways Group and America West
Holdings at http://www.sec.gov, the SEC's Web site. Free copies of America
West Holdings' SEC filings are also available on America West Holdings' Web
site at http://www.shareholder.com/americawest/edgar.cfm, or by request to
Investor Relations, America West Holdings Corporation, 111 West Rio Salado
Pkwy, Tempe, Arizona 85281. Free copies of US Airways Group's SEC filings are
also available on US Airways Group's Web site at
http://investor.usairways.com/edgar.cfm or by request to Investor Relations,
US Airways Group, Inc., 2345 Crystal Drive, Arlington, VA 22227.

This communication shall not constitute an offer to sell or the solicitation
of an offer to buy any securities, nor shall there be any sale of securities
in any jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of
any such jurisdiction. No offering of securities shall be made except by means
of a prospectus meeting the requirements of Section 10 of the Securities Act
of 1933, as amended.

PARTICIPANTS IN THE SOLICITATION

America West Holdings, US Airways Group and their respective executive
officers and directors may be deemed, under SEC rules, to be participants in
the solicitation of proxies from America West Holdings' stockholders with
respect to the proposed transaction. Information regarding the officers and
directors of America West Holdings is included in its definitive proxy
statement for its 2005 Annual Meeting filed with the SEC on April 15, 2005.
Information regarding the officers and directors of US Airways Group is
included in its 2004 Annual Report filed with the SEC on Form 10-K on March 1,
2005. More detailed information regarding the identity of potential
participants, and their interests in the solicitation, is set forth in the
registration statement and proxy statement and other materials filed with the
SEC in connection with the proposed transaction.

Reporters needing additional information should contact US Airways Corporate
Affairs at (703) 872-5100.