The claims filed by individual claimants are classified as a “Disputed Claim” under the debtors’ plan of reorganization (the “Plan”). Article 7 of the Plan provides the “Procedures for Disputed Claims.” Section 7.1 of the Plan provides that objections to claims will be filed within 180 days of the Effective Date subject to further order of the Bankruptcy Court. Pursuant to section 7.3 of the Plan, the Reorganized Debtors (i.e. the debtors after they emerge from bankruptcy) will not make any payments on Disputed Claims until a particular claim becomes an “Allowed Claim” (i.e. allowed and no longer subject to appeal). In addition, the Reorganized Debtors will not make payments on Disputed Claims until the “Final Mandatory Conversion Date” which is defined to mean the 120th day following the Effective Date of the Plan. We note that section 7.3(b) of the Plan provides for the creation of a disputed claims reserve that holds enough stock to satisfy the amount of all Disputed Single-Dip General Unsecured Claims as if all such Disputed Claims would be allowed in full in the filed amount. read more...
Your TWU Equity Distribution Committee met this week at the International Union’s offices in Washington D.C. to continue discussions on the 4.8% equity stake distribution for all eligible TWU members at American Airlines.
The Committee, with the assistance of financial advisors and legal experts, has been working to ensure the plan of distribution is equitable and maximizes the value for TWU members. We believe we made significant progress this week in formulating the concepts of the plan and, based on the feedback of our professional advisors, modified some of our original thoughts for eligibility and distribution to assure fairness and enhance value. A draft of the details of the plan is being assembled by the legal experts and financial advisors who will provide additional feedback and suggest any necessary refinements. read more...
September 24, 2013
The Court conducted the thirty-sixth omnibus hearing today. The main item on the agenda was a pretrial conference in the case of Fjord v. AMR Corporation, Adv. Pro. No. 13-1392. The plaintiffs in this action allege antitrust violations under section 7 of the Clayton Act. This is a separate action from the one brought by the Department of Justice and the Attorneys General pending in the District Court in Washington D.C.. After extensive argument the Court determined that the District Court action should be heard and determined first, with this private action proceeding after the District Court has rendered a ruling. In the event of a settlement of the District Court action, the parties are to return to the Bankruptcy Court to discuss scheduling.
October 02, 2013
Transport Workers Seek a Seat at the Table in US Airways/American Airlines Merger Case
Case will go forward despite government shutdown
Washington, DC - Oct 2, 2013 – The Transport Workers Union has taken legal action in federal court to protect the jobs, pay and benefits of its members, TWU President Harry Lombardo said today.
The TWU, Lombardo said, is seeking intervenor status in a lawsuit filed by the U.S. Department of Justice (DOJ) against the proposed merger of American Airlines and U.S. Airways. The case will go forward despite the current government shutdown, under terms of an order issued on Oct. 1 by U.S. District Judge Colleen Kollar-Kotelly.