US Airways in Talks on Airbus A330 Aircraft Payments

Lou

Member
Aug 20, 2002
33
0
Press Release Source: US Airways, Inc.
US Airways in Talks on Airbus A330 Aircraft Payments
Thursday February 20, 8:38 pm ET
ARLINGTON, Va., Feb. 20 /PRNewswire-FirstCall/ -- US Airways, Inc. reported that it did not make certain payments due today on public debt instruments related to five Airbus A330 aircraft totaling $19.7 million. US Airways is currently in discussions with certain interested parties regarding these payments. The company anticipates reaching agreement on these payments during the 10 business-day cure period allowed for these payments.
The company also is in discussions with the provider of its Debtor-In-Possession (DIP) financing, the Retirement Systems of Alabama (RSA), regarding satisfaction of the conditions to draw the final $200 million of available financing. Specifically, the parties are discussing the final condition which requires that the company demonstrate to the reasonable satisfaction of RSA that it is likely to satisfy all of the conditions for the issuance of the Air Transportation Stabilization Board''s (ATSB) $1 billion loan guarantee.
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Source: US Airways, Inc.
 
C

chipmunn

Guest
Just one more thing...what useful purpose does it serve for US Airways to release this press release? Moreover, the press release is not required.

Chip
 
C

chipmunn

Guest
Despite snow, US Airways bankruptcy plan still on track

The carrier canceled 42% of flights from Saturday to Monday as the storm hit hard at its three hubs, including Philadelphia.

PHILADELPHIA (The Inquirer) - Winter storms are expensive for airlines, but the most recent one is unlikely to derail US Airways' plans to come out of Chapter 11 bankruptcy-court protection in another six weeks, airline officials and industry consultants said yesterday.

Complete Story: http://www.philly.com/mld/philly/business/5210655.htm

Chip asks: US Airways' press release regarding A330 payments and RSA DIP financing, released immediately before the February 21 Omnibus hearing, couldn't have been timed to influence pilot thinking prior to ALPA attorney's objecting to Siegel's plan to "distress terminate" the pilot pension, could it?

Chip
 
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chipmunn

Guest
Clue:

The ALPA DB retirement plan has not been terminated by the PBGC or IRS. The plan remains in effect, for now, and cannot be terminated until March 31.

In addition, the company has not provided ALPA with a replacement retirement plan, regardless of what is written in the press.

ALPA's objection to the company's motion to terminate the DB retirement plan is compelling. In addition, an ALPA exhibit on how "US Airways Transfered Pilot Pension Funding to Cover Other Pensions' Cost Increases" can both be viewed at:

http://www.usairwayspilots.org/

According to the MEC January 29 code-a-phone, US Airways President and CEO David Siegel issued a letter to all pilots dated January 28.

After reviewing Mr. Siegel’s letter and attached questions and answers on the pension issue your MEC representatives were amazed, to say the least, at the inaccurate and misleading statements made by Mr. Siegel to our pilots. The letter, combined with Mr, Siegel’s corporate announcements and personal emails to pilots, are desperately misrepresenting the MEC’s December 13 position on this issue and the retirement benefits being offered by the Company. We will be providing additional information on these issues shortly.

Mr. Siegel is also misleading employees in his letter by saying that ALPA took the position that the Company should "go after the pensions of others." In fact, however, it was and remains ALPA’s position that our pilots "should not be paying for" the full benefits of the other employee pensions, including managements, through our concessions, through our pension funding cuts, and through the sacrifice of our benefits. In addition, we are still waiting for management’s compensation package to be revealed in bankruptcy court in mid-February so that we can assess how much of our pension funding costs are being directly diverted to management’s personal compensation.

You should note Mr. Seigel is no longer saying in his January 28 letter that he is going to try to make pilots "whole" as he testified at the senate hearing only two weeks ago. Now it is about what the Company says is can afford to pay us in retirement benefits, the code-a-phone reported.

Chip
 

ClueByFour

Veteran
Aug 20, 2002
3,566
37
www.usaviation.com
[blockquote]
----------------
On 2/20/2003 10:08:25 PM chipmunn wrote:

Just one more thing...what useful purpose does it serve for US Airways to release this press release? Moreover, the press release is not required.

Chip
----------------
[/blockquote]

Their propoganda officer is better than your MECs propoganda officer. Ergo:

"Under the company's proposed new defined contribution pension plan for pilots, US Airways would contribute $850 million over a seven-year period."

Where the MEC comes across as whining about other group's pensions (arrogant is all heck), U comes out and points out a rather large chunk of change going to this same group.

It's not a realistic figure, but joe-sixpack reading this sees 850 million.

