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Airline Roundup

The skies sure don't seem too friendly these days. On Apr. 5 discount carrier Skybus filed for Chapter 11 bankruptcy protection and ended service, becoming the third airline in less than three weeks to flop, after Aloha Airgroup and ATA. On Apr. 9, Boeing (BA) pushed back delivery of its 787 Dreamliner yet again, this time by at least four months, until late 2009. The fuel-sipping jet is now 14 to 16 months behind schedule. On Apr. 8 and 9, American Airlines' (AMR) canceled more than 1,500 flights of its MD-80 planes to comply with FAA inspection directives. And Delta (DAL) and Northwest (NWA) have resumed merger talks.

—Edited by Harry Maurer & Cristina Linblad

Will Apollo Fly?

Another private equity firm is just dying to go public. On Apr. 8, Leon Black's Apollo Global Management filed for an IPO aiming to raise about $418 million. If successful in a tough market, that would value Black's firm at $4.7 billion—and Apollo would join the ranks of other buyout shops now traded publicly like Blackstone Group (BX), whose stock has sagged 40% from last summer's $31 offering price.

—Edited by Harry Maurer & Cristina Linblad

Think Before You Fire

For companies, layoffs are a quick, albeit unpleasant, way to trim costs, right? Not necessarily. A recent study of 200 enterprises found that even a modest downsizing can unleash an exodus of valuable employees. For instance, companies that laid off 0.5% of their staff experienced, on average, a turnover rate of 13%—compared with an average turnover rate of 10.4% at companies that didn't do layoffs. (Academy of Management Journal)

—Edited by Harry Maurer & Cristina Linblad

Policing Staff Spending

Forget the fancy bubbly at your next business dinner. As companies scramble to trim their travel and expense budgets in the downturn, MasterCard (MA) is launching the "inControl" customized corporate credit card with Royal Bank of Scotland. It lets managers determine which restaurants, bars, and hotels employees can patronize on the company card, when they can frequent them, and how much they can shell out.

—Edited by Harry Maurer & Cristina Linblad

A Blow to Delphi

As if General Motors (GM) needed any more depressing news, on Apr. 4 an investment team led by Appaloosa Management backed out of a $2.55 billion equity investment in bankrupt parts maker Delphi (DPHIQ.PK), a former GM unit. Analysts say that means GM may have to assume more of Delphi's retiree liabilities. The auto giant has already taken $7.5 billion in charges over the past couple of years and has loaned Delphi $2 billion.

—Edited by Harry Maurer & Cristina Linblad

Clinton's Blues

Communications genius, huh? On Apr. 7 the Hillary Clinton campaign demoted longtime adviser, superpollster, and chief strategist Mark Penn. The problem: Penn, in his role as CEO of public relations firm Burson-Marsteller, took a meeting with Colombian officials who had hired his firm to help secure a bilateral trade agreement that Clinton opposes. Colombia, insulted by Penn's apologizing in the press for attending, promptly fired Burson.

—Edited by Harry Maurer & Cristina Linblad