AA offering more
 

AA announced this evening:

640 more early retirements to be offered
2,935 paid leaves at 55hr/month

To be awarded April 9th

Wow!

Denny

Wow is right. That will double American’s savings. And almost double the savings for us compared to a 20% ALV reduction if we were to have the same here. If we don’t offer these I’m going to really start questioning management’s strategic judgement. And make a lot more each month this summer as compared to a SIL.

NYC 7ER A:
53 regular lines
191 reserve lines @76.15

A May SIL would have saved over $1M for that one seat and category alone.

Wow, so that's over 1200 early retirements total? For some reason I think we wouldn't get many takers here. But I could be wrong!

No offense but I think you’d be wrong.....waaaay wrong. Guys like me are just looking for a reason to and this would be it. Don’t think I will be able to hold it if offered. I’m not an area code but a couple hundred numbers away from it.....

Denny

No offense at all! You're definitely a better source than I am. I just feel like I'd be worried what would happen to my payout in a bankruptcy.

‘I don’t know that I’m a better source. I can only speak for me. There is that risk. I relayed that concern to my Reps a couple weeks ago. I do think there would be a lot of takers even with the risk. One thing I AM pretty sure of is that Management will do their darnedest to keep the Company out of BK. It’s in their best interest and they lose too much control. Not saying it won’t happen but I do believe it will be a last resort.

Denny

Denny is correct, management will take every step possible to stay out of bankruptcy. They cede control of the airline and the value of their stock holdings and options drops to zero.
We will not get quite as many takers as AA because they have a intact age 60 based DB plan. I don’t think however we would have any problem at all getting 500.

Keep in mind they cancelled almost all the narrow body SIL’s they announced before. They are reissuing them. They are not additional. The retirements are additional.