Northwest closer to possible bankruptcy filing? -07/27/05

By Jesse Russell

Northwest Airlines moved a step closer to filing for bankruptcy as the company posted a loss of $225 million in the second quarter. The airline repeated a statement that if it doesn't cut $1.1 billion in labor costs it plans to file for Chapter 11. A 30-day cooling off period with workers who are trying to protect their wages and pensions ends on August 19. The workers have voted in favor of a strike.