catchup
12th Jan 2006, 12:48
Retired pilots demand UAL recount
Retired pilots for United Airlines have filed an emergency motion in bankruptcy court challenging UAL's reorganization plan.
The United Retired Pilots Benefit Protection Association questions the tabulation of ballots submitted by retired pilots and seeks a recount.
"The votes of retired pilots who challenged the claim amounts prepared by United were not counted," the association charged. "Discussion with United's attorneys made clear that United had elected to not count these votes because United has made the decision to challenge the increased claim amounts submitted by many retired pilots."
If valid ballots were not counted, the association asserts, then the voting should be declared invalid.
"Retired pilots did not give up their right to vote on the plan just because they challenged United's calculated claim amounts," the association said.
Judge Eugene Wedoff called a Thursday hearing on the matter.
In a separate development, the Association of Flight Attendants challenged the reorganization plan on different grounds, objecting to bonuses for 400 United managers.
"Employees have been forced to sacrifice," AFA said, "while executives have richly rewarded themselves."
The Bloomberg financial news service reported Wednesday that a consultant estimated that the plan would give $15 million in stock to CEO Glenn Tilton alone.
http://www.bizjournals.com/pacific/stories/2006/01/09/daily40.html?from_rss=1
Retired pilots for United Airlines have filed an emergency motion in bankruptcy court challenging UAL's reorganization plan.
The United Retired Pilots Benefit Protection Association questions the tabulation of ballots submitted by retired pilots and seeks a recount.
"The votes of retired pilots who challenged the claim amounts prepared by United were not counted," the association charged. "Discussion with United's attorneys made clear that United had elected to not count these votes because United has made the decision to challenge the increased claim amounts submitted by many retired pilots."
If valid ballots were not counted, the association asserts, then the voting should be declared invalid.
"Retired pilots did not give up their right to vote on the plan just because they challenged United's calculated claim amounts," the association said.
Judge Eugene Wedoff called a Thursday hearing on the matter.
In a separate development, the Association of Flight Attendants challenged the reorganization plan on different grounds, objecting to bonuses for 400 United managers.
"Employees have been forced to sacrifice," AFA said, "while executives have richly rewarded themselves."
The Bloomberg financial news service reported Wednesday that a consultant estimated that the plan would give $15 million in stock to CEO Glenn Tilton alone.
http://www.bizjournals.com/pacific/stories/2006/01/09/daily40.html?from_rss=1