1.02.04 – (LAA) – Option II Open at Most Bases, Restructuring Agreement, Ballots for APFA National Officer Elections Mailed, FMLA Applicaitons, Restructuring Agreement

Hello. This is George Price, APFA National Communications Coordinator, with the APFA Hotline for Friday, January 2, 2004.

The APFA officers, representatives, and staff would like to wish all APFA members a happy and safe new year.

From the APFA Scheduling Desk: Manning remains very tight throughout the system. Option II is open at most bases. Flight Attendants should review the language in Article 9.L and Article I.9.L of the contract regarding the order of open time.

As part of the Restructuring Agreement, Flight Attendants on active status or an approved leave as of April 17, 2003 are eligible to receive a designated number of AMR stock options. These options vest in one-third increments over a three-year period beginning on April 17, 2004. In order to avoid the 28% withholding tax, Flight Attendants should complete either the W-8BEN or W-9 form, whichever is applicable, prior to exercising their stock options. Stocks must be vested before they can be exercised. Contrary to rumor, there was no December 31, 2003 deadline for filing the W-8BEN or W-9 forms. Directions on how to complete the forms and detailed information regarding the stock options can be found on www.retireonline.com. Additional information on the Broad Based Stock Option Plan can be found on the APFA Web site. To obtain account information, transact your business 24 hours a day, seven days a week, or speak to an account representative call JPMorgan at 1-800-345-2345.

Ballots for the APFA National Officer elections were mailed on December 29, 2003. They are due back by 0900 Central Time on January 29, 2004. The APFA National Ballot Committee encourages all members to read the ballot instructions and follow the instructions carefully. In order to cast a valid ballot, Flight Attendants must be dues current no later than five days prior to the date ballots are due. In order to make payment arrangements for dues owed, please contact the APFA Dues Department at 1-800-395-2732, extension 8151. A letter to all candidates and their supporters has been posted on the opening page of the APFA Web site. All questions regarding the election should be directed to the APFA National Ballot Committee at APFA Headquarters, extension 8311.

The APFA Safety Department would like to remind all Flight Attendants that the National Threat Level remains at Orange or the High Level. For the very latest safety and security information, please visit the SSI Web site on the Flight Service Web site. APFA has posted a link to the Homeland Security Administration and the latest national security news on the opening page of the web site.

From the Health Desk: When your medical provider faxes FMLA applications to AA Headquarters Medical, have a copy of the fax and verification that the fax was received including the number of pages placed in your medical file at your doctor’s office. This is the only way that we can trace faxes that are not received or recorded by AA Medical. The fax line at AA Medical FMLA office is 817-931-7584 and remains on 24/7. This dedicated fax machine receives approximately 150-200 FML request faxes per business day. A confirmation of successful fax transmission completion will help the APFA Contract and Health departments as well as your base representatives assist you and prevent needless delays.

From the Contract Desk: Per Attachment A of the Restructuring Agreement, all Flight Attendants will receive a 1.5% pay increase on May 1, 2004. This is over and above any length of service increases. All Flight Attendants will receive this same 1.5% pay increase on May 1, 2005, 2006, 2007, and 2008.

In Industry News:

Continental Airlines this week was named one of the “100 Best Companies to Work For” by FORTUNE magazine. In the study conducted in conjunction with Great Place to Work Institute of San Francisco, Continental ranked number 62. It was the only airline to make the list.

On Monday, the United States ordered foreign carriers to place armed marshals on selected flights in and out of the U.S. This new measure has drawn mixed reaction from various airline officials and crews.

America West has announced it would hire more than 1,000 new employees in 2004. The new employees will be needed to support the airlines planned 10% growth planned during the new year. Pilots at America West this week ratified a new 3-year agreement, which included pay raises and higher productivity.

US Airways has converted hundreds of Flight Attendants on voluntary furlough to an involuntary furlough status. The airline said that this action was taken to make jobs available for other Flight Attendants.

For more aviation industry news, please visit the News and Events page of the APFA Web site.

That’s it for this edition of the APFA Hotline. Visit the web site for the latest information, rumor control, and past editions of the hotline.

There are 5,760 American Airlines Flight Attendants currently on furlough.

Again, Happy New Year!