Pilot Pension Talks Impasse

USFlyer

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Aug 19, 2002
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Reuters
US Airways: Pilot Pension Talks Impasse
Thursday March 20, 10:25 am ET


ALEXANDRIA, Va. (Reuters) - US Airways Group Inc. (OTC BB:UAWGQ.OB - News), looking to emerge from bankruptcy at the end of the month, on Thursday declared crucial talks with pilots on restructuring their pension plan were at an impasse.
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The airline also told a federal bankruptcy judge, who two days ago approved US Airways'' restructuring plan, that it would miss a $27 million lease payment on some Airbus aircraft due on Thursday but expected to renegotiate the terms.

US Airways is considering wage deferrals and cutting the size of its fleet due to the Iraq war, said John Butler, the airline''s chief bankruptcy attorney.

Butler told Judge Stephen Mitchell, of the U.S. Bankruptcy Court for the Eastern District of Virginia, that the airline was also in noncompliance with certain bankruptcy finance conditions. Butler did not give details, except to say that the noncompliance did not involve liquidity.

http://biz.yahoo.com/rb/030320/airlines_usairways_1.html
 
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USFlyer

Veteran
Aug 19, 2002
2,084
292
From Standard & Poor''s: "US Airways continues to negotiate with its pilots'' union regarding termination of the pilots'' pension plan and its replacement with less costly benefits, though it is expected that the court would impose the airline''s proposed changes if necessary."

I thought the judge cannot change contracts, only accept or reject in whole?!
 

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