The TWU has reached tentative agreements covering all of its work groups providing $620 million in yearly cost savings to American Airlines.  This provides in full, our share of the relief required by the Company to restructure and stay out of bankruptcy.

I will not paper over the fact that these concessions are far reaching and will materially diminish the incomes and working lives of our members.  The concessions supplied by other unions will have a similar impact on their members.  None of us would have even considered supplying such relief if it were not clear beyond reasonable dispute that the Company would secure for greater relief in bankruptcy, and that its very existence is in the balance.

While we fully acknowledge the serious impact of these tentative agreements, we also were able to preserve a number of crucial items.  This includes scope, retirement, retiree medical, and the same health care coverage.  All of these issues, and many more, would be subject to attack and modification in bankruptcy.

All agreements also contain a recovery and equity package.  We will not submit the proposals for ratification until this crucial element of the package is finalized.  After this is accomplished we will develop language covering all changes.  We will not have anything to present for ratification by our members until these tasks are accomplished.

Sincerely and fraternally,

Gary Yingst

AA System Coordinator

Intl. Vice President