American Airlines Seeks More Time (Merged Threads)

[AANOTOK]

Need more time Judge...

http://aviationblog.dallasnews.com/2013/03/amr-american-airlines-ask-bankruptcy-judge-for-more-time-to-file-a-plan-of-reorganization.html/

 

[john john]

You think negotiating with the unions was the only thing that had to be done in bankruptcy?...

It wasn't.

It sure wasn’t the Passenger Service Agents

 

[Boomer]

Need more time Judge...

http://aviationblog....anization.html/

How does the future, "New American," equalize the disparities for the PMUS and PMAA with respect to legacy costs related to the defined benefit pension frozen at PMAA and abrogated at PMUS?

Should the last act of the AMR BK be the abrogation of the DBP PlAAns for the TWU in exchange for a measurable paycheck match for some certain portion of gross wages so that all PMUS and PMAA are on the same footing with respect to making AAG profitable?

How does the, "House of Labor," function given the same membership but different realities?

 

[MCI transplant]

http://finance.yahoo.com/news/american-airlines-requests-more-time-015346502.html;_ylt=ArSD4pE_zlxElgfoU0O5_vCiuYdG;_ylu=X3oDMTRwaWoyZGptBG1

 

[MCI transplant]

Looks like I'm a little late in posting this one!------ But than again, isn't this the second time they've asked for an extension? ------- But really, no surprise here!------ But the big question in my mind is how an extension, if granted, would effect the 1114 procedures, if at all?

 

[FWAAA]

It's the sixth (and final) motion for an extension of time; if granted, no further extensions are permitted under the 2005 revisions to the Bankruptcy Code.

Here's the motion:

http://www.amrcaseinfo.com/pdflib/7077_15463.pdf

The 1114 motions should be resolved by the end of July.

 

[WorldTraveler]

with likely another month to wrap everything up and vote, emergence could occur by late August when the merger can become effective, right?

 

[cltrat]

I know that they have bent over the employee groups like with any BK but have there been any A/C leases dropped yet? If not I wonder if this happens now?

 

[MCI transplant]

It's the sixth (and final) motion for an extension of time; if granted, no further extensions are permitted under the 2005 revisions to the Bankruptcy Code.

Here's the motion:

http://www.amrcasein.../7077_15463.pdf

The 1114 motions should be resolved by the end of July.

So, what you're saying is, if you have a medical issue, as a retiree, take care of it before July? ------ Well, that should be only common sence!

 

[tripod727]

with likely another month to wrap everything up and vote, emergence could occur by late August when the merger can become effective, right?

Q – Is the merger still on track for the 3rd quarter of this year?
A – In court filings, US Airways has set the merger for Oct. 14, 2013, with a backup date of Dec. 13, 2013; but even these dates could be extended by order of the Court.

 

[jimntx]

How does the future, "New American," equalize the disparities for the PMUS and PMAA with respect to legacy costs related to the defined benefit pension frozen at PMAA and abrogated at PMUS?

Should the last act of the AMR BK be the abrogation of the DBP PlAAns for the TWU in exchange for a measurable paycheck match for some certain portion of gross wages so that all PMUS and PMAA are on the same footing with respect to making AAG profitable?

How does the, "House of Labor," function given the same membership but different realities?

I doubt seriously that there is any conflict other than in the minds of union people that all members of the same union should have the same benefits. True, for active benefits. The US pensions were abrogated and dumped on the PBGC. For merger purposes, US employees do not have a pension that must be dealt with. The AA employees have a frozen pension. As the amount due to the employee will never change regardless of how many years they continue to work, there is not much in the way of financing the pension that must be dealt with in the "new" American. (I think there is some funding that must still be done because the pensions were underfunded...legally, but still underfunded.) Nevertheless, there is no active pension plan in either company that must be shared with or matched for "incoming" employees. What we have now at AA is a 401-K plan, period.

AFAIK, there is no provision in the law that created the PBGC that if a company with a PBGC-administered pension plan merges with/is bought by/purchases a company (even with an active pension plan, which current AA does not have) that the PBGC-administered plan is returned to the "new" company.

 

[FWAAA]

I know that they have bent over the employee groups like with any BK but have there been any A/C leases dropped yet? If not I wonder if this happens now?

Some aircraft leases were rejected on the first day and since then, every lease on older aircraft has been renegotiated to lower the lease rates and to time the new expiration dates to the approximate delivery times of their replacement.

So, what you're saying is, if you have a medical issue, as a retiree, take care of it before July? ------ Well, that should be only common sence!

I didn't say anything of the kind. By the end of July, the bankruptcy judge will have ruled on AA's motions to reject its obligations to the retirees.

 

[700UW]

They have dropped plenty of leases and renegotiated many others, go to their filing and look for section 1110 motions.

 

[usa1]

I doubt seriously that there is any conflict other than in the minds of union people that all members of the same union should have the same benefits. True, for active benefits. The US pensions were abrogated and dumped on the PBGC. For merger purposes, US employees do not have a pension that must be dealt with. The AA employees have a frozen pension. As the amount due to the employee will never change regardless of how many years they continue to work, there is not much in the way of financing the pension that must be dealt with in the "new" American. (I think there is some funding that must still be done because the pensions were underfunded...legally, but still underfunded.) Nevertheless, there is no active pension plan in either company that must be shared with or matched for "incoming" employees. What we have now at AA is a 401-K plan, period.

AFAIK, there is no provision in the law that created the PBGC that if a company with a PBGC-administered pension plan merges with/is bought by/purchases a company (even with an active pension plan, which current AA does not have) that the PBGC-administered plan is returned to the "new" company.

So how does this play out? 35,000 US employees with no pension .... that will be ask to help fund an underfunded pension for some else? :angry2:

 

[FWAAA]

So how does this play out? 35,000 US employees with no pension .... that will be ask to help fund an underfunded pension for some else? :angry2:

That's certainly one imaginative way of looking at it.

Another way might be for the 65,000 AA employees to look at the huge raises the US pilots and FAs are about to receive and realize that their concessions just last year are going to help fund those raises for the US employees long into the future, since US didn't produce anywhere near enough revenue to pay for those raises all on its own. There won't be any subsidies flowing from US employees to AA employees - it will likely be the other way around.