UNITED STATES LINES LAYS OFF FAR EAST STAFF

  &lt;United States Lines Inc> has laid
  off 260 employees, almost its entire Far East staff, its Hong
  Kong office general manager Elliott Burnside told Reuters.
      He also said calls by two of its container ships to Busan,
  South Korea and Kaohsiung, Taiwan, had been cancelled.
      He declined comment on local press reports that U.S. Lines
  planned to suspend operations because of failure to restructure
  its 1.27 billion U.S. Dlr debt, but said the firm would make an
  announcement later today.
      U.S. Lines filed for protection from its creditors under
  Chapter Eleven of the U.S. Federal law last November.
      The English-language South China Morning Post said U.S.
  Lines decided yesterday to sell its two remaining transpacific
  service fleets and assets and those of its U.S.-South America
  operation.
      It quoted a letter by company's chief executive Charles
  Hiltzheimer that said the ships and assets will be bought by
  rival U.S. Shipping companies, subject to approval by their
  boards.
      U.S. Lines' Far East operations comprise offices in Hong
  Kong, Singapore, Manila, Busan, Seoul, Tokyo, Yokohama, Kobe
  and Osaka, Burnside said.
  

