Aa Recieves Credit For "forgiving" 26 Million Doll

[buhbye]

In connection with the Labor Agreements, the Company agreed to forgive a $26 million receivable from one its three major unions. During the second quarter of 2003, the Company recorded a $26 million special charge to write-off the receivable.

 

[AAviator]

 

[operaations]

The company should never had forgiven the money owed by the APA. It baffles me why the company let the APA get away with that. If I am missing something please enlighten me because I fail to see why it was done.

 

[endorfun]

The money referred to in this statement may be monies owed by APA swcondary to the fine imposed by the court in relation to the work slow down by the pilots around the time of the Reno acquisition. Correct me if I am wrong.

 

[MiAAmi]

The reason is pretty obvious. They can write it off and also make the pilots feel as though they threw them a bone. You really can get away with an illegal work action. Just think if you divided $26 million out to all the other work groups that had to deal with the pilots sick out at the time how that might help with our "give backs" from last year. And you wonder why the pilots are always looking for a free newspaper.

 

[AAviator]

WOW! look at all the Pavlovian anti pilot responses here. (kudo's - your anti pilot AMR conditioning shines strong)

Lets see, pilots took a 23% pay cut vs: what you took. Do you Really think the 26 mil was forgiven, or do you think it was accounted for and off the books 2 years earlier than planned?

:down: We paid.

 

[operaations]

you did not pay your union should have had to pay the fine given to you by the judge for an illegal work action. Answer me this why do you think you are above the company and can perform such illegal acts

 

[FWAAA]

WOW! look at all the Pavlovian anti pilot responses here. (kudo's - your anti pilot AMR conditioning shines strong)

Lets see, pilots took a 23% pay cut vs: what you took. Do you Really think the 26 mil was forgiven, or do you think it was accounted for and off the books 2 years earlier than planned?

:down: We paid.

AAviator is correct. The $26 million was factored into the concessions demanded by AA.

Had any other work groups owed AA millions of dollars, I'm certain that AA would have taken it into account in determining how much you had to give up.

 

[AAviator]

Ops, I don't know where to begin with this. The money is coming out of the pilots pockets any way you slice it. The lump collected from APA directly was our dues money, was it not? I gave the thumbs up earlier in this thread, not because I was happy to have "screwed" AA out of money, on the contrary, they got their money. 23% pay cut instead of 16-17% like everyone else. By the way, how much was your cut? Wouldn't you say its a good thing to have this ugly chapter in our history closed? And just how do you feel having given up a lesser percentage of your take home pay than another work group? I bet you feel pretty good about that.

About 2400 out of 9300 pilots were actual participants in the job action. You use a pretty wide brush.

Lastly, if you can explain why AMR made it corporate policy to never involve labor when their action is a direct violation of a CBA, I'll look for logic in your last statement.

regards, 🙄

 

[RogerRoger]

Here's an explanation that I've heard discussed.

When APA first was fined, it was due in full. Many said it would have bankrupted the APA. And AA had every right to demand payment in full. If the APA would have gone bankrupt, you know that ALPA would have swooped in.

But, AA allowed the APA to pay only half of it, saving the APA and staving off an ALPA intrusion. It's pretty simple, really. AA does not want any more AFL-CIO unions on property and will do anything to keep them out. They are fully aware of the AFL-CIO's lobbying strength and AA does not want any full time competition in this department. They like their independent unions, as they are easier to control.

 

[Garfield1966]

Ops, I don't know where to begin with this. The money is coming out of the pilots pockets any way you slice it. The lump collected from APA directly was our dues money, was it not? I gave the thumbs up earlier in this thread, not because I was happy to have "screwed" AA out of money, on the contrary, they got their money. 23% pay cut instead of 16-17% like everyone else. By the way, how much was your cut? Wouldn't you say its a good thing to have this ugly chapter in our history closed? And just how do you feel having given up a lesser percentage of your take home pay than another work group? I bet you feel pretty good about that.

About 2400 out of 9300 pilots were actual participants in the job action. You use a pretty wide brush.

Lastly, if you can explain why AMR made it corporate policy to never involve labor when their action is a direct violation of a CBA, I'll look for logic in your last statement.

regards, 🙄

Is that including the raises you were getting for 3 years while my salary was frozen and then cut?

 

[AAviator]

No, we went 3 years without a raise, then took a 23% pay cut. What are you talking about? Our last pay raise was 8/31/00. 😳

 

[AAviator]

Sorry you feel that way.

 

[Garfield1966]

So, do you want to swap salaries? 25% from 6 figures is a heck of alot better then 20% from the low 5 figures.

Yea yea, all that training. Cry me a river. Let's not get into that crap all over again.

 

[mjk]

No, we went 3 years without a raise, then took a 23% pay cut. What are you talking about? Our last pay raise was 8/31/00. 😳

Year 1: 23% reduction from current base rates
Year 2 - 6: 17% reduction from current base rates offset by 1.5% increase annually

Your 23% goes away 1 May.

With the 1.5% annual increase you'll be at a 15.5%.

Just think, you'll be at "16-17% like everyone else" before you know it.

Oh, and you forgot to mention a couple other things:

Typical stock option per pilot should be approximately 1026 options.
Reserve Guarantee increased from 70 to 73 hours.

Wouldn't you say its a good thing to have this ugly chapter in our history closed?

APA made it ugly by engaging in an illegal job action, why should the company have to 'clean it up'?

APA got busted, plain and simple, and then spun it as mgmt being harsh and inflexible when APA had to start making payments.

Lastly, if you can explain why AMR made it corporate policy to never involve labor when their action is a direct violation of a CBA, I'll look for logic in your last statement.

If mgmt violated the CBA there are steps in place to deal with such a violation. (FYI- a sick out is not one of those steps)

You wouldn't shoot your neighbor's dog for peeing in your yard, would ya?