A Letter From President James C. Little

TO FLEET SERVICE AND AMT & RELATED TWU AMERICAN EAGLE MEMBERS:

This is one of the most critical letters I have ever sent to you.  It is now time for you to vote.

At the start of this bankruptcy case, a very labor unfriendly process indeed, I made two promises.

First, it was clear that the TWU strategy needed to be one of maintaining all possible options, since the results of a bankruptcy on workers are always negative.  We did just that.  We have been working on possible mergers, litigating with AA in court, and have worked hard at the bargaining tables trying to limit as much as possible the harsh concessions sought by the Company. Your tentative agreement is the result of that hard work, and reflects considerable differences from the Company‚Äôs original ask.

Second, I guaranteed that you would vote if a tentative agreement were ever reached. It is important for you to have the final say as to whether we are going to approve the tentative agreement reached on July 20, 2012, or accept the risk of litigating the issues in bankruptcy court pursuant to a potential 1113 motion to reject our contract in its entirety.

Both situations are concessionary and painful.  But there are huge differences between these two outcomes.  WHETHER YOU VOTE "YES" OR "NO," IT IS MOST CRITICAL THAT YOU HAVE ALL THE FACTS.  Please review the enclosed materials, go online to review the full text changes and all the other posted information, and please attend information sessions.

There are a few key points I want to highlight:

  • This vote has NOTHING to do with a possible merger, divestiture or sale of American Eagle.  These issues are legally unrelated.  This vote is only about what conditions we will work under at AE.
  • If this goes before a bankruptcy judge, the judge WILL NOT decide what the terms of our contract will be.  If he rejects our contract, we will have no contract.  He does not pick or chose any contract terms at all.

The decision to vote "yes" or "no" is yours alone and that is why we are not recommending any position.  But, I do want you to review all the facts so you may cast an educated ballot.

This is your union.  I await your directions.

Fraternally,

James C. Little

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