APA - NJASAP
Transcription
APA - NJASAP
11.11.14 Fellow NJASAP Member, I would like to begin by thanking our colleagues at the Allied Pilots Association (APA), who have graciously allowed us to share their salary and benefit comparison presentation with you. We are providing this information not as an outline of specific bargaining goals, but as an education resource. Allied developed this document for its members to enable them to objectively compare their collective bargaining agreement with those of other mainline carrier. With any document of this type, certain assumptions were made for ease of comparison. As an example, it is unlikely there is a 767/777 captain with 12 years seniority at many of the carriers listed. Nevertheless, a review of the insurance benefits, vacation accrual, retirement plans and work rule comparisons will prove quite illuminating. For those who have never been employed by a scheduled carrier, it is important to note the salary structure is significantly different than ours. Scheduled carrier compensation systems are based on salary per flight hour with a minimum number of guaranteed hours each month. In addition to a monthly guarantee, there are a myriad of compensation enhancements known as duty rigs and overrides. As a general rule of thumb, you can estimate the annual salary at any scheduled carrier by multiplying their hourly rate by 1082. Because our salaries, as you know, are based on a daily rate with certain enhancements for schedule and duty offsets (e.g., hourly overtime, extended days and holidays), it is difficult to make a direct comparison. While the APA document deftly compares pay and benefit packages, it fails to address quality of life issues. For example, crash pads, commuting, actual line and base changes due to equipment choices are not addressed, but certainly factor into the equation. This comparison document is the first in a series that we intend to make available to the pilot group. Please take a few minutes to study it because you never really know if you are getting a good deal unless you have the ability to compare it to something else. As always, please do not hesitate to contact the Negotiating Committee with any questions. In solidarity, Mike Pascalar Lead Negotiator Photo taken by Sandro Koster. TABLE OF CONTENTS Contract Transitions ..............................................................................................................................................................................................2 Seniority Integration Timeline ......................................................................................................................................................................3 MOU Overview ........................................................................................................................................................................................................4 Contract Durations ..................................................................................................................................................................................................4 Aircraft • Aircraft....................................................................................................................................................................................................................4 • Aircraft Orders ..................................................................................................................................................................................................6 Pilots ..................................................................................................................................................................................................................................7 Retirements ..................................................................................................................................................................................................................7 Pay • Captain Pay Rates ..........................................................................................................................................................................................8 • First Officer Pay Rates ............................................................................................................................................................................10 • International Override ..............................................................................................................................................................................12 • Per Diem ............................................................................................................................................................................................................13 • Premium Pay ..................................................................................................................................................................................................14 • Profit Sharing ................................................................................................................................................................................................15 • Training Pay ....................................................................................................................................................................................................16 • Sequence Protection ..................................................................................................................................................................................17 Sick • Sick Pay ..............................................................................................................................................................................................................18 Work Rules ................................................................................................................................................................................................................20 Duty Rigs ....................................................................................................................................................................................................................20 Line Holder ................................................................................................................................................................................................................21 Reserve ..........................................................................................................................................................................................................................22 Vacation ........................................................................................................................................................................................................................24 Crew Augmentation ............................................................................................................................................................................................25 Hotels ............................................................................................................................................................................................................................25 