Bronner Tells Usa Today Bankruptcy Could Occur

[USA320Pilot]

Chairman David Bronner said Monday that the (profit sharing) offer should force progress in ongoing talks with unions. "There doesn't seem to be a sense of urgency here," Bronner says.

Without concessions soon, the Arlington, Va.-based airline could be forced to file Chapter 11 bankruptcy as early as mid-September, he says.

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Respectfully,

USA320Pilot

 

[tadjr]

Chairman David Bronner said Monday that the offer should force progress in ongoing talks with unions. "There doesn't seem to be a sense of urgency here," Bronner says.

[post="167105"][/post]​

Well if the company would come up with a meeting date and move a little on their "opening" offer, maybe something would be accomplished in a more timely manner. I bet its going to be another "this is it, take it by Monday or we file" scenario though. Anyone else want in on the action? :down:

 

[USA320Pilot]

Tadjr:

For the CWA, I understand the company is warming to the "Rez stay at home" program, is considering a $2.00 per hour "high cost" city premium (COLA), and a modified "buy out" program. There is some room for the CWA to negotiate and next week could be important for your union.

I agree the take-it-or-leave-it offer will come shortly and for ALPA it could come shortly after Bruce Lakefield's meeting with the MEC on Wednesday. Why? There needs to be time to get TA's ratified to build the financial community and ATSB story to support the Chapter 11 filing.

Tadjr, this whole situation sucks and I wish none of us had to go through this.

Respectfully,

USA320Pilot

 

[cavalier]

Tadjr:

For the CWA, I understand the company is warming to the "Rez stay at home" program, is considering a $2.00 per hour "high cost" city premium (COLA), and a modified "buy out" program. There is some room for the CWA to negotiate and next week could be important for your union.

I agree the take-it-or-leave-it offer will come shortly and for ALPA it could come shortly after Bruce Lakefield's meeting with the MEC on Wednesday. Why? There needs to be time to get TA's ratified to build the financial community and ATSB story to support the Chapter 11 filing.

Tadjr, this whole situation sucks and I wish none of us had to go through this.

Respectfully,

USA320Pilot

Respectfully,

[post="167110"][/post]​

Is suck the proper term? Or should it be something more in the line of say:

co·er·cion (k$ ûrÆshÃn), n.
1. the act of coercing; use of force or intimidation to obtain compliance.
2. force or the power to use force in gaining compliance, as by a government or police force.
[1515–25; < ML coerci$n- (s. of coerci$), L coercti$n-, syncopated var. of COERCITIaN-, equiv. to coercit(us) (ptp. of coerc"re to COERCE) + -i$n- -ION; r. late ME cohercion < MF < L as above]
—co·erÆcion·ar·y, adj.
—co·erÆcion·ist, n.

 

[USA320Pilot]

PineyBob:

It's more than "could" and Bronner's USA Today quote is not coincidental to the reports inside and outside the company. Here's the deal.

The company is required to make $110 million in DB pension plan payments to the AFA and IAM on September 15, however, if the filing occurs on Sunday, September 12 the company would not be forced to fund the IAM and AFA pensions. I light of the PBGC's decision that United's pension default is illegal, it appears the only way for US Airways to legally not make these payments is to file for bankruptcy.

US Airways and United both filed for bankruptcy on a Sunday and I understand the bankruptcy advisors believe that is the best day of the week to enter a formal reorganization. On Sunday most Americans are involved in recreation activity and a filing on this day of the week gets less coverage and limits "booking shock".

As I understand it, if the company enters Chapter 11 management wants to keep the security in place, maintain the ATSB funds, and not seek DIP financing, thus cash flow is paramount going forward. If the company can keep its liquidity high then the airline will not need DIP financing and RSA can effectively become the debtor-in-possession to maintain its control of the company and the Board.

The argument against this date is that according to the August 4 SEC 10Q filing the company will not default on the potential loss of financing for new regional jets, violation of debt covenants and significant collateralization events under certain credit card processing agreements" until September 30.

Respectfully,

USA320Pilot

 

[cavalier]

Key word here is "Could"

I "Could" buy a Lottery Ticket

I "Could" win the $10,000,000 Jackpot too!

A320 "Could" be right.

[post="167111"][/post]​

If I ever start a business Bob, you're the man I would hire. A man you cares more about my business then I possible could. You would be perfect, no doubt.

Now Bob, this was NOT a slam, it's just the truth.

 

[Jetlaagd]

Tadjr:

For the CWA, I understand the company is warming to the "Rez stay at home" program, is considering a $2.00 per hour "high cost" city premium (COLA), and a modified "buy out" program. There is some room for the CWA to negotiate and next week could be important for your union.

Respectfully,

USA320Pilot

[post="167110"][/post]​

USA320pilot,From what you understood last winter and fall,you said there would be a UCT by now? You have no creditability on this forum and your ego is so large you do not even see it.USA320 why don't you set up a new topic where we could vote on this? Disrespectfully Jetlaagd

 

[PITbull]

USA320,

The company HAS to MAKE the pension liability on Sept 15, whether we freeze the plan or not...only way out of it IS BK. So, I suspect BK it will be cause they JUST DON'T WANT TO MAKE THE PAYMENT.

So, what's our hurry... NONE!


Just want to know exactly HOW MUCH MONEY DID THE COMPANY PAY INTO YOUR DEFINED CONTRIBUTION????

