TWU Local 529  
Transport Workers Union - Local 529
3456 McKelvey Road | Bridgeton, MO 63044 | phone 314-291-5290 | fax 314-291-8877
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 Bankruptcy

            TRANSPORT WORKERS UNION             

                      LOCAL 529

               3456 MCKELVEY ROAD

               BRIDGETON, MO. 63044

 

OFFICIAL BULLETIN

DECEMBER 9, 2011

 

 

TWU-AA INFORMATION WEBSITE

 

LAST MONTH AMERICAN AIRLINES FILED FOR

CHAPTER 11  BANKRUPTCY PROTECTION.

 

THE TRANSPORT WORKERS UNION INTERNATIONAL

HAS STARTED PUBLISHING INFORMATION VIA THE

WORLD WIDE WEB    (WWW)

 

ANY MEMBER DESIRING UP TO THE MINUTE UPDATES CAN

PROVIDE THE WEBSITE WITH THEIR CURRENT EMAIL ADDRESS

 

ANY MEMBER DESIRING INFORMATION ON THE CURRENT EVENTS OF THE BANKRUPTCY CAN ACCESS THE WEBSITE.

 

aa.twu.org

 

 

 

Gerry Sundling

Financial Secretary Treasurer


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 Retirement Help:

Need help understanding your retirement benefits? Call Bill Cassidy R.N. 314 581 2908 for a personalized session. Spouses are welcome.


 
AA News:

American Could Grow in Miami After Bankruptcy
Posted On: Jan 25, 2012
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American Airlines makes so much money in Miami that the carrier’s Latin American hub could actually benefit from the company’s bankruptcy, a top union official said Wednesday.

Scott Shankland, an American pilot in Texas and treasurer for the Allied Pilots Association, said Miami International Airport will probably grow more important to American as the Fort Worth-based company cuts its way out of bankruptcy.

With American’s lucrative Latin American routes the envy of the airline industry, MIA’s dominant role in that region should keep American investing in Miami even as it pulls back from other airports, Shankland said.

“American Airlines has been struggling to dig itself out of a ditch management put them in. But not in Miami,’’ Shankland told a luncheon audience of the Downtown Bay Forum. American’s bankruptcy “will affect Miami a lot. But I think its going to affect Miami in a very positive way.”

His comments reflected what analysts said after American and its parent company, AMR Corp., filed for Chapter 11 bankruptcy protection on Nov. 29. With Latin American routes both more profitable than domestic flights and poised for more growth, American would do whatever it could to keep growing at MIA. South Florida’s largest airport is responsible for about two-thirds of American’s flights to the Caribbean, Latin America and Mexico, according to MIA figures.

Anne Lee, MIA’s finance chief, said the airport is owed about $15 million in back rent and landing fees from American, equivalent to about one month’s worth of revenue from the carrier. The fee was due shortly after the bankruptcy filing, and was frozen by the proceedings.

Otherwise, American continues paying on time “exactly what they were paying before” under the supervision of a New York bankruptcy court. Miami-Dade is among AMR’s top 50 creditors, mainly thanks to the $25 million the company owes for its new North Terminal by 2014. Lee said the airline has promised to pay the debt in full, but that MIA can collect money through monthly billings under a provision in American’s deal with Miami-Dade.

“Essentially, if we don’t get it one way, we’ll get it another,’’ Lee told the luncheon audience for the Forum’s talk on the local impact of American’s bankruptcy.

Shankland’s optimistic take on American’s prospects in Miami stood out given his position in labor’s battle with management over how American should right its finances and survive. Competitors are circling in hopes of buying up AMR on the cheap, with Delta and United on the list of potential suitors, possibly with support from British Airways. AMR this week held back $93 million of a $99 million pension contribution due in January, but top executives assured workers their future benefits are safe.

Shankland told the crowd at the Temple Israel’s Wolfson Auditorium that if American focused too heavily on labor costs in the reorganization, “the future of this airline doesn’t look very bright.”

Sidney Jimenez, president of the union representing American baggage handlers in South Florida, said the bankruptcy could still mean pay cuts and lost pensions for American’s 9,000 workers in Miami-Dade, where it is the fourth-largest private employer.

Jimenez accused American of wringing concessions from workers in past fiscal crises, while management continued to prosper. Tom Horton, promoted from CFO to CEO after the bankruptcy filing, made $3.6 million in salary and stock in 2010 and has collected about $20 million from American since 2005, according to regulatory filings.

“Every time the employees of the airline stepped up to the plate,’’ Jimenez said, “we kind of got our toes stomped on.”


American Could Grow in Miami After Bankruptcy
Posted On: Jan 25, 2012

 

 



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 AA News: 

By Terry Maxon/Dallas New--

It looks like the fight over the plans of AMR, American Airlines and American Eagle to hire some of their consultants will be deferred to Feb. 29.

