A320 EOW
Aug 16, 02, 12:11 pm
http://biz.yahoo.com/djus/020816/200208161300000396_1.html
This is a lot easier to follow than their 10-Q and 8-K. http://www.flyertalk.com/forum/smile.gif
Friday August 16, 1:00 pm Eastern Time
Dow Jones Business News
US Airways Expects $24 Million More to Compensate for Sept. 11 Losses
WASHINGTON -- US Airways Group Inc. (NYSE:U - News) , which filed for bankruptcy-court protection last weekend, expects to receive an additional $24 million from the federal government this year under the law that compensates carriers for Sept. 11 losses, according to a filing with the Securities and Exchange Commission.
In the filing, which also detailed the status of labor agreements and lawsuits, the airline operator said it has already received $296 million from the government under the Air Transportation Safety and System Stabilization Act. The law provides a total of $5 billion in payments to compensate U.S. air carriers for losses incurred as a result of last September's terrorist attacks.
US Airways has received conditional approval for a $900 million loan guarantee under the law from the Air Transportation Stabilization Board in connection with a proposed $1 billion loan financing. The board issued a statement after Sunday's Chapter 11 filing indicating that its conditional approval of the loan guarantee remains in effect, according to Friday's filing.
The company said in the SEC filing that the agreements it has reached with some of its employees provide them with shares and potentially give their unions control over two of board seats.
US Airways Inc., the company's main operating subsidiary, has ratified an agreement for concessions with about 4,400 pilots represented by the Air Line Pilots Association. The projected annual savings from the agreement are $465 million over 6 1/2 years.
The agreement rolls back wages to those in effect before the 16% and 17% wage rate increases that pilots received in May 2001 and 2002. The union will be entitled to elect a member of US Airways Group's board and the union membership will get 17.5 million shares of restricted stock. The membership could also exchange 11.5 million previously awarded options to purchase common stock for restricted shares.
An agreement that US Airways ratified with about 7,700 flight attendants represented by the Association of Flight Attendants is expected to provide annual savings of $76 million over 6 1/2 years. US Airways also has tentative agreements for concessions with about 320 flight-crew training instructors, simulator engineers and flight dispatchers represented by the Transport Workers Union of America.
Under these agreements, the Association of Flight Attendants and the Transport Workers Union can nominate a member of US Airway's board, and a new board seat has been created for this, according to Friday's filing. Employees covered under the agreements will participate in a profit-sharing plan or receive equity securities in the company when it emerges from Chapter 11.
The International Association of Machinist and Aerospace Workers, which represents US Airways Inc.'s mechanics and fleet-service employees, is submitting US Airways' proposal for concessions to its membership for ratification. The proposal includes a seat on US Airways' board and participation in profit sharing or the receipt of equity securities in US Airways after Chapter 11.
US Airways Inc. hasn't reached an agreement with the Communications Workers of America, which represents its passenger service employees.
In addition, PSA Airlines Inc. and Piedmont Airlines Inc., which are subsidiaries of US Airways, have reached tentative agreements for concessions and for regional-jets rates of pay with the labor unions representing their pilots and flight attendants. PSA's pilots ratified the tentative agreement Wednesday.
Also in Friday's filing, US Airways said a court in May certified plaintiff classes in lawsuits that seek $390 million in damages against the company and other airline operators.
US Airways and US Airways Inc., along with other airline operators, are defendants in two lawsuits filed in U.S. District Court for the Eastern District of Michigan. The suits were filed on behalf of a class of airline passengers who originated or ended their trips at the defendant carriers' hubs and allege they paid excessive fares due to ticketing rules.
The plaintiffs allege monopolization and restraint of trade in violation of federal antitrust laws. They seek recovery of trebled damages in the amount of $ 390 million and an injunction prohibiting future enforcement of the rules.
US Airways said it believes the claims are without merit, and it intends to pursue a vigorous defense.
On May 16, the court denied the defendants' motion for summary judgment and granted the plaintiff's motion for class certification in each of the cases. US Airways on May 31 filed a petition with the Sixth U.S. Circuit Court of Appeals seeking a discretionary review of the certification order.
In addition to these lawsuits, US Airways said a declaratory judgment is being sought against it and other airlines in Quebec Superior Court. The judgment would require the company and the named airlines to pay commissions to travel agents under International Air Transport Association rules. The amount of commissions sought has not been specified.
As of Aug. 13, more than 30 plaintiffs filed affidavits indicating their participation in the lawsuit. A hearing has been scheduled for Aug. 29 to discuss the scheduling of preliminary motions and depositions.
