The Stock Debacle

[allegheny1]

8/05/03 usala.ob stock trading site open and active.

8/07/03 company executives state no stock issued and can not explain
active trading. Deny that usala has been selected as ticker symbol.

8/14/03 after conference call with unions company states that stock is
trading on when issued basis......my broker states that is not
correct. Trades are not indicating WI status and shares must be
delivered within 3 business days or seller is forced to buy back
shares even if price is higher at that point. He can find no way
for me to trade the shares.

8/27/03 receive letter from company re shares granted (less taxes) and
that ticker symbol is.....usala.

9/08/03 e trade states that that shares are now available for trading even
though it appears that no employee has received their packet
with the access code for account activation. they gladly give out
new access codes to those who call. shares traded between 14.00
9.40 per share that day. volume at approx. 271,000 shares.

9/11/03 e trade mails(from melville ny) the access codes to the employees.
(this is from the envelope)

9/13/03 (saturday)received access code to activate account.

9/15/03 stock opens for trading at 7.50.

This whole debacle created a playing field that was not level or fair to the
average employee. Who was able to trade from 8/05 until 9/05 at prices
as high as 32.00. Those who called e trade on 9/08 were able to trade at
higher prices then those who waited until their packet arrived...5 full trading
days after stock activation...supposedly.
Why didn t management insist that the trading mechanism remain inactive
until they were sure all access information had been distributed. many
questions and so far no answers.

aside.....i still can t get over the fact that non union employees and managers
below grade 83 received....nothing. They took the same pay and
benefit cuts as the rest of us....reeks of class warfare or more divide
and concur tactics.

I smell a class action law suit in the offing.

regards

 

[PITbull]

I think the entire stock equity peice is unfair to the majority of the employees. To pay the tax liability through shares of stock, and for all VOLUNTARY furloughees to pay the tax liability for even those shares that are not vested yet, is the epitomy of blatant disregard and disprespect of the employees and their sacrifices. Proof positive in the stock allocation.

Management did not give us a choice on how to meet the tax liability. They decided for us. :angry:

 

[Smartest Loser]

Once again this MGT. has shown its ture colors.... It's never gonna be fair while Dave and his "TEAM" are on the property.

BTW: Purposed MDA aggrement with mechaincs reads like a bad divorce. In fact, I got better deal with my ex-wife...!!

IAM purposed day time hours...Company purposed night time hours. (day vs. night) get it..!!

IAM purposed 1 sick day a month..Company purposed no sick time hours. (never get sick)

IAM purposed bidding vacation..Company purposed only when we say you can have it...( Middle of Jan.)
:cold:

Whats it gonna take, how much more do they want....??? My first born child..??

I'm done.

 

[FlyingHippie]

Let's keep this in perspective and factual. The tax burden has NOTHING to do with US Airways. This is a federal government thing. Understand, when you were issued the stock the government looked at as income and as such expected their tax payments immediately. I am not sticking up for the company, however, they realized that many employees would endure hardship paying the tax, so they set up a deal to have the tax burden be relieved through sale of stock. Company made no money on this.

As for "pink slip" trades. Some people were able to sell their stock in the high teens only because they took the inniative to call E-Trade.

What I believe happened is the company just threw this at E-Trade to handle. E-Trade just sent out the account information at leisure. What the company should have done was to freeze any trading in these accounts until everyone had received their E-Trade information. That way, everyone would have an equal and equitable opportunity to trade their stock.

 

[PITbull]

Flyinhippie,

How U fulfilled MY tax liaability, "they set up a deal"? To help WHO out???? The tax fulfillment had everything to do with mangement's decision on my behalf!

WE KNOW WE HAVE A TAX LIABILITY.

Point is, we were NOT given a choice on how WE would individually pay that liability. For example, lump sum check, stock OR payroll deduct.

For F/as, the tax liability is approx $217. The deferral was more than that!

The pilots negotiated that they would take care of their how they fulful this obligation. It was NOT even presented to us or to any other labor group.

You are implying that managment was trying to help the employees out by taking it upon themselves to fullfill OUR obligation the way THEY saw fit.

I beg to differ with you on this issue. I am an adult an a "free thinking" person. I know what I can afford and what I can not. Most adults think like this. I don't need anyone to decide for me what I can afford and how to pay my tax responsibility, especially MY EMPLOYER.

ASK LABOR HOW THEY WANT THIS FULFILLED.

 

[FlyingHippie]

PITbull, okay, why didn't AFA deal with this? Just asking... As most of us know, we don't have a choice when it comes to paying taxes. I am not being contrite, just factual. Everyone knew this was coming.

 

[PITbull]

Again, everyone knew that there is a tax liability with the issuance of stock. There was no mention that U would "prempt" and fulfull my obiligation the way THEY saw fit. No sir, there was NO mention of that at any negotiations. Not one word. Not even from our specialists outside consultants that this was a "plan".

I resent this like there is NO TOMORROW.

 

[N628AU]

PitBull,

It seems all the unions except apparently ALPA (whose members can pay cash on the taxes), dropped the ball by not getting the tax compliance issues in writing. Has no one learned to get the stupid thing in writing from the company yet? They may still do what they want, or change the game midstream, but at least it becomes harder. I spoke with somone at the company and they said it was IRS Chapter 83 in regards to us furloughed ponies paying full tax vs. as when it is vested. Any CPA's out there that can shed some light?

As for E*Trade, I called them today and they were very helpful. I had my account set up in under five minutes. They said my packet was supposedly mailed on September 5, but I have yet to receive it. How these shares could be traded without everyone having an equal shot at the pie is at the very least, unethical. Anyone know the SEC rules on this.

 

[757fixer]

My packet arrived today.

 

[Tiger]

Say you have 150 shares.

Date Close $ Cash out (What you could make)
8/25/03 $32.00 $4,800.00
8/26/03 $27.00 $4,050.00
8/27/03 $27.00 $4,050.00
8/28/03 $27.00 $4,050.00
8/29/03 $25.00 $3,750.00
9/2/03 $19.00 $2,850.00
9/3/03 $19.00 $2,850.00
9/4/03 $19.25 $2,887.50
9/5/03 $17.00 $2,550.00
9/8/03 $9.40 $1,410.00
9/9/03 $8.50 $1,275.00

Today (Hi) $7.59 $1,138.50
9/15/03

However on the bright side, who ever expected this. Some of the MSP folks did not get any. We should be blessed for what we have. Too many friends and co-workers are out on the streets without the job.
I am willing donate my 10% or more to them. Thanksgiving and Christmas are just around the corner. How about you? ALPA, IAM, AFA and Others….
Have a nice day..

 

[N628AU]

Tiger,

I am one of those on the street, have been since November. While I have found other employment, I am still trying to catch up financially for my down time. As my new job is 100% commission, it has become both a blessing and a challenge. My 21 shares after the company took 77 for taxes would have been worth about $600 if I could have sold when they first traded. Now it is worth about $140. Maybe it will jump again, but I would have rather sold and taken the bird in hand instead of the two in the bush.