Douggie Cashes Out

[FWAAA]

You are not for real, are you FW?

What should DP do differently? Should I frigg'in spell it out for you????

NEGOTIATE FAIRLY WITH THE UNIONS AND GIVE THEM SOME IMPROVEMENT TO THEIR WAGES BECAUSE BOTH East and West deserve it! He knows it and his people know it.

Here's what I don't understand: What do these options have to do with the integration negotiations? Are you certain that DP won't negotiate fairly?

If US had already failed to fairly negotiate, then I could understand some of your vitriol. But have those negotiations broken down yet? If not, then I think someone has the cart before the horse.

So DP should have to wait until all integration agreements are in place before exercising his options?

As for the "law", its the new BK laws that after CO BK will not permit companies to go into BK more than twice. Third time is liquidation.

I think you're mistaken on this one. That law bars execs who take a company into bankruptcy twice from participating in management if the company files a third time.

As hp_fa pointed out (and has been pointed out repeatedly on this forum), the current USAirways is not the same corporation that filed twice (US is not East); it is a new corporation that changed its name to USAirways.

 

[LD3]

Could you imagine how the posts would read if DP would not have written that letter....damned if you do, damned if you dont....

 

[PITbull]

As hp_fa pointed out (and has been pointed out repeatedly on this forum), the current USAirways is not the same corporation that filed twice (US is not East); it is a new corporation that changed its name to USAirways.

DP has stated repeatedly that any transition must be "cost neutral" to the company...what do YOU think that means? What it means to both MECs is this: Take one provision that has a monetary value and gutt it for a West raise, or swap it for EAst or West as long as the bottom line is "cost neutral". :down:

To your last retort, the USAirways company is an entity that has merged with AWA being a Wholly-own subsidiary of the USAirways Group, Inc, with the majority of the AWA managment running the company. When I left, that is what it said.

Spin it anyway you like.

 

[allday]

DP has stated repeatedly that any transition must be "cost neutral" to the company...what do YOU think that means? What it means to both MECs is this: Take one provision that has a monetary value and gutt it for a West raise, or swap it for EAst or West as long as the bottom line is "cost neutral". :down:

To your last retort, the USAirways company is an entity that has merged with AWA being a Wholly-own subsidiary of the USAirways Group, Inc, with the majority of the AWA managment running the company. When I left, that is what it said.

Spin it anyway you like.

So really Pit to break it all down.... you are not upset that he exercised his stock options, you are just pissed because you don't think he will bargin fairly with labor? It is interesting that the company makes money and then everyone wants to start spending it. Pilots want a raise, ramp wants a raise, gate agents want a raise, mechanics want a raise. Sooner or later all the profit runs out and then no one has a job. Don't you think that Doug and company got to where they are cause they had a clue about what is going on in the world. I think you need to take a breather on all the "labor will get you" crap and just relax. Let it ride. Now everyone is invited to go ahead and flame.

 

[rjh]

So really Pit to break it all down.... you are not upset that he exercised his stock options, you are just pissed because you don't think he will bargin fairly with labor? It is interesting that the company makes money and then everyone wants to start spending it. Pilots want a raise, ramp wants a raise, gate agents want a raise, mechanics want a raise. Sooner or later all the profit runs out and then no one has a job. Don't you think that Doug and company got to where they are cause they had a clue about what is going on in the world. I think you need to take a breather on all the "labor will get you" crap and just relax. Let it ride. Now everyone is invited to go ahead and flame.

Well said ..I'm all for getting a huge raise myself, but not if it means I will be out of a job in 2 years! The stock options don't cost the company anything: Doug bought the shares at a certain price, then sold them. LCC didn't buy the stocks back from him!

