Noteworthy Reading

What Skyword Fails to Tell Flight Attendants

What AFA and the IAM think About US Airways Offer to American's Unions

There may be good opportunities ahead for Flight Attendants in a merger with American, but it's important that we recognize fully how this option for the future of US Airways is coming into play and what we need to do to realize any benefits. In early April, US Airways management reached right over you, their current employees, to negotiate directly with union members of American Airlines, offering them something less onerous than what will be imposed on them through the bankruptcy court at the insistence of American Airlines management. US Airways management has not reached an agreement that lifts standards for our careers. In either case, bankruptcy imposed concessions or a bridge agreement with US Airways, the industry rate for Flight Attendant contracts is lowered. We cannot allow that to be the basis for our future - through focus on our Contract First we can do better. (Read More...)


What was APFA leadership thinking when they hired the Jefferies Group? (Part III)

AMR, APFA, Jefferies Group & Carl Icahn: It's interesting to note that when we turn back the clock we see that the Jefferies Group, the firm APFA hired to represent flight attendants in bankruptcy, has close ties with notorious corporate raider Carl Icahn. Carl Icahn, as you'll recall, was behind the destruction of Trans World Airlines (TWA) and is considered a predator in the corporate sector. (Read More...)


What was APFA leadership thinking when they hired the Jefferies Group? (Part II)

As previously noted, Jefferies Group director, Peregrine Broadbent, and its general counsel/corporate secretary, Michael Sharp, have close ties to AMR through two of AMR's directors, Judith Rodin (Citigroup) and Phillip Purcell (Morgan Stanley). Now we learn from the following excerpt from "The corporate bankruptcy scam" by Sandy Boyer that Judge Sean Lane is also linked to Morgan Stanley through his former law firm. (Read More...)

What was APFA leadership thinking when they hired the Jefferies Group?

When we take a closer look at the company that APFA hired to help APFA through the bankruptcy process — the Jefferies Group — what we see is an organization with ties close to AMR's interests, not with APFA's or organized labor. (Read More...)


The Corporate Bankruptcy Scam

Imagine, for a moment, that you're a corporate CEO, and you want to get rid of your union contract. Maybe you signed it at the height of the boom, and now it's beginning to pinch. While you're at it, maybe you'd like to stop the payments you agreed to make to that employee pension fund.

It's very simple — all you have to do is to file for corporate bankruptcy. (Read More...)


The Dangers of Outsourcing Maintenance

American to Outsource Maintenance to TIMCO; TIMCO involved in an Immigration Roundup in 2005 Undocumented Workers Caught Doing Aircraft Maintenance. (Read more...)


INVESTIGATION: 'Deferred Maintenance' causing concern in the airline industry; Pilots, Mechanics concerned about delayed repairs

"American has been cited and fined millions of dollars over the last 3-years, more than any other airline, for repeatedly and sometimes inappropriately deferring repairs to its aircraft." Watch Video...


737 Settlment

In October of 2005, APFA forfeited a 737 Grievance that was estimated to be worth $9 million. Rather than demanding that the company cough up the cash, then-President Tommie Hutto-Blake and current Vice President Brett Durkin accepted crew meals on long-haul flight to Delhi and also 8 hours behind the door. The company, for its part, kept the cash and also eliminated manning positions Domestically on the MD80, 737 and 757, and also Internationally on the AFS-757, the AFS-767-300, the Hawaii-757, and Hawaii-767-300. Less than six months later, AMR doled out $90 million to the executives. (Read more...)


Occupy the Boardroom

Of the six banks tergeted by the Occupy the Boardroom movement, five have intimate ties to AMR's board of directors. (Read more...)


Beed Air

MSNBC reports an American Airlines flight attendants won a historic lawsuit against Boeing over allegations that the company knew about toxic air fumes entering the cabin but opted not to do anything about it. (Read more...)


Jane Allen Explains the Sale of American's Fuel Hedge

AMR Sells Fuel Hedge to Southwest for $41 Million. Tells Employees American Canít Compete. Funds Trust Fund with the Money. (Read more...)


