Pension-funding break

[gso-crew]

WASHINGTON -- The Senate Finance Committee approved legislation that would pare the pension-funding break American Airlines gained this year, setting the stage for a high-power Senate fight.

The bill, approved 15-6 Friday, wouldn't repeal the pension-funding break but would substantially curb its value for companies with employees still accruing pension benefits. But it must survive a fight pitting Senate Finance Chairman Max Baucus (D., Mont.) and his ally, Senate Minority ...

 

[UAL_TECH]

WASHINGTON -- The Senate Finance Committee approved legislation that would pare the pension-funding break American Airlines gained this year, setting the stage for a high-power Senate fight.

The bill, approved 15-6 Friday, wouldn't repeal the pension-funding break but would substantially curb its value for companies with employees still accruing pension benefits. But it must survive a fight pitting Senate Finance Chairman Max Baucus (D., Mont.) and his ally, Senate Minority ...

IMHO, it means nothing to Usairways and/or UAL.
PBGC has our retirement now and whatever happens to others 'happens'.
Our fight is over and we lost.

B) UT

 

[wench1]

if you think you can retire at 56- here's the scoop;

Age 56, 25 yrs of service--160.00--PER MONTH
Age 62 31 yrs of service--200.00--PER MONTH>This DOES NOT INCLUDE INSURANCE

I kid you not..if you got hired mid 80's say 85---you get a whole whopping 160.00 they can wipe THEIR BUTTOCK'S with that..bet DoUgI gets a whole lot more!

Boozer!

 

[GoldenRam94]

if you think you can retire at 56- here's the scoop;

Age 56, 25 yrs of service--160.00--PER MONTH
Age 62 31 yrs of service--200.00--PER MONTH>This DOES NOT INCLUDE INSURANCE

I kid you not..if you got hired mid 80's say 85---you get a whole whopping 160.00 they can wipe THEIR BUTTOCK'S with that..bet DoUgI gets a whole lot more!

Boozer!

Are those numbers serious?

 

[BoeingBoy]

That sounds like the PBGC guarantee, but wench1 can confirm. In reality, it's a little more complicated that just looking at the guarnatee if you were over 53 when your DB plan was terminated and turned over to the PBGC.

Jim

 

[FWAAA]

WASHINGTON -- The Senate Finance Committee approved legislation that would pare the pension-funding break American Airlines gained this year, setting the stage for a high-power Senate fight.

The bill, approved 15-6 Friday, wouldn't repeal the pension-funding break but would substantially curb its value for companies with employees still accruing pension benefits. But it must survive a fight pitting Senate Finance Chairman Max Baucus (D., Mont.) and his ally, Senate Minority ...

All it means is that NW and DL would get more time to make up their funding deficits than AA or CO; that only seems fair, given that AA hasn't frozen or terminated ANY of its Defined Benefit Plans.

The good news for AA is that it has been cash-rich enough lately so that it can afford to make larger-than-required annual contributions to its plans even without this special break that some retarded Senators want to take away from AA and CO. When times are good, it won't need this extended period to make up the shortfall.

But if times turn bad, it might find this extra time useful.

As others have said, it has nothing to do with US or UA which both terminated all pension plans and foisted them onto the PBGC.