Parking ..........................................................................................................................................................................................................................25 Deadhead ....................................................................................................................................................................................................................26 Scope ..............................................................................................................................................................................................................................27 Furlough ......................................................................................................................................................................................................................29 Network Departures ............................................................................................................................................................................................29 1 Benefits • Pension ................................................................................................................................................................................................................30 • Retirement ........................................................................................................................................................................................................30 • Medical ................................................................................................................................................................................................................31 • Dental....................................................................................................................................................................................................................32 • Vision ....................................................................................................................................................................................................................33 • Life Insurance ................................................................................................................................................................................................33 • Disability ............................................................................................................................................................................................................35 • Retiree Medical ............................................................................................................................................................................................37 CONTRACT TRANSITIONS 2012 CBA 2013 MTA (Merger Transition Agreement) – Effective for both AA/US pilots Dec. 9, 2013 – – – – – No pilot interchange (except flight training) Pilots will f ly only on their company’s aircraft Both airlines will have block hour minimums No TDY at other carriers Domiciles Includes all MOU improvements 2014 JCBA 2 • • SENIORITY INTEGRATION TIMELINE The seniority integration process consistent with McCaskill-Bond shall begin as soon as possible after the effective date. If 90 days after the effective date there is not an acceptable agreement through direct negotiations: 1. A panel of three neutral arbitrators will be designated within 15 days to resolve the dispute. 2. Arbitration proceedings will commence no later than 60 days after the designation of the arbitrators or as soon as practicable given the arbitrators’ availability. 3. In no event shall the seniority arbitration proceeding commence prior to final approval of the JCBA. 4. The arbitrators will render their award within six months of the commencement of arbitration but not later than 24 months after the effective date. 5. The arbitrators’ award is binding and FINAL on APA, USAPA and American Airlines. This chart represents three processes that will be running simultaneously, but JCBA must be complete before Integrated Seniority List is completed. AttACHMent C CoMMenCe JCBA PRE MERGER POR MOU Execution Board Approval – AMR – US Airways – APA ‘ 21 Days for List of Valuation Modifications – USAPA ‘ Recommendation Decision by 01/04/13; If Recommended, Membership Ratification Vote Completed Between AMR Board Approval of Merger and 60 Days Thereafter 60 Days from APA List of Valuation Modifications = MTA By Agreement or --- oR Arbitrators’ Arbitrator’s Decision Decision Agreement Reached on Valuation - or Conclusion of Interest Arbitration *JCBA negotiAtions ON AND AFTER MERGER POR At NMB Discretion, But Projected 6-8 30 days Months From Petition MTA in Effect for APA APA NMB Single*JCBA and USAPA if USAPA Petition Carrier Finding Negotiation Complete Ratifies or MTA in Effect for Singlefor APA and USAPA Carrier - or Under Status Quo Status If Not JCBA Negotiations Begin Complete ‘ POR 4 months 60 days JCBA Interest Arbitration Before Panel of 3 Arbitrators = JCBA * JCBA negotiations shall begin as soon as practicable after the POR and may be completed anytime between the POR and the deadline of 30 days past NMB single-carrier finding. ON AND AFTER MERGER POR 3 60 Days but 6 Months and Not Before No Later Than POR 30 Days 15 Days JCBA 24 Months Effective After POR Seniority APA and USAPA Direct Panel of 3 Integrated Arbitration Integration Seniority Negotiations Arbitrators Seniority List Panel Renders Process Integration Between Designated Arbitration Award Begins Protocol APA and Commences Agreement USAPA 90 Days From POR Integrated = Integrated Seniority = Seniority List List • • • • MOU OVERVIEW $522 million in contractual improvements ($87 M/yr for 6 years) USAPA covered under the APA 2012 CBA as modified by the MOU (the MTA) on the effective date The MOU establishes a timeline for joint collective bargaining agreement (JCBA) with USAPA participation until such time that the NMB certifies a single union For APA and USAPA, the JCBA will be a modification to the MTA CONTRACT DURATIONS AIRCRAFT Total Group V, IV, III, II Aircraft Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee Chart does not include 717s that Southwest is transferring to Delta 4 Group V Aircraft Aircraft Group Definitions Group II: Bombardier CS300, A319, A319neo, B737-700, B737-7MAX, MD80, B737-800, B737-8MAX, B737-900, B737-9MAX, A320, A320neo, A321, A321neo Group III: B757, B767-200, B767-300, A300 Group IV: B767-400, B777-200, B777-200ER, B777-200LR, B777-300, B777-300ER, B787-8, B787-9, B787-10, A332, A333, A340, A350 Group V: A380, B747 (all variants) Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee Group IV Aircraft Group III Aircraft Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee Group II Aircraft 5 Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee Total Aircraft Orders Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee Group IV Aircraft Orders Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee Group III Aircraft Orders Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee Group II Aircraft Orders Source: Airline 3Q 2013 10 Qs, CBAs, Boeing and AIRBUS website as of 1 Nov 2013, APA Negotiating Committee 6 ACTIVE PILOTS Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee AA data based on 8,577 active pilots AA AND US PILOT RETIREMENT SCHEDULE (AGE 65) Source: APA Negotiating Committee as of 1 Nov 2013, USAPA Negotiating Committee 2014 –2022 4,978 pilots retire (combined), 2023–2026 AA will retire 2,830 7 PAY RATES – CAPTAIN Based on 85 Hrs 12Y/CA Group IV 777/787/A330 Group III 757/767 Group II 737/A320 Group I E190/CRJ/CS100 AA Captain Annual Pay 2013 Yearly 2014 Yearly 2015 Yearly Estimated Estimated Estimated 2016 Yearly 2017 Yearly 2018 Yearly $217,280 $234,661 $241,699 $274,696 $284,315 $294,260 $184,375 $199,124 $205,102 $228,582 $236,579 $244,861 $171,034 $184,712 $190,261 $219,055 $226,726 $234,661 $116,300 $125,603 $129,377 $141,984 $146,951 $152,092 Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *12 months x 85 hrs/month = 1020 hrs *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. Hourly – Group IV – 777/787 CA – 12 Year Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. Hourly – Group III – 767/757 CA – 12 Year Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. 