Originally Posted by
BobZ
The trigger was there but im recalling a dance around stating it was a direct pension offset because it would 'complicate' the termination?
Yes....im corrected.
your math with the prorata is accurate. the fae was there for a 140k at maturity only.
With the fractional years service discount im in your ballpark with age 60 rough math of DB/pbgc ~$100k/~$65k.
I dont have the pbgc estimate in hand but i recall the age 60-65 spread is abt $1500 a month.
Still a poke in the eye given the ensuing economic performance, and this moralizing by a ceo who lost sleep over not inflicting enough damage to the pilot group.
The note and claim payed out at a substantial discount as W2 income. Like yourself i hope all of us have parlayed those resources into some improved circumstance.
But im still po'd. Lol.
I don’t like any of it either but Delta pilots claiming they lost their pension are pushing credible boundaries. My and your PBGC payout at age 65 matches my NWA pilot friend total benefit. Admittedly he was a under achiever and only flew his basic schedule but the MPP plan and note offset that. The MEC looked at both groups retirement numbers and found no real difference between former Delta and former NWA.
The one thing that really irks me is getting no real DC money during the period the plan was frozen. It was promised that if the plan was subsequently terminated the targeted DC plan would be retargeted to make everyone whole. Instead they went to a flat rate.
Overall considering the companies financial state and the 20% funding level of the DB plan we came out remarkably well compared to the other airlines in chapter 11 at the time.