 

[PITbull]

So really Pit to break it all down.... you are not upset that he exercised his stock options, you are just pissed because you don't think he will bargin fairly with labor? It is interesting that the company makes money and then everyone wants to start spending it. Pilots want a raise, ramp wants a raise, gate agents want a raise, mechanics want a raise. Sooner or later all the profit runs out and then no one has a job. Don't you think that Doug and company got to where they are cause they had a clue about what is going on in the world. I think you need to take a breather on all the "labor will get you" crap and just relax. Let it ride. Now everyone is invited to go ahead and flame.

Hey Newbie,

I see the dogs called you in.

Yes. I don't give a rats arse about what he cashes in...I am pissed beyond words that the Execs who cash in less than a year (ALL OF THEM) seizing the opportunity to become instant millionaires from a stock price that soared because LABOR GAVE AND GAVE AND GAVE TO HOLD ON TO THEIR JOBS, CAN'T SUPPORT THEIR FAMILIES WITHOUT CREDIT, HOPING THAT BETTER DAYS WILL COME TO HAVE AN INCREASE.

Well, pal, its come. And those Execs in the desert castle owe their instant wealth on labor who serves the customer rain or shine, day in day out 24/7 putting thier self perservation on the back burner to MAKE THE COMPANY PROFITABLE!!!

And what do they get,..."ah, just want you all to know first hand that I too, cashed in my stock as 10% was about to expire from the stock I had way back when...and well the new issues, ah, we won't talk about that. But, just wanted to be upfront with all of you so you know it isn't coming out of USAirways. Oh, and by the way,ah, cost neutral agreements, kay" to keep us on the profitable path".

And everyone from the West "hails" the guy like he's some saint for reaping $12.5 million.

I am mad because our group on the East gave up pension and wages and yes jobs to live another day. AFA alone created a provision not only the Voluntary furlough concept in 2001 that ALL, mind you, ALL legacy carriers adopted to keep lower paid workers on the payroll and give the company relief, and worked out Early retirement proposals, and VFLR's (1,000 f/as took me included)to keep a wage for the rest of the workers on the property from taking more severe pay cuts than the 31% collective 3 concession wages. the Commpany got to balance the workforce which they so desperately stated was imperative.

It gets the East NOTHING, but a profitable company that benefits just the Execs...oh just let them all just take a bowel. Yup, I'm pissed, go tell your boss. After making 340 million in profits, you don't think all of labor should be asking for an increase? Even the West have aendable contracts that Doug won't budge on.

rih,

Doug didn't buy the stock, he was granted stock options by the Corporation...his old options and the new distribution he received (no money out of his pocket for shares) last Sept.

 

[tokerboy]

I am sure he has no problem putting gas in his dozen cars to come to work. :down:

I have a real hard time taking a position that any exec at USAirways should have some god-given entitlement of becoming instant millionaires when that opportunity came from the HUGE CONCESSIONS, furloughs and pension dumps from the employees.

ITS BEEN LESS THAN ONE YEAR AND THE MERGER HAS NOT BEEN CONSUMATED, AND THE FOLKS ON THE WEST HAVE AMENDABLE CONTRACTS THAT HE WON'T FAIRLY NEGOTIATE AND THE EAST ARE RIDDLED WITH SEVERE CONCESSIONS UNTIL 2012. What the heck, at least he's telling that he is now a multi-millionaire instead of you finding out from the obvious SEC report HE MUST submit to the shareholders.

They are despicable organisms.
Bob,

The employees didn't get any money. That will only be triggered if the net annual profit is realized at the end of the year. The best time to sell his stock, including the 250,000 shares that WAS NOT expiring until 2012, was NOW.

Please spare me the "good guy" nonsense.

Screw him and the supposed white horse he rode in on! I'm still living paycheck to paycheck. Show US the money Dougie!!

 

[allday]

Hey Newbie,

I see the dogs called you in.