8 Hourly – Group II – S80/737/319/320 CA – 12 Year Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. Hourly – Group II – 737/319 CA – 12 Year More Airline Comparisons Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. 9 PAY RATES – FIRST OFFICER Based on 85 Hrs 12Y/FO Group IV 777/787/A330 Group III 757/767 Group II 737/A320/S80 Group I E190/CRJ/CS100 AA First Officer Annual Pay 2013 Yearly 2014 Yearly 2015 Yearly Estimated Estimated Estimated 2016 Yearly 2017 Yearly 2018 Yearly $147,747 $159,569 $164,363 $186,793 $193,331 $200,093 $125,378 $135,405 $139,465 $155,438 $160,874 $166,505 $116,300 $125,603 $129,377 $148,961 $154,173 $159,569 $79,081 $85,415 $87,975 $96,553 $99,929 $103,428 Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *12 months x 85 hrs/month = 1020 hrs *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. Hourly – Group IV – 777/787 FO – 12 Year Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. 10 Hourly – Group III – 767/757 FO – 12 Year Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. Hourly – Group II – S80/737 FO – 12 Year Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. 11 Hourly – Group II – S80/737 FO – 12 Year More Airline Comparisons Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee. *Per Supplement A, Jan. 1, 2016, rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment. AA 2016 –2018 Rates Are Estimated. PAY – MISCELLANEOUS American Delta International Override Captain First Officer $6.50 $4.50 $6.00 $4.14* *Based on % of CA pay @ 12 year scale Any flight that operates outside contiguous United States, Alaska or Canada. United $6.50 $4.50 Alaska $5.00 $4.00 Southwest --- Notes --- - Flight segment between an airport located in the Mainland United States and either Canada or Alaska will not be considered an international operation. --- - For each hour flown in international or ETOPS flying. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee *Per Supplement A, January 1, 2016 rates will be the greater of 2.0% or rate determined by the Industry Comparable Pay Rate Adjustment AA 2016-2018 Rates are Unofficial. 12 INDUSTRY PER DIEM RATES International Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Based on new UAL TA, assumes no change for Delta after 2014 Domestic Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Based on new UAL TA, assumes no change for Delta after 2014 13 American % of Pay % of Pay Line Holder Reserve 150% Delta 200%* United 175% Southwest --- Alaska 150% paid on top of guarantee 100%** Reassign Pay 150% Premium Pay Notes - Company may offer Premium Pay at any time for an open sequence. - Must offer Premium Pay for trip selection before junior manning a pilot. - Reassignment premium for time outside original sequence footprint. 200%*** *For Green Slip flying over the lesser of the average line value or 75 hrs. **Above reserve guarantee for the portion of such rotations that interrupt X days. (Violated X days are repaid at the end of the rotation.) ***For additional duty periods extending into days off for reasons within company control. --- - If crew agrees to minimum rest at layover to make on-time departure, 5 hrs. of incentive pay will be added. --- 150%* 150% 150% 150% *Most reassignments, move-ups and add-ons pay 150%. - Charter pay and holiday pay (Thanksgiving Day, Christmas Day and New Year’s Day) 150%. - Junior Available into an unscheduled overnight 200%. JetBlue 150%* 150% 150% Hawaiian -- -- * Spirit 200% -- N/A FedEx 125% 125% 3:30* UPS 2:00/day 2:00/day 2:00* 150% on voluntary days off - 100% flight time credit and 150% pay for the trip being flown up to the monthly maximum, whichever is greater. - For all hours over 78 per month. In addition, premium pay (150%) is triggered for: *Voluntary day off assignments (VDA) *Extended pairing segments (EPS) *Additional reserve days (RXS) *Reserve assignments into days off (RDA) *Reserve Augmentation (RSA) - 200% holiday pay. - Additional J/A pay (in addition to premium) CA $65.59, $44.61/hr. - Inter-island: 1 minute pay for each minute of duty over original scheduled duty day. * International: Greater of 125% pay for greater of actual or scheduled reroute or 1:00 pay; no credit for each 6:00 past original scheduled release. - Scheduled time in the original trip hour period or - four and one-half (4.5) hours per duty period for the entire trip for multiple duty period trips, or four (4) hours per duty period for single duty period trips; further, a pilot shall be credited for pay purposes with one additional duty period (four and one-half [4.5] hours) for each scheduled away-fromdomicile layover that exceeds a continuous twenty-two (22) hour period or - one (1) hour’s flight time credit for each 4.20 hours elapsed time away from his base. - On a reserve day in which a relief line holder is not required to report for duty, he shall be paid and credited four (4) hours. - International 8%. *Reroute into additional duty period. Change of layover in rotation pays additional 1:30. *Reroute into additional duty period. Change of layover in rotation pays additional 2:00. - Extra stops pay additional 2:00. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 14 N Type None % of Wages Pensionable Delta Y Profit 10%–20% Yes United Y Profit --- Southwest Y 0.01% --- --- JetBlue Y Definedcontribution and stock ownership plan Variable based on employee earnings 5% --- --- Alaska Y Profit-sharing retirement plan* 5% --- --- Spirit N --- --- Hawaiian Y Same as all employee groups Sharing/ bonus American Y/N PROFIT SHARING Performancebased Performancebased None 5% None --- Incentive $50 to $150 based None on performance each month $100/month (based on performance criteria) --- $150/ quarter - 10% pretax income levels up to and including $2.5B and 20% over $2.5B. - 15% of pre-tax income in excess of $10M, less one-time events. - 15% of operating profit. - Minimum of 0.01% of annual compensation for each eligible employee. - Established as a money purchase. *Guaranteed profit-sharing percentage: 5% is a component of defined contribution plan. ---- - “Me Too Clause” if any other employee group get profit sharing, pilots will also. - The plan pays employees, except management employees, 5% of adjusted pretax income. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 15 Notes TRAINING PAY American Qualification Distance Ground/ Re-qualification/ Training Day Learning Day Length Day 1 for 2 4:00* 4:00* 10 hrs total/ 5 hrs in simulator Delta 1 for 2 3:45* 3:45* United 1 for 4 3:75* 3:75* Southwest < 4 hrs 4:23 (1/2 DPM rate) DPM rate* 4:23 DPM rate* Alaska 58% of hourly rate 4:40 < 6 hrs 3:30 > 6 hrs 4:40 JetBlue 1 for 3 4:00 Trips lost Spirit --- 4:00* 4:00* 10 hrs* Hawaiian 1 for 2 3:00* 3:00* --- Notes - Crewmember will not be scheduled for simulator training (including briefing and debriefing) between the hours of 0045 and 0530. *4:03 if on reserve available day. 10 hrs total - Line holder Pay No Credit. 4 hrs simulator - Reserve pilot or an unassigned pilot, while assigned to 8 hrs classroom qualification training, will be paid and credited a pro rata portion of the ALV for each training day, including training days on which his schedule shows “OFF.” - A pilot will not be assigned to ground or flight simulator training, including briefing and debriefing, between 0100 and 0500 (pilot’s base time). -A new-hire pilot may be so assigned during such 0100– 0500 period. 4 hrs simulator *Reserves 5:00 for each day dropped. - No credit for landing currency. - Training 0600 to 2400, which can be extended to 0200 without pilot concurrence. 10 hrs total *Or TFP lost, whichever is greater + any deadhead. 4 hrs simulator Paid at Duty Period Minimum (DPM) rate, TFP flown 9 hrs classroom plus deadhead pay as provided or TFP scheduled on such day(s), whichever is greater. - Training SW will make every attempt to not schedule between 0030 and 0530. - 58% for non-flight-related training outside the traditional 8 hrs total 4 hrs simulator classroom or required pilot presence at designated 6 hrs classroom training locations. But not < 4:00 hrs. - Hotel internet access reimbursed. - Training 8:00–22:30 hrs. 14 hrs - Only pay when training, extra days for travel not paid. - Travel days for training pay an additional 2:40. *Or trips missed. *If a pilot is required to attend ground training for more than 9 hours/day, he or she shall receive one hour of additional pay in addition to training pay. - A pilot attending required training events on a scheduled day off shall be paid four (4) hours of flight pay per day above guarantee. - Full month (31 days) training is paid 93:00. - Qualification 3:00. - Continuing qualification *4:00. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 16 SEQUENCE PROTECTION American Sequence Recovery Available Protection Obligation after report Return time from original trip Dom 4 hrs or 01:59 - May forego Sequence Protection with concurrence of Crew Scheduling. whichever is later, International Trans- - May not assign flying commencing before and/or finishing beyond the Replacement Flying Window Oceanic, Hawaii, (including Illegalities). South of the equator return +30 - Premium Pay (150%) provisions shall apply for any reassignment during replacement flying that results in a pilot flying beyond the original Sequence footprint. Y Y 4 hrs Delta Y Y 6 hrs United Y Y 2 hrs or 4 hrs if irregular operations Original trip Southwest Y Y Extension beyond original trip return paid (1) additional duty period Alaska Y Y Must contact Crew Scheduling for reassignment 4 hrs 5 hrs JetBlue Y Y Original footprint Hawaiian Y Y Total cancellations < = 20 - 2 hrs 21- 40 - 3 hrs >40 hr - 4 hrs N/A N/A Spirit N/A N/A N/A 4 hrs N/A - RO flying must start after sign-in on day of original sequence. - May be entitled to lodging. - Released from obligation upon request with sufficient reserve manning. - No interference with next trip. - New off-duty periods at pilot’s base upon request can be assigned hotel room. - Pilots become Reserve hybrid with possibility of airport standby. - Any involuntary assignment or reassignment into an unscheduled overnight, resulting in a duty period on a scheduled day off, pays double time. - Reassignment that blocks in later that original trip all legs not in original sequence will be premium pay. - Waive Sequence Protection with Crew Scheduling agreement. - Once at airport and released, not required to return same day; requirement to be contactable day prior and day of for each day remaining on footprint of trip. - Portions of trip lost, pilot may only fly or deadhead nonstop direct to reconnect with original trip. - Multi-day trip lost, may be assigned a makeup trip at time of notification. - Can reassign from operating trip to another trip twice per year (considered emergency reassignment). - Recovery Obligation only at the time of reassignment. - Sequence Protection is on a leg-by-leg basis. - N/A - No sequence protection. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 17 Notes SICK American Sick Pay Notes All Line Holders - All Carriers = Trips Missed Reserve/Day 4:03 Sick if Needed — Sick not charged until junior manned 4:03 - To receive sick leave pay in excess of his adjusted Minimum Pay Guarantee (MPG), a Reserve must provide a doctor’s note within forty-eight (48) hours of his return from sick leave. If a doctor’s note is not provided within the required time period, he shall not be paid for the sick leave in excess of his adjusted MPG. Delta 4:14 – 4:26 or trips missed* Southwest 5:16* or trips missed** Alaska 2:50 Spirit 4:00 --- 4:30 --- United JetBlue Hawaiian FedEx *If on a trip *6 TFP converted to hours (@1.149) ** If assigned --- - Paid time off system used for sick, vacations and schedule modification 4:12 - Time will only fill to pilot’s awarded line value or minimum bid period guarantee 5:00 (4:45 in 31-day bid period) UPS 4:00 --- Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Sick – Miscellaneous (Page 1) American Monthly Yearly Max Sick Sellback Sick Sick Actual/ Accrual Bank Program Sellback at Leave Month Annually Retirement Makeup 5:00 60 1,000 Yes Yes to fund retiree medical No Delta N/A 270 N/A No No Yes United 3:25/5:00* 60 1,000 No No No 93.7 1,392 hrs No Yes Yes Southwest 1 TFP for each 10 TFP flown Notes - Rapid reaccrual 7:30/month. - Any remaining unused Short-Term Bank will be paid out, up to 50% based on long-term sick bank balance. - Pilot accrues 50 hrs in the first year and increases annually to 270 hrs at year twenty. - Sick bank resets annually. No rollover. - After pilot is placed on disability, pilot may borrow up to 50 hrs from the following year accrual. - 3:25 for lineholders *5:00 for Reserves - Rapid use >255, Rapid accrual @ 7 hrs/month until accrued amount used. - Upon retirement, sick leave may be traded for continued medical coverage under any coverage option of the flexible benefits portion of the health plan, including optional dental, at the rate of (1) month coverage for each (10) TFP accrued or until federal Medicare eligibility age. 18 Sick – Miscellaneous (Page 2) Spirit Hawaiian Alaska JetBlue Monthly Sick Sellback Sick Sick Actual/ Yearly Max Program Sellback at Leave Month Accrual Bank Annually Retirement Makeup 4.0* 48 400 --- Yes* retiree medical Yes 7.5 90 1,080 --- --- --- 5:30 66 Based on 180*** YOS 1,000 No No Yes 360 (twice accrual rate) Yes* Yes** Yes Notes *Line holder and Reserve - Can borrow 24 hrs of sick that must be reconciled in 12 months - Sick leave make-up ** Mandatory retirement lump-sum payout (up to 400 hrs @ hourly rate) > = 25 yrs: 100% payout > 20–25 yrs: 75% > 15–20 yrs: 50% > 10–15 yrs: 25% - A321 accrual rates are 10% higher --- - A pilot will be credited with five hours and 30 minutes (5:30) of sick leave to his primary sick