Get a new PR strategy at the MEC. It would really help.
 

dfw79

Senior
Aug 20, 2002
308
0
Just imagine if the UA/US merger went though...all these U pilots huffing about their pension would have been stapled and stuck flying 737s. Then again...I guess they would have been all out on the street right now. Back to reality...the same bickering will continue to go on as both parties pound their chest and try to claim top dog. Of course this happens when you target the highest paid group in the company - yet you never seem to find a pilot on the ramp helping with bags or helping the F/As clean.

Ah well...if the issue isn't resolved, the pilots will tank the company - after pressing all the other unions to do everything possible to save the company. After all...they have other job openings - you just have to either move out of the country or enlist in the military...sounds pretty reasonable doesn't it?
 

autofixer

Veteran
Aug 20, 2002
1,804
241
www.usaviation.com
dfw79, Totally unfair! I, as a pilot with Piedmont (the old one), used to help Flight Attendants clean planes all of the time--time permitting. I could not throw bags because PI had quick turns(20 minute turns were common--just like Southwest today). Did you sir ever help me do my preflight or walk around? Hypocrite!

Then the merger came and with it the northeast work ethic. After the merger I was told countless times that if I helped clean or carry a passengers bag down the jetway, a grievence would be filed against me. You are totally wrong and you are trying to insight anti-pilot rhetoric. You should be ashamed !
 

dfw79

Senior
Aug 20, 2002
308
0
Autofixer...I think you would probably find in the outstations many ramp rats that wouldn't have a problem with you hopping down and help 'em throw a few. Now in the hubs...you would probably have a couple people scowl at you if you touched a bag. This is just part of the culture that needs to change. If my comments are unfair towards you, I do apologize - there have just been coutless encounters and stories about pilots looking down on the others who help keep their planes moving.
 
OP
L

Lou

Member
Aug 20, 2002
33
0
I just can't quit smirking every time I read one of Chip's posts. This guy used to be the biggest Company Man Cheerleader on this forum, now he is the biggest anti-company rable-rouser!

I got nothing against you man, but you sure have changed your tune. In all seriousness though, if we are having trouble making airplane payments odds are strong that we are in pretty bad shape.

PS: I am also a pilot (ATP MEL, CSEL, CFII) and am quite up on current pilot hiring (Airline pilot career mag, climbto350.com, aviationinterviews.com, etc.) and can personally attest that Chip is delusional about his rosy pilot hiring forecast. Just ask the former TWA 767 Captain stocking paint at our local Home Depot..
 

Andy S.

Member
Dec 21, 2002
26
0
[blockquote]
----------------
On 2/21/2003 1:27:27 PM Lou wrote:

PS: I am also a pilot (ATP MEL, CSEL, CFII) and am quite up on current pilot hiring (Airline pilot career mag, climbto350.com, aviationinterviews.com, etc.) and can personally attest that Chip is delusional about his rosy pilot hiring forecast. Just ask the former TWA 767 Captain stocking paint at our local Home Depot..
----------------
[/blockquote]

If he is stocking paint, then it is by his own choice. Every TWA Captain that went to AA as part of the acquistion is still working. About 700 of the former TWA FO's are on furlough.

Andy S.
 

oldiebutgoody

Veteran
Aug 23, 2002
2,627
945
www.usaviation.com
[blockquote]
----------------
On 2/21/2003 1:36:42 PM Andy S. wrote:

[blockquote]
----------------
On 2/21/2003 1:27:27 PM Lou wrote:

PS: I am also a pilot (ATP MEL, CSEL, CFII) and am quite up on current pilot hiring (Airline pilot career mag, climbto350.com, aviationinterviews.com, etc.) and can personally attest that Chip is delusional about his rosy pilot hiring forecast. Just ask the former TWA 767 Captain stocking paint at our local Home Depot..
----------------
[/blockquote]

If he is stocking paint, then it is by his own choice. Every TWA Captain that went to AA as part of the acquistion is still working. About 700 of the former TWA FO's are on furlough.

Andy S.

----------------
[/blockquote]
I hate it when the truth interferes with a good story!
 

Hula Girl

Advanced
Aug 20, 2002
197
6
www.usaviation.com
Well said autofixer!! My boyfriend is from the Piedmont days and he also helped load bags and clean the airplane without the work ethic that allows for money to be paid if someone other than a cleaner folds a blanket. And he did it happily because Piedmont was like a family where people actually LOVED their jobs and the company they worked for and the people they worked with. He is still a pilot here but longs for those days. He said it sad here now, so much has changed. But he goes to work telling me he will always give 100% to the people who sign his check-nothing less-EVER. By the way, if anyone was shorthanded he would still help you out-and yes he would service a lav if necessary. He considers all work honorable and would be glad to help out to keep the passengers coming to us.
 

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