6.22.06 – (LAA) – Pension Reform, Flight 1740, Annual Seniority Adjustment, Wright Amendment

This is Leslie Mayo, National Communications Coordinator, with the APFA Hotline for Thursday, June 22, 2006.

In APFA News: We would like to commend the three Flight Attendants and two cockpit crewmembers of Flight 1740 for the professionalism they demonstrated this past Tuesday morning while preparing for the possibility of an evacuation upon landing in Chicago. After doing a fly-by just prior to landing, the cockpit confirmed that the nose gear on their MD-80 aircraft was inoperative. The aircraft touched down on its rear landing gear and the brakes were applied well before the nose ever touched the ground. The plane landed without a single injury and the passengers and crew exited via the aft stairs.
 
AA has completed the annual seniority adjustment. To view this document, go to www.apfa.org and click on Main Menu, then Seniority, then Occupational Seniority List. Decs is expected to be updated on July 10th to reflect the adjusted seniority numbers.

There is still time to contact your Representative and Senators in Washington, D.C., regarding the pension reform bill. Encourage Congress to support the Senate’s version of the bill, which includes protection for the future of our defined benefit plans. Please go to www.apfa.org and click on “Contact Congress Today re: Pension Reform” to automatically send your pre-written message via the Capwiz program to your elected officials.

The Wright Amendment issue looks as if it may be resolved with a compromise between the Dallas and Ft. Worth mayors. In short, the details that have been proposed pending both City Councils’ approval include lifting the Wright Amendment restrictions at Love Field in eight years and the limit of gates to 16 for Southwest and two each for AA and Continental. The deal must be passed by Congress by the end of this year or the entire agreement is void.

Bankruptcy Watch: Delta Airlines requested the termination of its pilots’ pension plan Monday with the PBGC. If successful, the PBGC will be responsible for paying the reduced benefits rather than the much larger amount bargained under the Agreement between Delta and the ALPA-represented pilots. The notice received by the PBGC listed 13,284 fully-vested pilots and beneficiaries currently receiving benefits from the airline. The request still must be approved by the Bankruptcy Court.

Delta also requested four more months to file its reorganization plan under the protection of bankruptcy. They were originally scheduled to file the plan on July 11th and had already received a six-month extension.

Delta’s subsidiary, Comair, is trying to emerge from bankruptcy but says it can’t do so until the Flight Attendants’ costs are greatly reduced. Talks have stalled and management has requested the bankruptcy court approve its request to abrogate their collectively-bargained agreement.

Fuel Watch: As of Tuesday, June 20th, a barrel of crude oil cost $68.56, up .38 cents from last Tuesday’s price. The crack spread price was $14.54, down $5.03 from last week’s price. This brings the cost of one barrel of jet fuel to $83.48 – down $4.15 from the price of jet fuel a week ago.

One year ago June, the price of a barrel of crude was $56.42, and the crack spread price was $13.06. The total for one barrel of jet fuel a year ago was $69.48, almost $15 less than the price of a barrel today.

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Please remember we have 3,922 APFA members on furlough and ten members serving the military full time. That’s it for this week. Thanks for calling the APFA Hotline.