Fri, May 26, 2006
Another Challenge For Pay Deal
The US Pension Benefit
Guaranty Corp. -- which insures defined-benefit plans when
employers can no longer meet their financial obligations --
objected Thursday to the tentative pay agreement reached between
the Air Line Pilots Association (ALPA) and Delta Air Lines last
Bloomberg reports the tentative agreement would give pilots $650
million in notes or cash, in exchange for not opposing the
cancellation of their pensions.
"The agreement... appears to pose a substantial abuse of the
federal pension plan termination insurance program," the agency
said in a filing Wednesday. "It dictates the terms of a plan of
reorganization, without the protections afforded to creditors in
the confirmation process."
That plan, the agency contends, amounts to an "end run" around
bankruptcy law provisions that give creditors -- which in this
case, includes the Pension Benefit Guaranty Corp. -- time to review
third-party pay agreements contained in such deals.
If that argument sounds familiar, it should -- earlier this
week, the group representing Delta's retired pilots filed a similar
motion with the bankruptcy court. The judge is expected to hear the Delta Pilots' Pension Preservation
Organization's argument on May 31 -- the same day
Delta's current pilots are expected to wrap up voting on their new
Delta's 6,000 pilots are now voting on the tentative 3 1/2-year
agreement, that if approved would cut pilot pay and benefits by
about $280 million annually. The new contract would also provide
pilots with a $2.1-billion bankruptcy claim.
Says 'It's Just Common Sense ... To Stay Off The Phone’ Transportation and Infrastructure Chairman Bill Shuster (R-PA) introduced a bill Monday prohibiting in-flight cell pho>[...]
An Amazing Melding Of Motion, Visual And Aerodynamic Response In An Affordable Training Device While at the Redbird Migration 2013 meeting, ANN CEO and Editor-In-Chief, Jim Campbel>[...]
AD NUMBER: 2013-24-03 PRODUCT: Certain Beechcraft Corporation (type certificate previously held by Hawker Beechcraft Corporation) Models 1900, 1900C, and 1900D airplanes.>[...]
AD NUMBER: 99-01-05 R1 PRODUCT: Certain aircraft equipped with wing lift struts>[...]
The National Heritage Warbird Foundation The National Heritage Warbird Foundation is a great source of pride for our family and we hope that you find it informative and enlightenin>[...]