PBGC and MERGER

[jimntx]

Probably  18 months down the road both operations will be under one certificate. Odds are that it will be AA's. So, the light is still red - maybe in the future it wil turn green when all of US assets are under AA's roof.
Cheers.

Well, we can always hope that is the eventual outcome. However, let's not forget that DP has successfully operated two separate airlines under one name for several years now. It should be no stretch to operate 3 airlines under one name. If operating 3 airline under one name means he doesn't have to come to contact terms with anyone, why should he combine them?

 

[usa1]

None of this has anything to do with Parker or the new company. The deal is with the pbgc retirement ins agreement.

 

[jimntx]

Are you sure about that? If the wholly-owned subsidiary called US Airways does not go away, then you still work for them. None of us do, or ever will, work for AAG, AAL, or whatever the hell new symbol is. I think American Airlines will always be a "wholly-owned subsidiary." Tax implications, employment law, etc. Question regarding the PBGC is whether or not US Airways (wholly-owned subsidiary of AAG) is merged/put together/blended into AA and therefore ceases to exist.

If DP finds an advantage to that not happening, I wouldn't bet the rent money on a completed merger any time soon.

 

[usa1]

I agree aa will always fall under aal. Question is when they merger us aa under one faa cert will it be aa's or us' s. If its aa's us is gone.

 

[700UW]

It should be AA's as the only plane they dont have on it would be the A330, every other type US has is all ready on AA's operating certificate.

 

[usa1]

It should be AA's as the only plane they dont have on it would be the A330, every other type US has is all ready on AA's operating certificate.

 
When AWA took over US Air the PBGC said that because the US certificate was used, US lived on. If you're right about the AA certificate they will have to dispute their last ruling to prevent us from getting our money. All this is 18-24 months away.  

 

[usairways_vote_NO]

Here is your answer...ooch
 


American Airlines/US Airways Merger: Frequently Asked Question (12/19/2013)
 
Q. I work for US Airways. PBGC is responsible for my US Airways pension plan, and has told me that I cannot get an early retirement benefit while I still work for the company. But US Airways is merging with American Airlines. As of December 9, 2013, I will be working for the new company. Does that mean I can start getting my PBGC benefit while I continue to work?
 
A. No, you won't be able to get a PBGC early retirement benefit while you work for the new company. The rules under federal law don't allow active employees to get early retirement benefits if their employer is related to the company that sponsored their pension plan. Because the new company was formed by the merger of US Airways and American, it is legally related to the pension plan sponsor, US Airways. You will be able to get an early retirement benefit only when you stop working for the new company.  However, once you reach your pension plan's normal retirement age, you can begin receiving your benefit even if you are still working for the new company.  
 
http://www.pbgc.gov/wr/bulletin/info/usairways/bulletin160.html
 
I hope everyone knew this was the answer.  Someone pasted the ruling for the AWA merger but somehow left off the most important part..at least he left the link for you to read.
 
"Thus, under the terms of the CE Plan, a participant is not eligible to receive a pension benefit prior to his normal retirement date if the participant is employed by US Airways, Inc., its corporate successors or a surviving corporation resulting from any merger or consolidation of US Airways, Inc. with any other corporation. A participant's normal retirement date under the Plan is the first of the month coincident with or next following the participant's 65 birthday. You have not yet attained age 65. Thus, if the CE Plan had not terminated, you would not be eligible to begin receiving Plan benefits while employed by US Airways, Inc."
 
http://www.pbgc.gov/%5CDocuments%5Capbletter%5CDecision--U.S.-Airways-2011-06-20.pdf

 

[mike33]

 
Here is your answer...ooch

American Airlines/US Airways Merger: Frequently Asked Question (12/19/2013)
Q. I work for US Airways. PBGC is responsible for my US Airways pension plan, and has told me that I cannot get an early retirement benefit while I still work for the company. But US Airways is merging with American Airlines. As of December 9, 2013, I will be working for the new company. Does that mean I can start getting my PBGC benefit while I continue to work?
A. No, you won't be able to get a PBGC early retirement benefit while you work for the new company. The rules under federal law don't allow active employees to get early retirement benefits if their employer is related to the company that sponsored their pension plan. Because the new company was formed by the merger of US Airways and American, it is legally related to the pension plan sponsor, US Airways. You will be able to get an early retirement benefit only when you stop working for the new company.  However, once you reach your pension plan's normal retirement age, you can begin receiving your benefit even if you are still working for the new company.  
 
http://www.pbgc.gov/wr/bulletin/info/usairways/bulletin160.html


 

Thanks. I was gonna check this morning myself. Now we know

 

[FWAAA]

When AWA took over US Air the PBGC said that because the US certificate was used, US lived on. If you're right about the AA certificate they will have to dispute their last ruling to prevent us from getting our money. All this is 18-24 months away.  

No, their written decision mentioned the operating certificates as background, but it did not form the basis for their conclusion.    Lawyers call those irrelevant details obiter dicta.   
 
You've repeatedly, and incorrectly, focused on "which operating certificate" survives as if that matters, despite others telling you that it didn't matter.   
 
Legally, new AA will be the corporate and legal successor to old US, including all of its merged components (and there are many). 

 

[usa1]

I figured the PBGC would rule that way. We are private sector, you have to be public sector to get a break these days.
We will be working until the last day! Then they can avoid paying us any SS. 
 
A little off topic, but, I have friends with no college, that work government jobs much easier than ours, retiring on 50K a year @ age 55. 
 
Check out what government workers make. A high school grad that works a stress free GS Level job (GS-12 say Step 7-9) makes $90,000.00 plus a year and will retires on 75% of their working pay?    Boy did I make a bad career choice. Oh well, to late now, still love my job though, just don't understand why someone working for the government, producing less than we everyday gets twice the compensation we do?         
 
http://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/2012/general-schedule-gs-salary-calculator/

 

[autofixer]

usa1, .gov.us & .gov.state employees can get it because their employer has the force of law and they can take yours and my money via taxation and redistribute it to its cronies who will surely vote the "correct" way.   The only problem is, as history shows, the cronies usually end up on the wrong end of the guillotine in the end.

 

[757fixer]

I don't know how you came up with your info on those stress free government jobs but check your sources. I'm a former US employee who left for the stress free life. I can assure you , (at least at the agency I work at) there are no GS-12s with just a high school diploma. And I wish somebody told me of the 75% retirement! If I knew I was going to get that I wouldn't have contributed all that money to the TSP (govt. version of a 401K). Yeah I have to finance my own retirement just like the rest of the world.

 

[usa1]

Sounds like you're missed out. I have multiple friends working for the DOD, with high school diplomas and one or two years of college,making 70-90 thousand a year as a Systems Analyst. A fancy word for a very simple job. More power to them! They think we're nuts for dealing with what we do on bad weather days and working holidays year after year?
 
http://jobs.govloop.com/82756/supply-systems-analyst-gs-2003-12/

 

[usa1]

"Systems Analyst", fancy title for supply clerk. Our agent job in 1991 was equal to their GS-9 step 9. Steps are seniority based. 
 
http://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/2012/general-schedule-gs-salary-calculator/

 

[757fixer]

Keep in mind the GS pay scale is a 20 year progression. (Steps 1 thru 10).