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IN RE TRANS WORLD AIRLINES, INC.

Civil Action No. 95-31-JJF.

203 B.R. 890 (1996)

In re TRANS WORLD AIRLINES, INC., Debtor. TRAVELLERS INTERNATIONAL AG, Appellant, v. TRANS WORLD AIRLINES, INC., Appellee.

United States District Court, D. Delaware.

December 30, 1996.

Attorney(s) appearing for the Case

Laurie S. Silverstein of Potter, Anderson & Corroon, Wilmington, Delaware, Michael Joseph, E. Alex Blanton, Richard A. Kirby, Joseph O. Click of Dyer, Ellis, Joseph & Mills, Washington, DC, for Appellant.

William H. Sudell, Jr., Kenneth J. Nachbar of Morris, Nichols, Arsht & Tunnell, Wilmington, Delaware, David S. Kurtz, Michael J. Templeton of Jones, Day, Reavis & Pogue, New York City, for Appellee.

OPINION

FARNAN, Chief Judge.

This is an appeal by Travellers International AG ("Travellers"), from the Bankruptcy Court's decision in favor of the debtor, Trans World Airlines ("TWA"), that TWA's $13.7 million deposit with the Clerk of the United States District Court for the Southern District of New York, intended as security for TWA's payment of a judgment rendered against TWA and in favor of Travellers in that court, was avoidable as a preference...

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