The companies had originally planned to seek approval at Friday's omnibus hearing in New York federal bankruptcy court. However, an agenda for the meeting filed Wednesday indicates that many of the applications will move to a Feb. 29 hearing.

AMR and American had sought approval for more than a dozen law firms, consultants and advisors, while American Eagle wants to hire Bain & Co. as "strategic consultants."

The applications to be deferred to the Feb. 29 hearing include:

• Rothschild Inc., as financial advisor and investment banker

• Bain & Co. Inc., as strategic consultants

• Skyworks Capital LLC, , as aircraft restructuring advisor

• Perella Weinberg Partners LP, as financial advisor

• McKinsey Recovery & Transformation Services U.S., LLC, McKinsey & Co. Inc. United States, and McKinsey & Co. Inc. Japan, as management consultants

• Groom Law Group, Chartered, as special employee benefits counsel

• Debevoise & Plimpton LLP, as special aircraft counsel

• Paul Hastings LLP, as special labor counsel

KPMG LLP, as tax compliance and tax consultants

• Morgan Lewis & Bockius LLP, as special counsel

Deloitte Financial Advisory Services LLP, as consultants


 UPDATE: 

January 20, 2012

TO: All AA & AE Local Presidents

RE: TWU Retirees

Dear Brothers:

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 Levine of Lowenstein & Sandler, discussed the 1114 proceedings (which is the retiree portion of the bankruptcy proceedings). President Little affirmed that the TWU has a "cradle to grave" philosophy regarding our members, and established a retiree committee to deal with 1114 issues, headed by Howard Blaydes.

Make no mistake, the TWU and our bankruptcy team will be taking an active role in representing our retirees. If there are any questions regarding this issue, please don’t hesitate to ask.

Fraternally,

Garry Drummond

Director, Air Transport Division

GD:kla opeiu 153 afl-cio

C: IAC

ATD Staff

 TWU: 
TWU Retains Gordian Group
Posted On: Jan 19, 2012
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Washington -- The Transport Workers Union (TWU) announced today that the union has retained Gordian Group, LLC to provide investment-banking services during the bankruptcy reorganization proceedings at AMR Corporation, parent company of American Eagle and American Airlines.

“We’ve said from day one that we’re going to fight like hell for our members,” said TWU International Union President James C. Little.  “That means having the best available talent in our corner, so we can level the playing field and advocate effectively for our members.” TWU represents more than 26,000 workers at American and American Eagle as well as thousands of retirees. 

The union’s International Administrative Committee, said Little, considered a number of companies prior to selecting the Gordian Group, one of the nation’s leading financial restructuring firms.  Gordian has provided expert advice on a variety of high-profile corporate restructurings, including Alamo/National Rent-a-Car, Ambac, General Motors, LTV Steel, and many others.

Gordian was named Outstanding Investment Banking Firm of 2011 by Turnarounds & Workouts magazine. Peter Kaufman, Gordian’s President and Head of Restructuring and Distressed Mergers and Acquisitions, has been ranked #1 among individual financial restructuring investment bankers by The Deal.   He is the co-author, along with Gordian CEO -Henry Owsley, of the definitive book in the field, Distressed Investment Banking: To the Abyss and Back.

Gordian distinguishes itself from other investment banks, among other ways, by providing conflict-free advice. Gordian has no institutional loyalties to funds or bondholders, including AMR’s bondholders.

“We are glad to be on part of the TWU team,” said Kaufman. “Our sole focus will be working with TWU leadership to achieve the best possible outcome for rank-and-file workers under these difficult circumstances.  Our mission is a critical one, TWU’s fight at AMR is a microcosm of the battle workers are engaging in with corporations all across this nation.”

More information on the Gordian Group can be found on the firm’s website at: www.gordiangroup.com.


  

OFFICIAL BULLETIN

December 14, 2011

 

MONTHLY MEETING TIMES

                                   

 

MEETING TIMES ARE 07:00 A.M. – 11:30 A.M. – 3:00 P.M.

 

2012 MONTHLY MEETING DATES

 4th WEDNESDAY of the Month

 

        JANUARY 25, 2012                       JULY 25, 2012

 

FEBRUARY 22, 2012                    AUGUST 22, 2012

 

MARCH 28, 2012                          SEPTEMBER 26, 2012
 
APRIL 25, 2012                             OCTOBER 24, 2012
 
MAY 23, 2012                                 NOVEMBER   TBA      
                                                               
JUNE 29, 2012                               DECEMBER   TBA      

 

 

MONTHLY MEMBERSHIP MEETINGS WILL BE HELD AT THE LOCAL OFFICE

ADDRESS LISTED ABOVE

ANY CHANGES WILL BE POSTED AT THAT ADDRESS

 

 

Gerry  Sundling

Financial  Secretary Treasurer


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