AMR RECOVERY PLAN/ SECTION- 1113, 03' Concessions

[bigjets]

You must lead a truly dreary life considering how much time you devote to telling other people they are wrong, and looking up trivia to prove it. My sympathies.

I find it refreshing when someone makes a post that has been thought out and made with facts, rather then spot some BS. My sympathies to the people who believe anything you write.

 

[Wretched Wrench]

I would expect that there will be no big bonuses during bankruptcy.
Jim

I dunno. "Retention Bonuses" are not unknown in airline bankruptcies.

 

[BoeingBoy]

True, but that was before the bankruptcy laws were changed making retention bonuses much harder to hand out. AA's is the first big airline bankruptcy under the changes.

Jim

 

[john john]

Welcome to the club a little history for you
http://liveweb.archi...0615Opinion.pdf
Before the court is the motion of the debtors in possession for approval of a
severance and retention program – referred to as the Transaction Retention Program or TRP
– for executives of the company and for over 1800 management employees. The motion is
supported by the Official Committee of Unsecured Creditors (which negotiated a number of
changes to the original proposal) but is opposed by the United States Trustee and by the
unions representing the debtor’s pilots, flight attendants, mechanics, and reservation agents.1
Following an evidentiary hearing, the court took the motion under advisement. For the
reasons stated, the court will approve the program for the non-officer management
employees, but will require that the proposed new employment contracts for the officers be
approved as part of a plan of reorganization.
Bankruptcy Judge admits employees think the $32 Million Management Bonus Plan is unfair and unjust…
June 15, 2005
CWA


US Bankruptcy Court Judge Stephens cut out the $18 Million Executive Bonus plan but he allowed the $32 Million Management Bonus Plan, along with the $5 Million discretionary "slush fund" to retain managers. But in his written legal decision he admits that employees are outraged by this giveaway:
"While management employees took some pay cuts and benefit reductions, the plain truth is that those cuts were significantly less than the cuts experienced by the non-management employees.
"It is hardly any wonder, therefore, that the rank and file employees have reacted to the proposal with considerable outrage, as evidenced, for example, by the petition that was admitted at the hearing signed by 2,209 members of the Communications Workers of America denouncing the proposed severance plan and urging this court not to approve it."
Full text of the judges opinion
http://liveweb.archi...0615Opinion.pdf

Welcome to the club a little history for you