Care to elaborate?


Iwould like to know WHY the company did not make 2003 pension contribution , which placed the payments in the "rears", when they had $1 billion dollars in Guarantee money.

If they can't spend the money, why borrow the money in the first place?????


And don't give me a line of BS. Either answer these questions with some validity, or don't answer at all!

 

[hp_fa]

OK, I thought the Company could not file a bankruptcy under the terms of the loan. Also, since there will be no default by the pension payment due date of 9/15/04, who the hell is planning on filing the bankruptcy?

Or am I all wrong?

 

[USA320Pilot]

PITBull, HP_FA, & PineyBob:

PITBull, I understand your frustration and the pension fight is not with me, it's with the Bush Administration and in particular Andrew Card and John Snow. In regard to my DC Plan payments, that is private information. Let me say this, the pilot group gave up 50 to 70% of its DB pension, which was the last major hurdle to get out of bankruptcy 17 months ago. Furthermore, ALPA is likely to see further pension cuts this go-around.

HP_FA, I believe the company, the ATSB, and the major creditors are all working together and PITBull's thought on this subject is accurate.

PineyBob, just like with your Mack Truck theory, you're on to something with the Airbus heavy maintenance ruling, but you need to adjust your thoughts a little bit.

Respectfully,

USA320Pilot

 

[cavalier]

PITBull, HP_FA, & PineyBob:

PITBull, I understand your frustration and the pension fight is not with me, it's with the Bush Administration and in particular Andrew Card and John Snow. In regard to my DC Plan payments, that is private information. Let me say this, the pilot group gave up 50 to 70% of its DB pension, which was the last major hurdle to get out of bankruptcy 17 months ago. Furthermore, ALPA is likely to see further pension cuts this go-around.

HP_FA, I believe the company, the ATSB, and the major creditors are all working together and PITBull's thought on this subject is accurate.

PineyBob, just like with your Mack Truck theory, you're on to something with the Airbus heavy maintenance ruling, but you need to adjust your thoughts a little bit.

Respectfully,

USA320Pilot

[post="167132"][/post]​

The good captain needs his fuel and I see we all are still providing it, like the old firemen on the railroads we never stop throwing on the coal and the captain’s fire never becomes embers but instead a raging forest fire we collectively sustain.

 

[767jetz]

In light of the PBGC's decision that United's pension default is illegal, it appears the only way for US Airways to legally not make these payments is to file for bankruptcy.

[post="167117"][/post]​

First of all, the PBGC did not render a "decision" as you say. They wrote a letter objecting to UA's action and said they believe it is not consistent with pension rules. It is still being argued, and the only law suits were the ones filed by the machinists.

Now that we've cleared up that dramatization, How on Earth does your statement make any sense????????? :huh:

If UA is breaking the law as you imply, by not making pension payments while in CH11, how does filing for CH11 save US from making these same payments?

Honestly, IMHO US Airways will file CH11 and possibly CH7 either way. (Which by the way, is what I predicted long ago when you were spewing garbage about UCT's) I just thought I'd help the good folks at US who tire of your constant barage of propaganda, to polk holes in your theories.

(It's been a while... Boy that felt good! )

 

[cavalier]

First of all, the PBGC did not render a "decision" as you say. They wrote a letter objecting to UA's action and said they believe it is not consistent with pension rules. It is still being argued, and the only law suits were the ones filed by the machinists.

Now that we've cleared up that dramatization, How on Earth does your statement make any sense????????? :huh:

If UA is breaking the law as you imply, by not making pension payments while in CH11, how does filing for CH11 save US from making these same payments?

Honestly, IMHO US Airways will file CH11 and possibly CH7 either way. (Which by the way, is what I predicted long ago when you were spewing garbage about UCT's) I just thought I'd help the good folks at US who tire of your constant barage of propaganda, to polk holes in your theories.

(It's been a while... Boy that felt good! )

[post="167138"][/post]​

If U does file chapter 7, what happens to the U employees who are already collecting pensions? Anything?

 

[PITbull]

USA320,

I care about all labor groups here, but don't start trying to burn our bridges for us. We didn't do it when youR pension was in jeopardy.

You won't tell us the payment made on your Defined Contribution...fine.

But I will say this...THE COMPANY WILL HAVE TO GO INTO BK TO TAKE THE PENSIONS. PERIOD.

And you can't snow me here. This company WILL NOT BE REWARDED FOR GOING INTO BK A SECOND TIME TO JUST ABROGATE AGREEMENTS.

The media is exposing this pension issue, and I hope the hell the PBGC sues the pants off U for not making the pension requirements, inspite of a profit! Geezus, what little the f/as have left sickens me to no end that the co. will now steal the pensions and DUMP the liability on the PBGC.


I believe the company will be forced INTO bk because the creditors (GE, Bank America) are all in on the act to STEAL from the employees to maximise their stake and investment.

If we go into bk and the company abrogates, do you really, really think the employees will be productive with the present state of their morale? Really now?

This company will not survive Bankruptcy just on the mere fact the employees will have had enough.


IT BEHOOVES THE COMPANY TO COME TO CONSENUAL (truest form of the word) AGREEMENTS, OR THEY CAN KISS THE CORPORATION, AND THEIR INVESTMENTS BYE-BYE.

 

[Winglet]

Now entering phase III. Hide secret payouts to execs of the company. File for BK. Blame it on "unrealistic" greedy employees.