Supplemental Executive Trust Fund (SERP) was Worth $41 Million

Former American Airlines CEO Donald Carty admits that the Supplemental Executive Trust Fund (SERP) was worth $41 million. Why this is of interest is because this is the exact figure accessed the the Fuel Hedge that AMR sold to Southwest for $41 million during the company's restructuring. (Read more...)


American Forgives Pilots' "Sick-Out" Fine

American Airlines forgave $26 million of the $45.5 million fine levied against the Allied Pilots Association after its members conducted a 1999 sickout. This was done as a reward for promoting the &qTurn-Around" Plan to the other employees. (Read more...)


American to Assume Eagle's $2 Billion in Debt to Make it More Attractive to Potential Suitors

While most employees are well aware that AMR is planning a divestiture of its subsidiary carrier, American Eagle, few have heard that AMR is planning on having American Airlines assume $2 billion of Eagle's debt in an effort to make the carrier more enticing to potential investors. As Bloomberg reports: "AMR Corp. (AMR) may give the American Eagle regional unit a better chance of success in a spinoff under a plan to leave the planes and more than $2 billion in associated debt at American Airlines.". (Read more...)


Sabre Spin-Off was Valued at $6 Billion

Split of reservation system from American Airlines parent to exceed $6B American has to Now Rent That Which it Formaly Owned. (Read more...)


The Strategy to Gut Americanís Labor Contracts was Outlined in Arpeyís 1982 Thesis

This article from the Dallas Morning News suggests that Gerard Arpey was the architect behind American's 2003 restructuring plan. The article further points out that the key behind this "strategy" was to get the unions to help promote the company's position by incorporating a technique the company refers to as "active engagement." (Read more...)


The Turn-Around Plan — It was About Turning the Employees Around, Not the Airline

The RPA Lawsuit clearly shows that the $340 million demanded from American's flight attendants was nothing more than a plug-and-play figure taken from a low-cost labor comparison AMR did in early 2001 in an effort to align American with low-cost carriers such as Southwest. (Read more...)


APFA President Says American is Hurting Financially

Eight Years Under the Restructuring Agreement, APFA is Still Promoting the Company's Financial Rhetoric. (Read more...)


AMR President Tom Horton Would Like to See an AA/BA Merger

Eight Years Under the Restructuring Agreement, APFA is Still Promoting the Company's Financial Rhetoric. (Read more...)


APFA could have opened negotiations in 2006

APFA could have opened negotiations in 2006 but opted to wait until 2008. Why? (Read more...)


Gerard Arpey's Change in Control Benefits are valued at $30,112,794.

APFA could have opened negotiations in 2006 but opted to wait until 2008. Why? (Read more...)


AA/APFA Demand Bill of Costs

The Sectret Agreement AA/APFA had to Defend the 2003 Restructuring Agreement. (Read more...)


APFA Lost Retiree Medical Benefit Language

The language protecting Retiree Medical Benefits was apparantly lost during the Restructuring. The company appears to have known about it, but it only become public knowledge when a retiree inquired about the drastic changes to the Retiree Plan on a chat board. The company and union have agreed to address the loss of language through the next round of negotiations, but that merely suggests that the comany is willing to give us back that which we already had in exchange for something else. (Read more...)


A5 Travel Valued at $3 Million

The idea that APFA's last union president was rewarded with a $3 million retirement perk is concerning. While the Glading administration has brushed this off by calling it a "loophole in corporate policy," that would be like saying that the company made a $3 million mistake in favor of an employee. That doesn't happen at American. If American makes a financial mistake in favor of an employee, that money is taken back immediately once it's discovered. We believe that A5 retirement was a gift for siding with AMR against flight attendants in defense of the 2003 Restructuring Agreement. (Read more...)


How Do You Impact the Experience?

Reminding AA VP Denise Lynn of Just How Much Flight Attendants Have Contributed. (Read more...)