I'm not a lawyer but number 2&3 appear to give the board and the judge control over the terms of profit sharing plan.
The Company will offer the following profit sharing program for flight attendants, subject to the following conditions:
1. AFA’s agreement to eliminate the current profit sharing provisions of the Agreement;
2. Approval by the US Airways Group, Inc. Board of Directors; and
3. If the Company is under Chapter 11 bankruptcy protection during the duration of this Agreement, subject to approval as part of the Company’s confirmed plan of reorganization in such Chapter 11 case.
a) Company profit sharing pool to be established at 10% of the pre-tax profit excluding unusual items (as reported, according to GAAP accounting practices) for pre-tax margins ranging from 0.1% to 5.0%; and at the above, plus 25% of any pre-tax profit excluding unusual items (as reported, according to GAAP accounting practices) in excess of a pre-tax margin of 5.0%.
B) AFA’s portion of Company profit-sharing pool will be no less than 14.5%.
c) An individual flight attendant’s profit sharing payment will be based on such flight attendant’s gross W-2 earnings (prior to any elective deferrals) for the prior calendar year divided by the gross W-2 earnings (prior to any elective deferrals) of all eligible flight attendants for the prior calendar year. “Eligible flight attendants†may include retired or furloughed flight attendants who had gross W-2 earnings (prior to any elective deferrals) for the prior calendar year, subject to applicable law.
The Company will offer the following profit sharing program for flight attendants, subject to the following conditions:
1. AFA’s agreement to eliminate the current profit sharing provisions of the Agreement;
2. Approval by the US Airways Group, Inc. Board of Directors; and
3. If the Company is under Chapter 11 bankruptcy protection during the duration of this Agreement, subject to approval as part of the Company’s confirmed plan of reorganization in such Chapter 11 case.
a) Company profit sharing pool to be established at 10% of the pre-tax profit excluding unusual items (as reported, according to GAAP accounting practices) for pre-tax margins ranging from 0.1% to 5.0%; and at the above, plus 25% of any pre-tax profit excluding unusual items (as reported, according to GAAP accounting practices) in excess of a pre-tax margin of 5.0%.
B) AFA’s portion of Company profit-sharing pool will be no less than 14.5%.
c) An individual flight attendant’s profit sharing payment will be based on such flight attendant’s gross W-2 earnings (prior to any elective deferrals) for the prior calendar year divided by the gross W-2 earnings (prior to any elective deferrals) of all eligible flight attendants for the prior calendar year. “Eligible flight attendants†may include retired or furloughed flight attendants who had gross W-2 earnings (prior to any elective deferrals) for the prior calendar year, subject to applicable law.
