LOS ANGELES -- A U.S. bankruptcy court judge last week approved a cash infusion for ailing America West Airlines, but it remains unclear how the agreement might affect defaulted tax-exempt bonds sold for the airline by the Phoenix Industrial Development Authority.

Judge Robert Mooreman of Phoenix approved an agreement that provides America West with $20 million in loans from Northwest Airlines and $35 million from GPA Group Ltd., a jet-leasing company in Shannon, Ireland.

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