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ALPA MEC CODE-A-PHONE UPDATE - May 7, 2004
This is MEC Chairman Bill Pollock with a US Airways MEC update for Friday, May 7th, with two new items.
Item 1. As of yesterday, only 55 percent of eligible pilots had cast a vote on LOA 91. I want to remind each pilot of the importance of your vote and of the ease with which you can cast that vote using ALPA's Internet or telephone balloting system.
In the past two weeks, many pilots have asked me to share my analysis of LOA 91's provisions. The purpose of LOA 91 is to provide the Company additional flexibility in deploying small jets, and especially Large SJs, allowing Large SJs to be flown at US Airways affiliates in greater numbers in order to protect our company’s ability to obtain financing for and operate those aircraft under our code. I can tell you, unequivocally, that US Airways needs feed and revenue from the planned future deliveries of SJs, especially during these challenging times, as this feed supports our revenue and our mainline fleet size by placing passengers on our mainline aircraft.
Already, Standard and Poor's has cut US Airways' credit rating to CCC+. This action by S&P allows GE Capital to rescind and/or renegotiate its SJ financing agreement with US Airways at any time, which could greatly jeopardize our revenue stream. GE may now contractually choose to divert future deliveries of SJs to our competitors, leading to the loss of flying, the associated Jets For Jobs positions, revenue, and feed. The purpose of LOA 91 is to increase the likelihood of GE Capital providing financing for continued SJ deliveries under the US Airways code, because it increases the security of GE Capital’s investment with US Airways.
LOA 91, if ratified, does not change the minimum mainline fleet size of 279 aircraft, and it does not change the total number of Medium and Large SJs that can be operated as US Airways Express.
Please also consider that this LOA, as was stated by the Negotiating Committee during the road shows, poses no risk to mainline pilots.
I realize that many pilots were working or otherwise engaged and could not attend a road show. To keep all pilots fully informed, ALPA mailed education materials to all eligible pilots. These materials are also posted on the pilots only home page, along with a narrated Negotiating Committee Road Show PowerPoint. Additionally, answers to the Negotiating Committee LOA 91 Q&A will be posted on the website this evening to provide you with additional material with which to make your decision.
I am asking every active member to vote, and to vote responsibly. Please cast your vote based solely on the provisions of LOA 91. You voted overwhelmingly last year that any contract, letter of agreement, or letter of understanding between US Airways and ALPA to be sent to the membership for ratification. You now have the responsibility to make an informed vote, and those who do not vote are letting others decide the direction of your airline career.
If you did not receive balloting materials and believe you are eligible to vote, please call ALPA's Membership Services Department in Herndon at 703-689-4163 or 888-FLY-ALPA.
LOA 91 voting ends Monday, May 10th, at 10 a.m. EST. You may change your vote at any time, and your last vote before polling closes will be counted as your final vote.
Item 2. A US Airways PowerPoint presentation shown during this week’s Labor Advisory Council meeting on the Company’s Transformation Plan has been posted on the pilots only home page under “New Information†for your review.
Please remember we have 1,879 pilots on furlough.
Thank you for listening
This is MEC Chairman Bill Pollock with a US Airways MEC update for Friday, May 7th, with two new items.
Item 1. As of yesterday, only 55 percent of eligible pilots had cast a vote on LOA 91. I want to remind each pilot of the importance of your vote and of the ease with which you can cast that vote using ALPA's Internet or telephone balloting system.
In the past two weeks, many pilots have asked me to share my analysis of LOA 91's provisions. The purpose of LOA 91 is to provide the Company additional flexibility in deploying small jets, and especially Large SJs, allowing Large SJs to be flown at US Airways affiliates in greater numbers in order to protect our company’s ability to obtain financing for and operate those aircraft under our code. I can tell you, unequivocally, that US Airways needs feed and revenue from the planned future deliveries of SJs, especially during these challenging times, as this feed supports our revenue and our mainline fleet size by placing passengers on our mainline aircraft.
Already, Standard and Poor's has cut US Airways' credit rating to CCC+. This action by S&P allows GE Capital to rescind and/or renegotiate its SJ financing agreement with US Airways at any time, which could greatly jeopardize our revenue stream. GE may now contractually choose to divert future deliveries of SJs to our competitors, leading to the loss of flying, the associated Jets For Jobs positions, revenue, and feed. The purpose of LOA 91 is to increase the likelihood of GE Capital providing financing for continued SJ deliveries under the US Airways code, because it increases the security of GE Capital’s investment with US Airways.
LOA 91, if ratified, does not change the minimum mainline fleet size of 279 aircraft, and it does not change the total number of Medium and Large SJs that can be operated as US Airways Express.
Please also consider that this LOA, as was stated by the Negotiating Committee during the road shows, poses no risk to mainline pilots.
I realize that many pilots were working or otherwise engaged and could not attend a road show. To keep all pilots fully informed, ALPA mailed education materials to all eligible pilots. These materials are also posted on the pilots only home page, along with a narrated Negotiating Committee Road Show PowerPoint. Additionally, answers to the Negotiating Committee LOA 91 Q&A will be posted on the website this evening to provide you with additional material with which to make your decision.
I am asking every active member to vote, and to vote responsibly. Please cast your vote based solely on the provisions of LOA 91. You voted overwhelmingly last year that any contract, letter of agreement, or letter of understanding between US Airways and ALPA to be sent to the membership for ratification. You now have the responsibility to make an informed vote, and those who do not vote are letting others decide the direction of your airline career.
If you did not receive balloting materials and believe you are eligible to vote, please call ALPA's Membership Services Department in Herndon at 703-689-4163 or 888-FLY-ALPA.
LOA 91 voting ends Monday, May 10th, at 10 a.m. EST. You may change your vote at any time, and your last vote before polling closes will be counted as your final vote.
Item 2. A US Airways PowerPoint presentation shown during this week’s Labor Advisory Council meeting on the Company’s Transformation Plan has been posted on the pilots only home page under “New Information†for your review.
Please remember we have 1,879 pilots on furlough.
Thank you for listening