Yes. I don't give a rats arse about what he cashes in...I am pissed beyond words that the Execs who cash in less than a year (ALL OF THEM) seizing the opportunity to become instant millionaires from a stock price that soared because LABOR GAVE AND GAVE AND GAVE TO HOLD ON TO THEIR JOBS, CAN'T SUPPORT THEIR FAMILIES WITHOUT CREDIT, HOPING THAT BETTER DAYS WILL COME TO HAVE AN INCREASE.

Well, pal, its come. And those Execs in the desert castle owe their instant wealth on labor who serves the customer rain or shine, day in day out 24/7 putting thier self perservation on the back burner to MAKE THE COMPANY PROFITABLE!!!




And what do they get,..."ah, just want you all to know first hand that I too, cashed in my stock as 10% was about to expire from the stock I had way back when...and well the new issues, ah, we won't talk about that. But, just wanted to be upfront with all of you so you know it isn't coming out of USAirways. Oh, and by the way,ah, cost neutral agreements, kay" to keep us on the profitable path".

And everyone from the West "hails" the guy like he's some saint for reaping $12.5 million.

I am mad because our group on the East gave up pension and wages and yes jobs to live another day. AFA alone created a provision not only the Voluntary furlough concept in 2001 that ALL, mind you, ALL legacy carriers adopted to keep lower paid workers on the payroll and give the company relief, and worked out Early retirement proposals, and VFLR's (1,000 f/as took me included)to keep a wage for the rest of the workers on the property from taking more severe pay cuts than the 31% collective 3 concession wages. the Commpany got to balance the workforce which they so desperately stated was imperative.

It gets the East NOTHING, but a profitable company that benefits just the Execs...oh just let them all just take a bowel. Yup, I'm pissed, go tell your boss. After making 340 million in profits, you don't think all of labor should be asking for an increase? Even the West have aendable contracts that Doug won't budge on.

rih,

Doug didn't buy the stock, he was granted stock options by the Corporation...his old options and the new distribution he received (no money out of his pocket for shares) last Sept.

So you think the company could give everyone a huge raise, and then still be profitable? While I am all for the raise, I gotta say I just don't think this can be the case. At some point a person has to put emotions aside and say wow, maybe right now isn't the best time to be asking for a raise. The people who are wanting raises are the same naysayers who are saying "oh it is only 2 quarters of profit just wait the company will go back under" It seems that it is wanted both ways. In the letter to the employees, he says that he cashed in less than 20% of his options. Now don't you think if he was just trying to become a millionaire and shove it up your ass that he would have cashed them all in? So at the end of the day your pissed because a CEO cashed in something he had been saving for the past 10 years, and at the same time he wants to have responsible spending? Maybe thats why HE is the CEO and YOU don't work for the company. Just a thought. If this were 5 years down the road and he did the same thing would you be equally as upset? The stock options are from AWA not USairways. Every stock holder had their stock integrated into LCC. I am not a spin doctor, or anything like that. I just find it odd that people see profit and then all the sudden think that everyone and their brother should get a raise because of it. The next attack on the U.S. could be just around the corner, don't you think it is important as a company that they prepare for it?

 

[rjh]

Doug didn't buy the stock, he was granted stock options by the Corporation...his old options and the new distribution he received (no money out of his pocket for shares) last Sept.

Sure, he didn't put out any cash. But the stock wasn't "given" to him by the company. He exercised the option to buy the stock at the lower price, then just turned right around and sold it at the current market price. As he said in the letter, no cash came from the company.

 

[smmech]

Dp will cash out.. Then cash in.. He will not play fairly with labor, nor will he be friendly with the profitsharing..

Seen this comming even as some think he is our savior.. In maintenance we see him playing this profit to futher devide us.. Well he can do that with all groups.. Pilots. F/A's etc.. Cause we will all fight to get our share of it..

I cant seem to understand if intergration is what this company wants, maybe a big merger is commin cause they like to make sure we cant get together.. lol..

DP Pwn'd all you easties.. Know he gets your consessions to spend freely.. Lakefield is a Chump.. (not even sure how to spell his name as it never comes up) and he did what he had to..

