United Bids for Pan Am’s Choice Routes

United Airlines on Thursday jumped back into the bidding war for struggling Pan Am Corp. with a $465-million offer for some of the airline’s highly prized routes.

Chicago-based United, the nation’s second-largest airline, also said it offered more than $60 million of financing to help Pan Am reorganize as a smaller airline.

The New York-based carrier filed for Chapter 11 bankruptcy protection from creditors in January.

Pan Am already has agreed to sell most of its transatlantic routes, the heart of the airline, its profitable East Coast shuttle and other assets to Delta Air Lines for $310 million.

Separately, Trans World Airlines and American Airlines, the nation’s largest carrier, have proposed buying Pan Am whole for $450 million, but only $30 million in cash would come from TWA.

The bankruptcy court judge overseeing Pan Am’s case has set a hearing for Monday at which Pan Am’s suitors will outline their plans. The judge is expected to rule on the bids shortly thereafter.

Meanwhile, Pan Am said it plans to suspend service from Los Angeles to Hawaii for the second time in five years. Daily flight service will cease Sept. 4 but may resume after an indefinite time, a spokesman said.

United, owned by UAL Corp., said in a statement that it offered $205 million for Pan Am’s Latin American routes and $260 million for some of its European routes and other assets.

United also offered to keep 6,500 Pan Am employees working after the buyout and put up $35 million in a severance package for employees that leave. The package is included in the overall bid for the Latin American routes, United said.

The United offer seems aimed at allowing Pan Am to survive as a smaller carrier. United said it would offer Pan Am a stake in the revenues in the Latin American division as operated by United.

Industry sources had said United previously made a separate bid for Pan Am’s Latin routes.