Trans World Airlines has delayed its proposed offering of 8-million shares of common stock in the aftermath of the explosion of Flight 800.
The company said management needs to devote its attention to providing assistance to the families of the passengers and crew members killed and to the investigation into the cause of the explosion.
TWA announced the stock offering last month to raise $159-million. The stock was trading at $21 a share the day before the announcement. It fell 56.25 cents to $8.68} a share on Tuesday.
Meanwhile, Western regional airline Reno Air announced Monday that it would withdraw its proposed stock offering because of the general decline in market conditions.
"Although we're pleased with our recent record financial results, the company's stock price reflects the overall downturn of the equity market and a recent dramatic volatility in airline stocks," said Paul Tate, Reno Air's vice president of finance and chief financial officer. "Accordingly, we have decided this is not the right time to be in the market selling our securities."