Originally Posted by shiznit

Nope... Not exactly, and not in a good way.




DAL:
10% of the 0-2.5B of PTIX
20% of all PTIX above 2.5B
Pensionable (15% of that also adds to their 401k)

Contract tidbits: 3-I(Table) Accrue annually; award to be paid within 30 calendar days after the date on which the Company’s annual audited consolidated financial statements are released.The Association will have the right to review the methodology and calculation of awards
prior to such awards.
3-1-A-10 “Pre-tax income” (PTIX) means, for any calendar year, the Company’s consolidated pre-tax income calculated in accordance with Generally Accepted Accounting Principles in the United States and as reported in the Company’s public securities filings but excluding: a) all asset write downs related to long term assets, b) gains or losses with respect to employee equity securities, c) gains or losses with respect to extraordinary, one-time or non-recurring events (including without limitation one-time transition or integration costs incurred in connection with the merger of the Company and Northwest Airlines Corporation during the two year period following the merger), and d) expense accrued with respect to the profit sharing plan.

UAL:
10% of the 0-6.9% PTIX margin
20% of the 6.9-up PTIX margin
Not Pensionable

Contract tidbits: 3-H-1 Pilots shall participate in the Company profit sharing plan. 3-H-4 Special and unusual items shall be excluded from pre-tax profit when making the calculations in Sections 3-H-2 and 3-H-3.

What happens as the enterprise gets bigger? The 0-6.9% PTIX margin number grows. The total dollars of PTIX will get divided differently as the company gets larger so the 10% threshold grows, and eats into the portion paying 20%.

The devil is definitely in the details.