The Update Message from the International Association of Machinists representing Continental, ExpressJet and Continental Micronesia
Flight Attendants in the 2339 Local Lodges

Friday, December 8, 2006

Airline Unions Preserve Foreign Ownership Ban – After months of intense pressure from the IAM and others, the Department of Transportation (DOT) has withdrawn its proposal to allow foreign interests to control U.S. airlines.  “The Bush administration’s ill-advised proposal faced opposition from airline employees and Congress,” said Transportation GVP Robert Roach, Jr. “The IAM lobbied hard on Capitol Hill to oppose the DOT's plan, making it our primary legislative goal for the airline industry. The proposal’s only support came from airlines that care more about profits than promoting sound aviation policy.”  Key Congressional opponents include Senators Daniel Inouye (D-HI), Byron Dorgan (D-ND), Arlen Specter (R-PA) and Frank Lautenberg (D-NJ), and Reps. James Oberstar (D-MN), Frank LoBiondo (R-NJ), Jerry Costello (D-IL), Steve LaTourette (R-OH), Ted Poe (R-TX) and John Olver (D-MA).  Foreign ownership of U.S. airlines is currently capped at 25 percent. Several members of the House Transportation Committee said that more foreign control of U.S. airlines was a threat to national security and they were glad to see the idea dropped for now. The issue of allowing foreign control of U.S. airlines, however, may not be completely dead.  “The department needs to do more to inform the public, labor groups and Congress about the benefits of allowing more international investment,” said Secretary of Transportation Mary Peters. “The Machinists Union stands ready to work with the Bush administration to promote the U.S. aviation industry, but we will not allow foreign interests to control the destiny of U.S. aviation workers,” added GVP Roach.

Continental Flight Attendants can now review a Pension Plan Q & A that addresses many of the most frequently asked questions and provides answers for you to consider.  Copies of the Q & A are available in the crew rooms at the Union Desk or you can view them online at www.iamdl142.org/fa right now.  Learn more about what you have to gain by transitioning to the IAM National Pension Plan.  Visit the NPP website at www.iamnpf.org for more information.

Continental Micronesia Flight Attendants are advised that LL2339G has moved their Monthly Business Meeting to December 13th.  The meeting was moved-up one week to encourage more members to attend and to not be in conflict with the Holidays.  It will remain at the same location and time which is noted at the end of this message.

Union Plus Announces 2007 Scholarship Program – The Union Plus Scholarship Program is currently taking applications for its 2007 Scholarship competition. Current and retired members of AFL-CIO unions participating in any Union Plus program, their spouses and their dependent children can apply for a Union Plus Scholarship, with awards ranging from $500 to $4,000. All applications must be postmarked by January 31, 2007.  The program is open to students attending or planning to attend a college or university, a community college, or a technical college or trade school, and is a one-time cash award sent to individual winners for undergraduate study beginning in the Fall of 2007. Applicants are evaluated according to academic ability, social awareness, financial need and appreciation of the value of working families and union membership.

Click here for more information on the Union Plus Scholarship Program and to download an application.

Delta Reaches Agreement To Terminate Pilot Pension Plan – An agreement with the Pension Benefit Guaranty Corporation will allow Delta Air Lines to terminate its pilots' pension plan. The pact means PBGC will become one of Delta's largest creditors.  A PBGC spokesman says the settlement was not influenced by US Airways' $8 billion bid for Delta.

Delta Urged To Consider Merger In Post-Bankruptcy Plan – The chief operating officer of US Airways says his company wants Delta Air Lines to consider US Airways' merger proposal as it creates its post-bankruptcy business plan.  Scott Kirby also says the merged carrier would see Delta's pilot contract through.  Leaders of Delta's pilots union say they oppose the merger and are concerned that a new company might leave Atlanta.

Growth In Airline Industry May Slow, Analysts Say – Some analysts expect the airline industry's strong growth to slow as the economy cools and consumers become unwilling to pay high prices for tickets. "We've seen two eye-popping years on the key revenue metrics for the industry ... and I don't think that's something we can count on going forward," says Bill Warlick, airlines analyst at Fitch Ratings.

We would like to encourage all members to attend your Local Lodge business meeting. Each base must have a quorum to conduct business. The following is a schedule for upcoming meetings:

:      Tuesday, December 12^th, 3:00 p.m. at the Doubletree Airport Hotel.