What’s Next?

AS TO THOSE UNITS THAT VOTED YES TO ACCEPT THE LAST OFFER:
Q. When does the offer actually go into effect?

A. First, the court has to ultimately approve the five agreements. This is certainly expected to happen, but there is no time set for this to occur. Second, TWU and AA have an understanding that the new agreements, even after court approval, will not go into effect until all the other union labor groups, (including M&R and Stores,) have resolved their 1113 bankruptcy asks. The groups that voted yes will not have to experience the concessions until all contract groups have completed their 1113 process, either by ratifying a deal or by having their contract rejected. All groups will be treated equally as to the start time of any concessions.

Q. What happens if another group gets a better overall ask than the one to which our bargaining unit agreed?

A. Through the “me-too” clause contained in the ratified contracts as well as pursuant to the understanding we have with AA, each group who voted yes will receive the same percentage reduction in their total give back amount as does any other bargaining group. However, AA maintains that all groups must still meet their full ask amounts.

Q. While we await the outcome of the 1113 process for the remaining bargaining units, what working conditions and terms do we work under?

A. We will still operate under the current existing TWU contract that we have been working under for years. There is no change in the status quo.

Q. When will the 1113 process be completed?

A. While the court has announced it will issue a ruling in early June, there is no way to actually know when the judge will issue a final order with regard to AA’s 1113 motion to reject and cancel the contracts as to the other contract groups.

Q. Does our yes vote affect the pursuit of a possible US Airways merger by TWU and the other unions?

A. No, we remain very supportive of this possible merger.

Q. Will our TWU lawyers still present a case in bankruptcy court regarding the five units that voted yes?

A. No. By ratifying the last ask, each of those units ended the risk of the judge canceling their contract. New successor agreements have been tentatively reached awaiting court approval.

FOR THE TWO GROUPS THAT VOTED NO AND REJECTED THE LAST OFFER:

Q. Are the TWU lawyers still presenting the union case contesting AA’s 1113 motion to reject the M&R and Stores collective bargaining agreements?

A. Yes.

Q. When will the judge issue his final ruling on AA’s 1113 motion to reject our two contracts?

A. While the court indicated that its ruling is due in early June, there is no way to know exactly when the decision will issue.

Q. Will there be additional 1113 negotiations between TWU and AA before the judge rules on the motion seeking to reject our two contracts?

A. The judge has consistently encouraged all parties to negotiate and reach a consensual deal. He has even offered to have another judge informally assist the lawyers in the talks. The pilots and flight attendants have been in talks over the last week and are in front of us at this time. We anticipate that there will be more court settlement talks.

Q. If no settlement agreement is reached, what happens next?

A. We await the judge’s final ruling on the 1113 motion to reject the two CBA’s.

Q. If the judge does in fact reject our contracts, what terms will we then work under?

A. The terms of the AA March 22 1113 term sheet filed in court. (That term sheet does not include raises, the 401k match, profit sharing and other items including the return of pre-funding company contributions, if such is approved by the court).

Q. While the 1113 process keeps unfolding, are we still pursing the possible US Airways merger?

A. Yes, we are operating on multiple tracks and are very supportive of that possible merger.