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ACCELERATED SMALL JETS LETTER #83
LETTER OF AGREEMENT Between US AIRWAYS, INC. and THE AIRLINE PILOTS in the service of US AIRWAYS, INC. as represented by THE AIR LINE PILOTS ASSOCIATION, INTERNATIONAL
ACCELERATED SMALL JETS
THIS LETTER OF AGREEMENT is made and entered into in accordance with Title II of the Railway Labor Act, as amended, by and between US Airways, Inc. (hereinafter referred to as the “Companyâ€) and the Airline Pilots in the service of US Airways, Inc. as represented by the Air Line Pilots Association (hereinafter referred to as the “Associationâ€).
WHEREAS the Company has identified opportunities to introduce Small Jets into the US Airways system that would generate accelerated revenue for the Company and accelerated Jets for Jobs for the US Airways pilots, and
WHEREAS these accelerated Small Jets would be financed and operated by Participating Affiliate Carriers, and
WHEREAS the operation of such Small Jets in the US Airways Express system would require certain modifications to the scope provisions of the Restructuring Agreement dated July 1, 2002,
NOW THEREFORE the parties mutually agree as follows:
1. Other than as specifically modified in this Letter of Agreement, all terms and conditions of the ALPA-US Airways Restructuring Agreement effective July 1, 2002 (hereinafter referred to as the “Restructuring Agreementâ€) as modified by the Supplementary Cost Reductions Letter of Agreement (L.O.A. 84), shall remain in full force and effect.
2. The terms and conditions for placement of the Small Jet code share aircraft that are authorized to be placed at other carriers and flown under the US Airways code by the provisions of Attachments B, B-1, and B-3 of the Restructuring Agreement shall be modified under the terms and conditions stated below:
A. Up to 20 “Medium SJs†(50-seat) and up to 30 “Large SJs†(70-seat CRJ-700 aircraft only) may be operated by Mesa Airlines or by any wholly owned subsidiary of Mesa Air Group or Mesa Airlines under terms agreed to between Mesa Air Group and the Association. Such aircraft shall be subject to the Jets for Jobs Protocol and must be placed into revenue operation no later than December 31, 2004.
B. Up to 25 “Large SJs†(70-seat CRJ-700 aircraft only), in addition to the 30 “Large SJs†authorized in Paragraph 2.A. above, may be placed into revenue operation by Participating Affiliate Carriers, provided that they are placed into revenue service no later than December 31, 2004, and provided further that they are subject to the Jets for Jobs Protocol (Attachment B-3 of the Restructuring Agreement). The foregoing does not preclude the placement of Large SJs in MDA in accordance with Attachment B of the Restructuring Agreement as amended by LOA 84.
C. Up to 25 “Large SJsâ€, specificially limited to the CRJ-700, may be placed into revenue operation at a Participating Wholly-Owned Carrier, other than MDA. All Large SJ positions created by operation of this paragraph shall be filled by US Airways pilots in accordance with the Jets for Jobs Protocol, Attachment B-3 of the Restructuring Agreement. In addition, as an exception to the Jets for Jobs Protocol, 100% of the first 25 Medium or Small Jet positions at the Wholly Owned Carrier where the above Large Small Jets are placed shall be filled by pilots of that Wholly Owned Carrier. Upon completion of the staffing of these aircraft, the 50/50 balance of hiring pursuant to the Jets for Jobs Protocol will be followed.
D. The number of “Medium SJs†and “Large SJs†in paragraphs A, B and C above are incremental to one another but are not incremental to the total number of “Medium SJs†and “Large SJs†authorized by Attachment
B of the Restructuring Agreement.
E. Up to 12 “Medium SJs†currently being operated by Chautauqua Airlines under another carrier’s code may be placed into revenue service by Chautauqua Airlines under the US Airways code, without immediately complying with the Filling of Vacancies provision of Attachment B-3 of the Restructuring Agreement, provided that such “Medium SJs†are placed into revenue operation under the US Airways code by February 29, 2004. For each of the “Medium SJs†specified in the foregoing sentence that is placed into revenue operation by Chautauqua Airlines under the US Airways code no later than such date in 2004, Chautauqua Airlines or Republic Airlines must also place into revenue service at least the same number of additional “Medium SJsâ€, no later than February 28, 2005 and each such additional “Medium SJ†must be staffed entirely with pilots from the APL, provided however, that no aircraft will be placed into revenue service for Republic Airlines under the US Airways code except with the approval of the Association. If the Filling of Vacancies 50% requirement (by the balance between the Medium SJs specified in the first sentence and the Medium SJs specified in the second sentence of this paragraph E.) is not achieved by February 28, 2005, the Company must either discontinue use of the number of code share aircraft or terminate the contract with Republic or Chautauqua Airlines as required to maintain the Filling of Vacancies 50% requirement.
F. Up to 5 “Medium SJs†may be placed into revenue service by Midway Airlines under the US Airways code, without immediately complying with the Filling of Vacancies provision of Attachment B-3 of the Restructuring Agreement, provided they are placed into revenue operation under the US Airways code by December 31, 2003. For each of the “Medium SJs†specified in the foregoing sentence that is placed into revenue operation under the US Airways code no later than such date in 2003, Midway Airlines must also place into revenue service at least the same number of additional “Medium SJsâ€, no later than December 31, 2004, and each such additional “Medium SJ†must be staffed entirely with pilots from the APL. If the Filling of Vacancies 50% requirement is not achieved by December 31, 2004, the Company must either discontinue use of the number of code share aircraft that would bring the ratio into compliance with the 50% requirement or terminate the contract with Midway Airlines.
3. MDA shall begin revenue flights on or before December 31, 2004 with no less than two Small Jets (which shall be either “Medium SJs†or “Large SJsâ€, or both) placed into revenue service.
4. All aircraft authorized by this Letter of Agreement shall be subject to the reporting requirements stated in Attachment B-3 of the Restructuring Agreement.
5. The Company shall seek the agreement of each participating affiliate that it will not discriminate in hiring against any current or former US Airways pilot if a reason for such discrimination is his membership in, or his activities in or on behalf of, the Association. The Company shall require that affiliate airlines recognize the rights of a pilot in respect to this clause. However, the Company shall not assume liability for the violation of the non-discrimination clause by a Participating Affiliate.
6. If it becomes evident to the Company that it or a Participating Carrier may not be able to comply with any of the above dates, the parties agree to meet and discuss alternatives acceptable to the parties.
7. This Letter of Agreement shall become effective on the date of signing and shall remain in effect concurrent with the Restructuring Agreement.