USA320Pilot
Veteran
- May 18, 2003
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US Airways contract talks continue
Teddy Xidas, president of US Airways Pittsburgh-based AFA Local 40 and president-elect of the AFA's Master Executive Council s said US Airways' announcement Friday that it had reached a new financing agreement with two units of General Electric Corp. put additional pressure on the negotiations.
The agreement with GE, which held $2.8 billion in loans, leases and regional jet commitments with US Airways when the airline entered bankruptcy protection, could free up $140 million for the strapped airline.
The GE deal, however, is contingent on the bankruptcy judge approving pay cuts, work rule changes and relief from retiree health and pension benefits. It also sets a deadline for US Airways to emerge from bankruptcy protection by June 30.
It's like "giving the company a loaded gun with a steadier hand," Xidas said of the GE arrangement. "It hurts our negotiations by telling us what we should do and when we need to do it."
Complete Story
Best regards,
USA320Pilot
Teddy Xidas, president of US Airways Pittsburgh-based AFA Local 40 and president-elect of the AFA's Master Executive Council s said US Airways' announcement Friday that it had reached a new financing agreement with two units of General Electric Corp. put additional pressure on the negotiations.
The agreement with GE, which held $2.8 billion in loans, leases and regional jet commitments with US Airways when the airline entered bankruptcy protection, could free up $140 million for the strapped airline.
The GE deal, however, is contingent on the bankruptcy judge approving pay cuts, work rule changes and relief from retiree health and pension benefits. It also sets a deadline for US Airways to emerge from bankruptcy protection by June 30.
It's like "giving the company a loaded gun with a steadier hand," Xidas said of the GE arrangement. "It hurts our negotiations by telling us what we should do and when we need to do it."
Complete Story
Best regards,
USA320Pilot