US Airways files for bankruptcy

WASHINGTON (CNN) -- US Airways filed for bankruptcy Sunday afternoon, the first major airline to do so since September 11.

The airline, already hit by a drop in business travel, suffered with the overall drop-off in travel after the September 11 terrorist attacks.

One of US Airways' major bases -- Ronald Reagan Washington National Airport -- did not completely reopen to commercial flights for months after the attacks because of security concerns.

The closure hurt the airline; US Airways lost nearly $2 billion last year and losses continue to mount. The bankruptcy filing will allow the airline time to get back on its feet.

The airline's pilots and flight attendants recently agreed to make concessions to help US Airways save money. The carrier was also trying to cut lease rates on its planes.

US Airways had to make such aggressive cost cuts in order to get final approval on nearly $1 billion in federal loan guarantees. The Air Transportation Stabilization Board has already given tentative approval pending concessions from its workers, suppliers and creditors.