Just a short note to let you know of any Bankruptcy news…which we are sorry to report is zilch. As far we can tell, the 1114 Retiree Committee has not held any meetings for a while. We assume they are awaiting the next ruling from the bankruptcy judge, Judge Lane. The next scheduled 1113 hearing is in August.
In the meantime, AMRRC Chairman Paul Mazzara has written the 1114 committee counsel asking questions about what might happen following the AMR bankruptcy exit. Paul has asked her the question that many retirees have has AMRRC to answer….If the matter of Retiree Medical Benefits is not settled in the Bankruptcy Courts, can the company defund the plans once AMR emerges from bankruptcy? If we receive an answer from the 1114 counsel we will inform you.
It is a known fact that eliminating employee and retiree benefits, especially health care plans are a target during baruptcy. In the previous USAir last bankruptcy, retiree medical insurance was eliminated. During the course of their bk a VEBA (Voluntary Employee Benefits Account) was offered to their retirees.
AMRRC is presently researching VEBA plans to better inform you about them. This may become a subject that retirees need to better understand as our former employer finalizes and emerges from bankruptcy.
If you have further questions see: www.rbassociation.com