leave bank for each month he receives compensation from Alaska Airlines for six (6) or more hours of work performed, excluding months during which he receives compensation only for non-work-related activities such as profit sharing and reimbursement of expenses. - Sick accrual reduced 2 hrs/month if a pilot has 5 or more events in a rolling 12-month lookback. Rapid reaccrual 11:00/month. - At retirement, pilot will be paid a lump sum for unused primary sick leave at 25% of hourly wage. - Can sell up to half their PTO bank at 150% *Paid time off (PTO) system ** Paid at hourly rate *** Max accrual based on longevity Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 19 Duty Period Guarantee American Minimum 3 Average 5 Delta No minimum 5.25 United No minimum 5 Southwest 4.23 5.70 (based on TFP (based on TFP conversion) conversion) Alaska No minimum 5 Hawaiian No minimum 4.3 JetBlue 5 --Spirit 4 4.5 FedEx UPS 3 4 6 No average WORK RULES Max. Max. Scheduled Actual On-Duty On-Duty Yes Traditional transition to PBS PBS PBS Traditional Traditional PBS PBS Traditional (discussing PBS) Traditional Traditional 2 2 12 4 4 2.60 Yes Yes Yes 12.5 14 13.5 14 14 16 16 16 2 (1.75 night) 1.67 2 None 3.5 4 3.5 4.20 Yes Yes Yes Yes 13.5 13 16 15 2 2 4 3.75 Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Duty Period Minimum DUTY RIGS Duty Rigs United 2:00 1 for 2 1 for 1.75 > 1:00 or 1:2 Spirit 3.5 15 14 15 13 13 13 2:00 JetBlue 2 FAR 117 Delta Hawaiian Limited Sequence Protection FAR 117 > 1.75:1 or 2:00 Alaska Trip Rig “F” Time 1 Min Pay for 1 Min Pay for 2-Person 2-Person Every “X” Min Every “X” Min Crew Crew on Duty Away from Base American Southwest Duty Rig “E” Time 4:23 (reserve) 1 for 2 (domestic) 1 for 1.75 (int’l) 1 for 2 (for sit time in excess of 2 hrs) 1 for 2 1 for 1.75 1 for 2 1 for 1.54 5:30 (reserve airport standby) 1 for 4 0601–2159 2200–0600 1 for 3.5 1 for 2 *if duty period touches (1/1.175) 0100–0500 1 for 3.5 1 for 2 1 for 1.92 1 for 1.15 1 for 1.92 (int’l) 1 for 2 1 for 1.54 0500–1559 1600–0059 0100-0459 --- UPS 0600–2159 2200–0600 1 for 3.5 1 for 2 1 for 1.75 4:00 3:00 0600–2159 2200 to release from duty period 1 for 3.5 (for sequences with more days than duty periods) 1 for 3.42 1 for 1.67 FedEx --- Trip Rig --- 2:00 5:00 Scheduled Duty-Time Exception Yes Yes Bidding --- --- 0500–2259 0230–0459 1 for 4 1 for 4.2 1 for 3.75 1 for 3.75 Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 20 Monthly Guarantee Scheduling Max American Lower limit of ALV 84 ALV +/- 7 Delta 65:00 79:30 –89:30* United 70:00 89:00 W/B 95:00 N/B Southwest 78 FAR Alaska 75:00 85:00 JetBlue 70:00 Spirit 72:00 78:00–95:00 (based on PBS) Hawaiian 75:00 LINE HOLDER Days Off 10 days 12 days in a 30-day period 13 days in a 30-day period 12 days - Can pick up to average 90 hrs/month *Lines built to +/- 7.5 hours of published average line value 72–82 monthly range - Pilots may pick up time to the FAR limits (with exceptions) - ALV limited to 73:30 with pilots on furlough - Pilot selectable max 87:00 W/B 89:00 N/B - Pilot may concur to a max of 91:00 W/B and 97:00 N/B - Pilot may flex down to 11 days 3 times per year N/B 15 days in a 30–31-day ** Based on 89 TFPs (Trips for Pay) in a 31-day bid period bid period** converted to hours (87 trips or 76:20 in a 30-day bid 14 days in a 28–29-day period, 85 TFPs or 74:40 in 28–29-day bid period) day bid period** **1/day per month and up to 7 days/year may be declared inviolable (Golden) and may be declared in the prior bid period 12 days in a 30-day period 13 days in a 30-day period None --- 100:00* 90:00 12 days in a 30-day period 13 days in a 30-day period - Pilot may flex to 88:00 - All pilots may overfly by 5:00 --- *For regular and relief pilots, reserve pilots receive 12 days off in a 30-day bid period and 13 days off in a 31-day bid period - Pilot may flex an additional 10:00 to be paid if bank limit 25:00 has not been reached Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 21 Notes RESERVE Reserve 1 Monthly Guarantee Scheduling Cap Delta 72–80 87:00–99:00* United 70 Southwest 31 days= 81 30 days= 87 28/29 days=85 89:00* wide body 95:00* narrow body Alaska 75/79* 85:00** (+5:00)*** Hawaiian 75 90:00* 12 days** JetBlue FedEx 75 74 None 12 days in a bid period FedEx 81 104:00* 130:00** American 73 85:00 FAR FAR Min Days Off Notes 12 days in a 30-day bid period* 13 days in a 31-day bid period** *2 days are inviolable (Golden) ** 3 days are inviolable (Golden) 13 days in a 30-day bid period** 14 days in a 31-day bid period** (For Reserve guarantee between 72:00 and 74:59) 12 days in a 30-day bid period** 13 days in a 31-day bid period** (For Reserve guarantee between 75 and 80) *Based on ALV **6 days off are inviolable **Days off are prorated for known absences other than CQ training - A reserve pilot in a category in which the number of reserve lines is projected to be at least 20% of the number of pilots in such category will be awarded one X-day more *Pilot may concur to a maximum of 91:00 wide body and 97:00 narrow body ** May flex down to 11 days 3 times per year for narrow body 12 days*** 15 days in a 30–31-day bid period** **Based on 89 trips in 31-day period converted to hours 87 trips or 14 days in a 28–29-day bid period** **76:20 in 30-day bid period, 85 trips or 74:40 in 28–29-day bid period *Long call (11-hour call-out) 75 hours *Short call (2-hour call-out) 79 hours ** May flex to 88:00 up to 6 times/year *** All pilots may overfly by 5:00 ****10 days are inviolable 12 days**** *Pilot may flex an additional 10:00 paid to bank if bank limit of 25:00 is not reached **6 days are inviolable - All credit above (78:00) is paid at Premium Rates --- 13 days in a 4-week bid period 16 days in a 5-week bid period *28-day bid period ** 35-day bid period 11 days in a 28-day bid period 14 days in a 35-day bid period Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee American Delta United Southwest Reserve 2 (Page 1) Reserve Days on Duty Type of System Long-Call Notice to Report (in hours) Airport Standby 17 Days remaining + GTD grouping Days remaining 12 N/A No Yes 15 average 17 max Days remaining N/A No 18 18 (wide body) 20 (narrow body) *GTD 12 No 22 Alaska Reserve Days on Duty Type of System Long Call Notice to Report (in hours) Airport Standby 18 GTD 14 No 18-19 JetBlue Spirit UPS FedEx Reserve 2 (Page 2) Days Remaining 11 18 Days Remaining N/A 15 (28-day bid) 19 (35-day bid) GTD 24 19 FIFO No No 24 Yes Yes American * Transitioning to “Days remaining” Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee American Delta Short Call Length of Periods Short Call Allowed (Hours) No limit 6/7* Short Call Response Time to Report 14* Undefined 12/14** Undefined*** Reserve 3 Long-Call Separate Response Airport Long/Short Time to Standby Call Lines Report N 12 hours N 12 hours N N *Reduced in WOCL ** Pure SC lines; pure LC lines can be assigned up to 7 SC periods ** “Reasonable amount of time” *** Prior to departure time—May be reduced to 10 hours for domestic and further reduced for international United No limit* 15 Undefined** Y 13 hours*** Y Southwest No limit 15 2 hours N N/A N Hawaiian No limit* 12 10 Alaska No limit* JetBlue No limit Spirit 23 15 No limit Undefined 2 hours Notes 2 hours* Y N 11 hours N N/A Y** 2 hours N 14 hours N 3 hours N --- N *6 with 72–74:59 guarantee 7 with 75–80 guarantee after FAR 117 effective ** International categories—24 hrs until FAR 117 effective *** “Promptly