 

[murphy]

I think stock options are a bad way of compensating executives, and I think executive compensation in general in the US is out of control. In 2005, the average CEO in the United States made 170 times more than the average worker. That's obscene. That said, if the BOD of my company gave me what amounts to a check for $12M, you can bet I'd cash it.

 

[BoeingBoy]

A couple of points.....

Not picking on you, Bob - your's was just the last post to express this:

frankly he is under no moral, legal or ethical obligation to tell you anything beyond what the SEC requires and if US were a private instead of public company he would have had no obligation of any kind.

I agree that Doug did nothing illegal, unethical, or immoral by cashing in these options. Unseemly to be raking in millions while preaching austerity to the "grunts" that "Make US Fly", absolutely.

Also, when questions were raised earlier about the other execs cashing in their options, Doug distinguished himself from them by pointing out that he hadn't and never had profited from options himself. Presumably, he was aware at that time that some of his options were expiring shortly. In my opinion, once he used that line he had an obligation to "come clean" with the employees when he decided to cash in himself.

So you think the company could give everyone a huge raise, and then still be profitable?

I don't recall anyone mentioning a "huge" raise, but maybe you consider it "huge" to raise the pay for folks on one side to what their peers on the other side make for doing the same job. I suspect most wouldn't agree.

Some seem to be confused about what "cost neutral" contracts really mean. I'll spell it out...."cost neutral" is a polite way of saying C-O-N-C-E-S-S-I-O-N-S for some. For example, Doug has publicly said that the East pilot contract is lower cost than the West, so combining the two contracts while remaining "cost neutral" means bringing the cost of the West contract down more than the East contract would come up since there's more East pilots than West. That's a C-O-N-C-E-S-S-I-O-N for the West pilots.

So for everyone in favor of "cost neutral" - how much are you willing to give up so Doug and the gang can continue to cash in their options for millions?

Jim

 

[PITbull]

So you think the company could give everyone a huge raise, and then still be profitable? While I am all for the raise, I gotta say I just don't think this can be the case. At some point a person has to put emotions aside and say wow, maybe right now isn't the best time to be asking for a raise. The people who are wanting raises are the same naysayers who are saying "oh it is only 2 quarters of profit just wait the company will go back under" It seems that it is wanted both ways. In the letter to the employees, he says that he cashed in less than 20% of his options. Now don't you think if he was just trying to become a millionaire and shove it up your ass that he would have cashed them all in? So at the end of the day your pissed because a CEO cashed in something he had been saving for the past 10 years, and at the same time he wants to have responsible spending? Maybe thats why HE is the CEO and YOU don't work for the company. Just a thought. If this were 5 years down the road and he did the same thing would you be equally as upset? The stock options are from AWA not USairways. Every stock holder had their stock integrated into LCC. I am not a spin doctor, or anything like that. I just find it odd that people see profit and then all the sudden think that everyone and their brother should get a raise because of it. The next attack on the U.S. could be just around the corner, don't you think it is important as a company that they prepare for it?

You're right I can't work for this type of company. Out of those 250,000 shares DP cashed in; only 10% were expiring in Sept. But what the heck, he is CEO he is NOT paid to feel financial pain or have a difficult time supporting his family...just Labor.

Using your reasoning, Labor should expect NOTHING for infinity, after all, the company always has to prepare for a bad period.

 

[hp_fa]

As part of his compensation from AWA, and later LCC, Doug was given stock options. So, those options are indeed part of the pay he is given for coming to work each day. Also, as someone else asked, who is paying the tax on the profits made exercising those options? If it is the company then that is directly paid monies by LCC.

 

[HPearlyretiree]

Spin it anyway you like.

OK, you derive more pleasure out of being a professional victim rather than wanting to work towards making a better airline, and rather than do anything positive, you would rather whine, because you are better at doing that.

My spin.