8.11.12 – (LAA) – Merger Update from APFA National President

A Message From APFA President Laura Glading – 8.11.12 

As you know, on Wednesday, August 8th, the two remaining TWU workgroups ratified Tentative Agreements with the Company. APA, on the other hand, rejected their TA, opting instead to take their chances with Judge Lane. These developments do not alter APFA’s strategy towards achieving a merger with USAirways.

Thursday, Judge Lane met with union and company counsel in chambers where he said he will render his decision on the company’s motion to abrogate APA’s contract August 15th. The judge has agreed to postpone APFA’s decision until the week of August 20th. With their ‘No’ vote, the pilots have chosen to bear the risk of the judge’s decision and, due to advantageous timing, we will have the benefit of seeing what happens in the days that follow the Court’s ruling on their contract this coming week. Although his decision will only affect the pilots’ contract, the Court’s announcement will address each point the labor
groups raised in Section 1113 arguments. This will indicate what we face in the event APFA votes to reject the LBFO.

Friday, we secured what is known as a “Me, Too” clause in the Company’s Last, Best, and Final Offer. This new language stipulates that in the unlikely event that the Company agrees to reduce the concessions it is demanding from the pilots, the LBFO will gain the same benefit. It must be stressed, however, that the Company has indicated very publicly that they are not willing to give any more ground in any negotiations that will follow the Court’s ruling and that it intends to impose the Term Sheets on workgroups that do not reach agreements prior to the ruling. Our team believes that deeper cuts for the pilots’ contract are more likely than a better deal.

Your leadership is committed to seeing the American Airlines flight attendants emerge from this most difficult time with the least amount of damage possible. I remain as positive as ever that we will see a
merger inside of bankruptcy and that this step will steer us toward the path of recovery we so deserve.

In Unity,

Laura Glading
APFA President
817.540.0108 x8101
[email protected]