Add the $104M debt prepayment and you begin to see that ual is not just making tons of cash but they are looking for anywhere but the pilots pay checks to put it.

 

I don't know guys. That hefty $400+ million charge nearly cost UCH their quarterly profit. I'm thinking we are asking too much in this contract and could force the company back into Chapter 11.

 

The only way for us to get a six-figure payout apparently.

 

Can't happen. We haven't sacrificed enough. Smizek said so.

 

UAL Chief Financial Officer and Executive Vice President: "The pilots are a very visible group and they're a very important part of our airline. This is a group that's gone some period of time without getting a pay increase, and I think paying our labor groups competitively is important to our philosophy as a company."

It almost sounds like he believes it.

 

Define "competitively."

 

I don't know how he could say that with a straight face considering how dragged out this whole cluster**** has been.

 

I know we don't know for sure as everything is a rumor until the TA is released (i.e. the pay scales and the lump-sum mentioned).

However, IF those are true, where is the competitive compensation?

First, pay scale not even DL's current at DOS? So the company gets to sit on money longer and not have to contribute that amount to my B-plan until much later.

Second, I haven't heard a rumor of equity in the combined company. The DL pilots got equity with their merger. AA pilots in Chapter 11 are/were to get equity in the company. Where is ours?

Those are two things right there that are not on par with the competition, again IF THE RUMORS ARE TRUE.

Now, maybe, just maybe.......(sorry I fell out of my chair laughing at myself a second)...there will be another $450 million charge in the 4th Q 2012 or 1st Q 2013 for a second distribution related to the actual total lump sum payout. I know. Stop laughing at me!!! One can always hope there are more to the rumors, right? OK, anyone have a bridge they want to sell me?

 

Those $100k signing bonuses that Delta and American got would have been nice. The money was there. Maybe next time.

Individual airline projections for full year 2013

United - $1.4 billion profit from $38.6 billion revenue
Delta - $1.8 billion profit from $37.6 billion revenue**
American - $1.1 billion profit from $26 billion revenue
Southwest - $776 million profit from $18 billion revenue**
US Airways - $626 million profit from $14.5 billion revenue**
JetBlue - $220 million profit from $5.5 billion revenue**
Alaska - $433 million profit from $5 billion revenue**

Airlines Set Course To $6 Billion In Record Profits For 2013 - Seeking Alpha

 

Well the first quarter sure started off with a bang!