available” ----- *Response time may be 2, 3, 4 hours based on reserve availability ** Inter-island reserves only - Dependent on days of availability and company requirements - Pilot may volunteer for 1-hour response time and will be provided a hotel room. Reserves on their last day of a continuous block of three or more reserve days are automatically released at 1700 Base Local Time unless Crew Scheduling notifies the Reserve of the need to continue duty beyond 1700 prior to 1659 Base Local Time. --- Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee VACATION Vacation Pay Per Day Hours Per Day American 3:40 Delta United --- 3:15 3:17 Southwest 3:15* Hawaiian 3:45 Alaska Spirit Notes --* Reserves 5:00 for each day dropped Based on 3.75 TFP, converted to hrs 3:30 4:00 ----- JetBlue 5:00* FedEx 6:00 - Each vacation week is 35 hours of pay and credit. Pilot may opt for either. - PTO bank reduced by 24.5 hours if pilot opts to load 35 hours of vacation credit into PBS for schedule construction. - PTO bank is reduced by 35 hours if pilot opts not to load 35 hours of vacation credit into PBS during schedule construction. UPS Year American* Delta United Southwest Alaska Spirit Hawaiian FedEx UPS --- --- 5:00 --- Source: Airline CBAs as of 1 Nov 2013, AA/US MOU, APA Negotiating Committee *America West rate 3:40 2 21 14 14 14 15 14 15 15 14 4 21 14 14 14 15 14 16 15 14 6 22 21 21 21 21 21 8 10 21 22 21 23 29 21 24 21 21 21 21 21 21 22 21 26 21 21 28 24 24 Vacation Accrual 12 14 16 18 20 22 24 26 27 29 28 27 29 28 29 29 28 29 29 28 33 36 35 33 36 35 33 36 35 33 36 35 28 28 35 28 24 24 30 28 35 28 30 24 31 28 35 28 30 28 31 28 35 35 30 28 31 35 35 35 35 31 31 35 35 35 35 31 31 35 35 35 35 31 Vacation Valuation (Rate x Days/Year) = Total Hours American* Delta United Southwest Alaska Spirit Hawaiian FedEx UPS 2 4 6 8 20 22 31 35 42 35 40 35 38 36 35 31 35 42 35 40 35 Source: Airline CBAs as of 1 Nov 2013, AA/US MOU, APA Negotiating Committee *America West rate 3:40 Daily Rate 28 24 26 28 30+ 31 35 42 35 41 35 38 36 35 10 12 14 16 18 30+ 68.3 91.0 91.0 91.0 91.0 113.8 113.8 113.8 113.8 113.8 113.8 91.9 91.9 91.9 91.9 114.9 114.9 114.9 114.9 114.9 114.9 114.9 (3:40) 77.0 77.0 80.7 88.0 95.3 102.7 110.0 113.7 113.7 113.7 113.7 113.7 113.7 113.7 113.7 (3:15) 52.0 52.0 74.8 74.8 74.8 (3:15) (3:17) (3:30) (4:00) (3:45) (4:30) (4:00) 45.5 46.0 67.5 56.0 56.3 67.5 56.0 45.5 46.0 67.5 56.0 60.0 67.5 56.0 68.3 69.0 99.0 84.0 78.8 99.0 84.0 68.3 69.0 97.5 97.5 97.5 97.5 120.3 120.3 120.3 136.5 136.5 136.5 99.0 130.5 130.5 130.5 130.5 130.5 162.0 162.0 162.0 162.0 162.0 162.0 84.0 78.8 84.0 112.0 112.0 112.0 112.0 140.0 140.0 140.0 140.0 140.0 140.0 86.3 101.3 101.3 108.8 108.8 123.8 123.8 123.8 123.8 142.5 142.5 99.0 130.5 130.5 130.5 130.5 130.5 162.0 162.0 162.0 162.0 162.0 162.0 84.0 84.0 112.0 112.0 112.0 112.0 140.0 140.0 140.0 140.0 140.0 140.0 Source: Airline CBAs as of 1 Nov 2013, AA/US MOU, APA Negotiating Committee *America West rate 3:40 29 24 3-Pilot Crew American 4-Pilot Crew 1 CA, 2 FO Delta --- --- 1 CA, 2 FO* UPS 1 CA, 2 FO Hawaiian 1 CA, 3 FO --- Alaska Southwest *CRAF > 12 hours, or > 16 hours 2 CA, 2 FO (>12 hrs) 1 CA, 2 FO 1 CA, 2 FO --- --- --- *Flights between ANC and Russia 1 CA, 3 FO --- --- --- Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee During New Hire Training Recovery Single > 50 Miles Flying Y HOTELS Hotel Committee Meets With Rooms Provided During Ground Times > 5 Hours Y N Y Senior Vice President Ops Delta Y Y United Y Y* N Southwest Y N Y Spirit Y N N Alaska Y N N Flight Dept. American Yes Delta Yes United Yes Southwest --- 25 Notes > 5 Hours --- Dispute resolution process used for hotel disagreements > 4 Hours - Bottled water for int’l destinations - Training paid $15/day if at home *For any pilot if requested Company 4–5 Hours Vice President Flight Operations > 4 Hours Vice President of Flight Operations > 4 Hours Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Company Parking Notes 1 CA, 3 FO *2 CA, 2 FO 1 CA, 2 FO United American CREW AUGMENTATION PARKING Co-Terminal Yes --- - Selection committee no less than 50% pilots - Hotel buyback program - if hotel room cancelled 48 hrs prior to trip. Pilot will receive $25 rebate. - Pilot is responsible for crew rest and transportation when using this program. - Hotel Internet access will be reimbursed when required for Distance Learning Notes - If parking not available AA will reimburse up to highest parking rate at base (or bases that you fly out of ) + $50 Will be provided parking at --co-terminal of trip organization Yes - NRT-direct billed laundry - If TAFB > 96 hrs laundry reimbursed up to $50 - If available at location other than your base, UA will assume charges up to $35/month --- Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee DEADHEAD Deadhead Pay % Pay % Credit Delta 100 100 Southwest 100 100 American 100 United 100 Notes 100 Based on scheduled leg length 100 --- --- --- Alaska 100 100 Spirit 100 100 50% if traveling to or from training 100 100 --- JetBlue 100 Hawaiian 100 UPS 100 FedEx 100 50 --- D/H or actual, whichever is greater --- 100 Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee --- Deadhead Miscellaneous (Page 1) American Deadhead Positive Space Crew Internet First Class Meals Y* N N Delta Y* Y N United Maybe Y Y Southwest N* N N Alaska Y Y Y Hawaiian N/A N/A N/A JetBlue N N N Notes *For flights transoceanic international, on flights to or from Hawaii and Alaska, and south of the equator (as defined below) will be provided business class (J) or first class accommodations if the aircraft is not configured with business class. Such pilots will not be required to deadhead in economy. - If a pilot scheduled to deadhead to base on the last leg of a sequence chooses to deviate from the scheduled deadhead in order to deadhead to the pilot’s residence or designated city, business class accommodations will be provided, if available at the time of booking. If business class is unavailable, such pilot will be booked in economy. - (The countries that qualify as flights south of the equator are Chile, Brazil, Argentina, Bolivia, Peru, Ecuador, Uruguay and Paraguay.) *Ocean crossing segment business class or first class if business not available (positive space) - Crew meals provided, 3 hrs or less economy plus, greater than 3 hrs business class if available if not economy plus (positive space) - May be upgraded at the gate if all other passengers accommodated, can be downgraded to accommodate upgrades - Internet/DirectTV charges reimbursed by United - Additional 2 hrs pay for required deadhead in a middle seat longer than 4 hrs *May be required to DH in the cockpit - Company may schedule offline Deadheading - 100% pay and 50% Flight Time credit for company-assigned deadhead. - Meals made available for purchase or free to passengers in FC/main cabin will be offered to pilots deadheading in the main cabin free of charge. - Free Internet for deadheading pilots/seating priority by rank. - Over 5 hrs mandatory first class seating and any segment immediately following. - Deadhead will be paid at 100% and credited at 50%, potentially allowing pilots to fly an additional trip - Placed in “Enhanced Coach, EML” if available 26 Deadhead Miscellaneous (Page 2) Spirit Deadhead Positive Space Crew Internet First Class Meals Y N N Notes - 50% pay for D/H to/from training - May D/H on another carrier - Pilot may be required to operate rental vehicle. - Pilot will be paid 1 hr for every 2 hrs of surface D/H (based on 43 miles/hour of pay) Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee American Delta United American SCOPE Commuter Operations Seat Limits Weight Limit 76 Seats 86,000 lbs 76 Seats 86,000 lbs 76 Seats 86,000 lbs Current Allowable Size Commuter Current of Commuter NB Jets A/C Fleet - The existing seventy-six (76) CRJ 900 and E175 aircraft operated on behalf of US Airways, Inc. as of January 7, 2013, are grandfathered as to the seat limitation, and they and their replacements may be operated with seventy-nine (79) and eighty (80) seats, respectively. 