US Airways 2006 Annual Report Download - page 170

Table of Contents
Report of Independent Registered Public Accounting Firm
The Board of Directors and Stockholder
US Airways, Inc.:
We have audited the accompanying balance sheets of US Airways, Inc. (US Airways) as of December 31, 2006 and 2005, and the
related statements of operations, stockholders' equity (deficit) and cash flows for year ended December 31, 2006, the three months ended
December 31, 2005 for the Successor Company, and for the nine months ended September 30, 2005, and the year ended December 31,
2004 for the Predecessor Company. These financial statements are the responsibility of the Company's management. Our responsibility is
to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States).
Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of US Airways
as of December 31, 2006 and 2005,and the results of its operations and its cash flows for the year ended December 31, 2006, the three
months ended December 31, 2005 for the Successor Company, and for the nine months ended September 30, 2005, and the year ended
December 31, 2004, for the Predecessor Company, in conformity with U.S. generally accepted accounting principles.
As discussed in Note 1 and 2(b) to the financial statements, on September 16, 2005, the Bankruptcy Court confirmed the Company's
Plan of Reorganization (the Plan), related to its Chapter 11 bankruptcy proceeding. The Plan became effective on September 27, 2005
and US Airways and its parent Company, US Airways Group, Inc. (US Airways Group), emerged from the Chapter 11 bankruptcy
proceeding. In connection with its emergence from the Chapter 11 bankruptcy proceedings, US Airways adopted fresh-start reporting
pursuant to Statement of Position 90-7, "Financial Reporting by Entities in Reorganization Under the Bankruptcy Code" as of
September 27, 2005. As a result, the financial statements of the Successor Company are presented on a different basis than those of the
Predecessor Company and, therefore, are not comparable in all respects.
As discussed in Note 6 to the financial statements, the Company adopted the provisions of the Statement of Financial Accounting
Standards ("SFAS") No. 158, Employers Accounting for Defined Benefit Pension and Other Postretirement Plans, an amendment of
FASB Statements No. 87,88,106,and 132(R), effective December 31, 2006 and as discussed in Note 14 to the financial statements, the
Company adopted the provisions of SFAS No. 123(R), Shared Based Payment, effective January 1, 2006.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the
effectiveness of the US Airways' internal control over financial reporting as of December 31, 2006, based on criteria established in
Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO),
and our report dated February 27, 2007 expressed an unqualified opinion on management's assessment of, and the effective operation of,
internal control over financial reporting.
/s/ KPMG LLP
Phoenix, Arizona
February 27, 2007
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