The Pension Benefit Guaranty Corp. said it has placed liens on some of American Airlines’ assets in Texas and overseas since the carrier did not make its full $100 million pension payment due in January. The agency said it filed over 70 liens, totalling $91.7 million, on behalf of the four pension plans that American…
Category: Pension
Letter from Garry Drummond, 1-20-2012 – RE: TWU Retirees
RE: TWU Retirees Various outside groups have publicly voiced an interest in setting up committees to represent all retirees from American Airlines. To clear up any confusion these statements might cause our members, I would like to remind you of discussions held regarding our TWU retirees at the December 8, 2011 meeting. Our advisor, Sharon…
AMR – Pleading Update 1/13/2012 – Bankruptcy
Rule 2004 Motion of the Pension Benefit Guaranty Corporation The Pension Benefit Guaranty Corporation (“PBGC”) filed a motion for an order under Bankruptcy Rule 2004 directing AMR Corporation and its affiliates (“AMR”) to produce documents and authorizing the issuance of subpoenas for testimony relating to four single-employer defined-benefit plans (the “Pension Plans”) maintained by AMR…
AA Pension & Retiree Medical Benefit Seminar-Presentation
Please see the linked AA Pension & Retiree Medical Benefit Seminar Presentation -PDF This is not endorsed by the PBGC, but it was vetted through their legal department with the intent that it helps both them and the AA-TWU employees. Employees can always go to the pbgc website to drill down deeper into the issues.
PBGC Director Josh Gotbaum Responds to Comments Made by American Airlines’ Counsel Harvey Miller
When American Airlines filed for bankruptcy they took great pains to say to their customers that nothing will change, that they will still have their frequent flyer miles and service will continue. But they didn’t make the same promises to their employees about the future of their pensions. Recent comments by the company’s bankruptcy counsel,…
Bankruptcy and PBCG, Payments and Retiree’s
Q. If a plan is nearly fully funded, does the law allow PBGC to treat the plan differently as to payouts or is the non distressed status irrelevant? A. The PBGC treats all terminated plans the same, regardless of the level of the funding before termination. Q. If I am already retired can the bankruptcy…
Bankruptcy Q&A: Pension Information
The Pension Benefit Guarantee Corp. (PBGC) website is the best source for answers on retirement. You may want to look at that sites Q and A section. As of right now American has made no changes to the retirement plan in the TWU/AA agreement. It is expected that while in bankruptcy they will seek relief from the…
Understanding the American Airlines Pension Plan on Jetnet
Just a few clicks to your pension estimate page on Jetnet: 1. Log into Jetnet 2. Click on “Benefits” directly below the Jetnet logo on the masthead 3. Click “Benefit Service Center” at the top of the blue navigation pane on the left side 4. Click on ” My Pension” on the masthead 5. Select“EstimateYourPension”…
How The Bankruptcy Date Rule Can Affect Your Benefits
There are many ways the bankruptcy date rule can affect your benefits. As an example, assume an employee of Company X has 20 years of service as of July 1, 2009, when Company X files for bankruptcy. July 1, 2009, is the bankruptcy filing date. Let’s also say the plan ends July 1, 2011, at…
Statement from PBGC Director Josh Gotbaum on AMR Corp. Bankruptcy
WASHINGTON—Pension Benefit Guaranty Corporation Director Josh Gotbaum released the following statement today on the Bankruptcy Filing of AMR Corp.: “Today American Airlines’ parent company filed for bankruptcy. When this happens employees and retirees worry — and they should. In past bankruptcies, workers and retirees have lost their healthcare and seen their pensions cut. Based on…