US Airways said it intends to pursue a vigorous defense.
This is a lot easier to follow than their 10-Q and 8-K. http://www.flyertalk.com/forum/smile.gif
Friday August 16, 1:00 pm Eastern Time
Dow Jones Business News
US Airways Expects $24 Million More to Compensate for Sept. 11 Losses
WASHINGTON -- US Airways Group Inc. (NYSE:U - News) , which filed for bankruptcy-court protection last weekend, expects to receive an additional $24 million from the federal government this year under the law that compensates carriers for Sept. 11 losses, according to a filing with the Securities and Exchange Commission.
In the filing, which also detailed the status of labor agreements and lawsuits, the airline operator said it has already received $296 million from the government under the Air Transportation Safety and System Stabilization Act. The law provides a total of $5 billion in payments to compensate U.S. air carriers for losses incurred as a result of last September's terrorist attacks.
US Airways has received conditional approval for a $900 million loan guarantee under the law from the Air Transportation Stabilization Board in connection with a proposed $1 billion loan financing. The board issued a statement after Sunday's Chapter 11 filing indicating that its conditional approval of the loan guarantee remains in effect, according to Friday's filing.
The company said in the SEC filing that the agreements it has reached with some of its employees provide them with shares and potentially give their unions control over two of board seats.
US Airways Inc., the company's main operating subsidiary, has ratified an agreement for concessions with about 4,400 pilots represented by the Air Line Pilots Association. The projected annual savings from the agreement are $465 million over 6 1/2 years.
The agreement rolls back wages to those in effect before the 16% and 17% wage rate increases that pilots received in May 2001 and 2002. The union will be entitled to elect a member of US Airways Group's board and the union membership will get 17.5 million shares of restricted stock. The membership could also exchange 11.5 million previously awarded options to purchase common stock for restricted shares.
An agreement that US Airways ratified with about 7,700 flight attendants represented by the Association of Flight Attendants is expected to provide annual savings of $76 million over 6 1/2 years. US Airways also has tentative agreements for concessions with about 320 flight-crew training instructors, simulator engineers and flight dispatchers represented by the Transport Workers Union of America.
Under these agreements, the Association of Flight Attendants and the Transport Workers Union can nominate a member of US Airway's board, and a new board seat has been created for this, according to Friday's filing. Employees covered under the agreements will participate in a profit-sharing plan or receive equity securities in the company when it emerges from Chapter 11.
The International Association of Machinist and Aerospace Workers, which represents US Airways Inc.'s mechanics and fleet-service employees, is submitting US Airways' proposal for concessions to its membership for ratification. The proposal includes a seat on US Airways' board and participation in profit sharing or the receipt of equity securities in US Airways after Chapter 11.
US Airways Inc. hasn't reached an agreement with the Communications Workers of America, which represents its passenger service employees.
In addition, PSA Airlines Inc. and Piedmont Airlines Inc., which are subsidiaries of US Airways, have reached tentative agreements for concessions and for regional-jets rates of pay with the labor unions representing their pilots and flight attendants. PSA's pilots ratified the tentative agreement Wednesday.
Also in Friday's filing, US Airways said a court in May certified plaintiff classes in lawsuits that seek $390 million in damages against the company and other airline operators.
US Airways and US Airways Inc., along with other airline operators, are defendants in two lawsuits filed in U.S. District Court for the Eastern District of Michigan. The suits were filed on behalf of a class of airline passengers who originated or ended their trips at the defendant carriers' hubs and allege they paid excessive fares due to ticketing rules.
The plaintiffs allege monopolization and restraint of trade in violation of federal antitrust laws. They seek recovery of trebled damages in the amount of $ 390 million and an injunction prohibiting future enforcement of the rules.
US Airways said it believes the claims are without merit, and it intends to pursue a vigorous defense.
On May 16, the court denied the defendants' motion for summary judgment and granted the plaintiff's motion for class certification in each of the cases. US Airways on May 31 filed a petition with the Sixth U.S. Circuit Court of Appeals seeking a discretionary review of the certification order.
In addition to these lawsuits, US Airways said a declaratory judgment is being sought against it and other airlines in Quebec Superior Court. The judgment would require the company and the named airlines to pay commissions to travel agents under International Air Transport Association rules. The amount of commissions sought has not been specified.
As of Aug. 13, more than 30 plaintiffs filed affidavits indicating their participation in the lawsuit. A hearing has been scheduled for Aug. 29 to discuss the scheduling of preliminary motions and depositions.
US Airways said it intends to pursue a vigorous defense.