36 E175s at 89k lbs. (grandfathered) - Air Wisconsin exception expired 1 January 2014 Allowable Large Regional Aircraft 552 a/c (10/2013) 803 75% of NB Fleet (800 NB=600) Delta 556 a/c (10Q 9/30/13) 563 Unlimited now* - 71 to 76 seats: 153 going to 223* - 51 to 70 seats: 102 - Total up to 325 United 572 a/c (YE 2013) 537 738 in 2014 (50 seat @ 90% of NB fleet + 255 >50) - 71 to 76 seats: 153 going to 223* - 51 to 70 seats: 102 - Total up to 325 66 to 76 seats: 40% of NB fleet in 2016 (800 NB=320) Hub to Hub American Combined BHs between 8 hubs not to exceed 1.25% of the company’s total scheduled BHs Delta United 27 6% of commuter flights can be flown between 13 hubs or any airport with 50 daily departures 5% of total United Express BHs in between 10 hubs Exception Additional Details - 66–76 seats scale 2014 25% 2015 30% 2016 40% of NB fleet Remainder 30–65 seats *Limit after reduction schedule of 50 seat a/c will be 450 a/c: ≤50 seats = 125 51–70 seats = 102 71–76 seats = 223 - 1:1.25 ratio on 76 seats (from 153 to 223) with B717/A319 a/c *Limit after reduction schedule of 50 seat a/c will be 450 a/c in 2016: ≤50 seats = 125 51–70 seats = 102 71–76 seats = 223 - 1:1.25 ratio on 76 seats (from 130 to 223) with CS100/E190/195 a/c Spoke to Hub 85% of Commuter flights into and out of 8 hubs 90% of commuter flights into and out of airports above 90% of commuter flights into and out of 20 hubs + any within 30 sm of them or any airport with 50 daily departures Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Owned Non-owned Distinction No distinction No distinction No distinction Domestic Code Share Special Exceptions/ Coverage ASM Limit Hub Restrictions American AS and HA (Inter-Island)/ - Code share with Domestic Air Carriers - No AA hub to AA hub CONUS Alaska Hawaii shall not exceed 15% of the domestic - AA hub to OAL hub permitted, but ratio AA scheduled monthly ASMs during of coded ASMs to AA ASMs cannot the same rolling 12 months exceed 125% of pre-existing division of - Excluding AA* code on Alaska or a flying in the market Hawaiian carrier Delta AS and HA (Inter-Island)/ Company may enter into domestic codeN/A CONUS Alaska Hawaii share agreements subject to restrictions United US and HA (Inter-Island)/ CONUS Inter-Hawaii, Inter-Alaska Southwest None/50 U.S. States No ASM limit - No UA hub to UA hub - Nor to and from UA hub - UA hub to OAL hub permitted, but ratio of coded ASMs to UAL ASMs cannot exceed ratio of pre-existing flying in the market. - Codeshared ASMs with a domestic carrier compared with that carrier’s code on UAL shall not exceed 115% of the ratio of total system flying between the carriers prior to the codeshare, unless the other carrier was operating fewer than 1/2 the ASMs of the company, in which case that carrier can operate 125% of the codeshared ASMs that the company operates with the OAL’s code. Trans-Border with Volaris up to 2.25% ASM to/from Mexico N/A Scope Miscellaneous Commuter Exceptions Seats Max MTOW (lbs Max) Spirit N/A N/A UPS N/A Max payload weight: Dom: 12,899 Int’l: 19,000 or anything with payload capacity >B727-100 FedEx N/A 60,000 Hawaiian 69 69,000 Exceptions --- Domestic Code Share Max Permitted w/o Current SJs Union Agrmt Partners --- Yes N/A Yes Corp/exec jets for N/A company officers. 10 Convair with max payload of 15,800 for domestic feed. No more than 1 Convair allowed on same routes as the Domestic service system. 2 aircraft > 60,000 lbs N/A wet leased for up to 4 bid periods per year. Company must provide 30-day written notice to ALPA beforehand. No None No --- Coverage Other Provisions CONUS, HI Very limited code share from HNL within Hawaii. CONUS code share must feed West Coast – HI flights. --Not limited Can subcontract out flying except that for not more than 90 days in cannot cause certain instances. furlough Supply CONUS 30 days of subcontracting Chain Hawaii (HNL allowed if peak lift capacity Solutions OGG, KOA is exceeded, with an (SCS) Alaska (ANC) additional 15 days allowed Puerto Rico if the company can (SJU) demonstrate efforts to purchase new equipment to be operated by IPA pilots None CONUS including HNL and ANC Current Scope agreement limits the ability of the company to purchase another certified U.S. cargo carrier and operate it separately 28 Scope Provisions American Delta United Southwest American Delta United Southwest JetBlue Alaska Spirit Hawaiian Successorship Fragmentation Merger Protection Transfer of Assets X X X X Change of Control X X X X Alter Ego Cabotage X X X X X X X X X X X Max. Furlough Pay Years Service = Months Furlough Pay 3 years after last pilot offered recall 10 years 10 years 7 years --LOS = 4 years 7 years Not fewer than 6 years* 10 years = 4.5 months 6 years = 6 months 9 years = 4.5 months 10 years = 4.5 months --5 years = 2.5 months 30 days* 8 years = 4.5 months Notes Furlough protected senior to named pilot Bedrossian 71-76 seat aircraft tied directly to furlough 71-76 seat aircraft tied directly to furlough Minimum 1 year - 1 year pay if result of merger - Max 10 years * With 30-day notice * Length of service + 4 Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee NETWORK DEPARTURES UAL DAL SW Rank Airport Flights Airport Flights Airport Flights Airport Flights 877 613 480 429 286 255 222 167 121 89 3539 ORD HOU EWR DEN SFO IAD CLE LAX GUM NRT 760 651 431 412 325 294 199 194 21 18 3305 ATL DTW MSP LGA SLC JFK CVG CDG AMS NRT 931 455 397 265 233 136 101 26 25 20 2589 AA Network Departures (December 13, 2013) Rank Airport Flights Miami, Florida 1 Dallas/Fort Worth, Texas 3 Chicago-O’Hare, Illinois 286 5 New York-JFK, New York 121 2 4 Los Angeles, California 6 New York-LaGuardia, New York 877 ORD LAS BWI DEN ATL PHX HOU DAL LAX MCO 244 219 210 170 168 166 157 127 110 101 1672 ALK Spirit Airport Flights Airport Flights SEA LAX Area SFO Area ALK PDX 234 63 46 42 93 478 FLL DFW LAS ORD DTW MSP AIY LGA ORL RSW Rank (Average as of 4Q13) Airport Flights Phoenix, Arizona 255 480 1 2 Charlotte, North Carolina Philadelphia, Pennsylvania 167 4 Washington D.C. - National Airport 97 57 30 25 24 24 15 14 14 12 11 226 US Airways Network Departures 3 Source: Airline 3Q 2013 10 Qs, CBAs, Boeing & AIRBUS website as of 1 Nov 2013, APA Negotiating Committee 29 --Voting Voting --- X FURLOUGH Seniority Retention DFW CLT MIA PHL ORD PHX DCA LAX JFK LGA X X Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee AA 1 2 3 4 5 6 7 8 9 10 Total Board of Subcontracting Director Seats 613 429 222 American Delta United Southwest Alaska PENSION CONTRIBUTIONS Contribution 401(k) Notes 15% 401(k) --- 16% 401(k) 16% 9.3% 13.5% --- 401(k) --- 401(k) 401(k) (Pilots hired after 1/1/2010) --- (Pilots hired before 1/1/2010) Option 1 - 1.9% multiplied by credited service multiplied by Final Average Compensation (FAC). Option 2 - 1.0% multiplied by credited service multiplied by FAC applied prospectively, effective 1/1/2010 ([sum of credited service as of 1/1/2010 multiplied by 1.9% and credited service on and after 1/1/2010 multiplied by 1.0%] multiplied by FAC), plus increased defined contribution level. Option 3 - Voluntary Soft Freeze: As of the effective date 1/1/2010, pilots hired before 1/1/2010 may voluntarily soft freeze their Defined Benefit Plan accrual and concurrently receive a Company PISP contribution of 13.5%. For purposes of computing a pilot’s Defined Benefit Plan benefit, pilots who elect this option shall not receive additional credited service after 12/31/09 “Freeze Date.” Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Defined Benefit (A) Plan American Delta United Southwest RETIREMENT PLAN Defined Contribution (B) Plan (C) Plan 401(k) (DC) No 16% (401(k)) A Plan Lump Sum Payout NWA Frozen/ DAL Terminated No longer available 13.0% N/A N/A Frozen No Terminated Contribution % Terminated 15% (combined C funds) N/A 2% No 0 Alaska Yes (pilots hired before 1/1/2010) No No JetBlue N/A N/A None Spirit N/A N/A None 0 FedEx Yes FAE avg. of highest 5-year earnings x 2 x years of service Yes 7.0% No 12.0% UPS Yes Yes, 13.5% earnings pilots hired after 1/1/2010; Pilots hired before 01/01/10 have 3 options 401(k) Total Defined Contributions Yes/None 16% Yes/None 16% 401(k)/ Matching % Yes/None Yes/up to 9.3% match 15% 9.3% Yes/None 13.5% for pilots hired after 1/1/2010; pilots hired before 1/1/2010 have 3 options Yes/up to 5% match 13% 0 Yes/50% of first $1000 7% 12% (up to the legal limit Yes/None 12% 8% Yes/up to 8% match Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Terminated plans will receive PBGC benefits, Frozen Plan benefits paid by Company. 8% 30 Plan Type American PPO Delta Monthly Pilot Contributions 2013: Preferred - $112.50/ee only $292.50/ee+sp/dp, $202.50/ee+ch, $393.75/family. Tier 1 - $140.63/ee only, $365.63/ee+sp/dp, $253.13/ee+ch, $492.19/family. Tier 2 - $168.75/ee only, $438.75/ee+sp/dp, $303.75/ee+ch, $509.63/family. PPO- 2013 - $126/ee only, DPMD $267/ee+sp/dp, $212/ee+ch, $401/family. United PPO $350 2013 - $146.11/ee only, $315.14/ ee+sp/dp, $220.73/ee+ch, $389.76/ family. Wellness credit - $48/adult; working spouse surcharge - $50. Southwest Choice + $49/ee, $150/ee+sp, $130ee+ch, $221/ee+family Choice C $20/ee, $70/ee+sp, $66/ee+ch, $113/ee family Alaska PPO 31 MEDICAL (PAGE 1) Deductible Co-Insurance In-Network Out-of-Network Out of Pocket Limit (“OOP”) In-network: $300/single, $900/family. Out-ofnetwork: $1,500/single, $4,500/family. May earn Healthmatters Rewards health incentive account (FSA) contribution of up to $250/adult. In-network - $20 pilot copay for office visits, $40/specialist. Other Expenses - 80%. Out-of-network 60% R&C. $350/single, $700/family, in- and out-of-network combined. In-network - 80%. $2,350/single, $4,700/ $15/Tier 1, $30/Tier 2, Out-of-network - 70% family, in- and out-of- $45/Tier 3, 50% (min. $30) R&C. network combined. A /Tier 4. No coverage outseparate $1,000/person of-network. Mail order OOP limit applies to 2 1/2 x applicable retail Rx copayments, copay for 90-day supply including retail and (Tier 1, 2 and 3). Separate mail order. $1,000/person OOP max; Tier 4 drugs do not apply. No coverage out-of-network. In-network: $350/single, $1,050/family; Out-ofnetwork $3,000/single, $9,000/family. In-network - $20/pilot copay for office visits. $25/specialists. Other expenses - 80%. Outof-network - 60% R&C. In-network: $300 single/ $750 family. Out-of-network: $600 single/$1,500 family. In-network physician copays: convenience clinic $15, office visit $25, specialist $40, urgent care $40, emergency room $150. Other services: 15% after deductible. Out-of-network: 60% after deductible. In-network: $800 single/ $2,000 family. Out-of-network: $1,500 single/$3,750 family. 80% /60% 2013 (includes dental) - $121.12/ee In-network: $250/single, only, $242.60/ee+sp/dp, $205.92/ $500/family. Out-ofee+ch, $327.04/family. network: $350/single, $700/family. In-network - $15 pilot copay for office visits. Other expenses - 80%. Out-of-network - 60% R&C. If no network available – 80% R&C. In-network - $2,050/ single, $5,275/family. Out-of-network $7,500/single, $19,500/family. Prescriptions $10/generic, 30% ($20 min/$75/max)/brand (preferred), 50% ($35 min/$90 max)/brand (non-preferred). Mail order - 20% ($0 min/$80 max)/generic, 30% ($40 min/$150 max)/brand (preferred), 50% ($70 min/$180 max)/brand (non-preferred) for 90-day supply. In-network $2,500/ single, $5,000/family. Out-of-network $6,000/single, $12,000/ family. $5/generic, $25/brand (preferred). $50/brand (nonpreferred). Mail order - 2 1/2 x applicable retail copay for 90-day supply. In-network (or no network available) $2,000/single, $4,000/family. Out-ofnetwork-$3,000/single, $6,000/family. $5/Tier 1, $25/Tier 2, 50% ($30 min/$60 max)/Tier 3, Mail order - $10/Tier 1, $50/ Tier 2, 50% ($60 min/$120 max)/Tier 3 for 90-day supply. No coverage out-of-network. Network $3,200 single/ $6,400 family. Out-of-network $6,400 single/$12,800 family. Retail: $10 generic, 25% ($25 min/$50 max) preferred brand, 45% ($4 min/$150 max) non-preferred and specialty drug, Diabetic testing covered 100%, Infertility 50% up to $5,000 per lifetime. Mail order: $25/generic, 20% ($45/$125 max) preferred brand, 45% ($60 min/$375 max) nonpreferred brand, Diabetic testing covered 100%. Network $4,000 single/ Retail: 10% ($10 min/$35 $8,000 family. max)/generic, 25% ($25 min/ Out-of-network $6,000 $100 max) preferred brand, single/$12,000 family. 45% ($40 min/$150 max) nonpreferred brand and specialty, Diabetic testing covered 100%, $50 deductible. Mail order: 7% ($25 min/$88 max) generic, 20% ($63 min/$250 max) preferred brand, 45% ($125 min/$375 max) nonpreferred brand, Diabetic testing 100%, $50 deductible. FedEx Plan Type PPO Monthly Pilot Contributions 2013 - $59.16/ee only, $165.08/ee+sp, $138.94/ee+ch, $226.98/family. MEDICAL (PAGE 2) Deductible Co-Insurance In-Network Out-of-Network In-network: none. In-network: 100% after Out-of-network: $20 pilot copay for $250/single, $750/family. office visits, $40/ specialists. Out-ofnetwork: 70% R&C. Separate pilot copay of $150/hospital admission and $50/outpatient surgery, in- and out-of-network. Out of Pocket Limit (“OOP”) In-network: N/A. Out-of-network: $3,250/single, $9,750/family. Prescriptions $7.50/generic, $35/brand (preferred), $55/brand (nonpreferred). Out-of-network 50%, but not less than applicable in-network copay. Mail order - $7.50/generic, $65/brand (preferred), $115/ brand (non-preferred) for 90-day supply. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Plan Type Administrator Delta PPO MetLife; Delta Dental (VEBA) for DPMP United DHMO Aetna Southwest Basic American Indemnity (PPO overlay) Alaska FedEx --- Monthly Pilot Contributions DENTAL 2013: Plan 11 - None. Plan 12 - $5.50/ee only, $11.00/ee+1, $16.50/family. $50/person 2013: Preventive - $4/ee only, $8/ee+sp/dp, $12/ee+ch, $16/family. Comp and DeCare Dental - $11/ee only, $23/ee+ sp/dp, $25/ee+ch, $36/family. DPMP - $9/ee only, $18/ee+ sp/dp, $21/ee+ch, $29/family. Preventive - none. Comp and DeCare $60/single, $240/family; waived for Class I. DMPM - $50/single, $125/family, waived for Class I and ortho. 2013: $3.99/ee only, $8.39/ee+sp, $7.59/ee+ch, $11.99/family. None Delta Dental $1/ee only, $3/ee+sp, $3/ee+ch, $5/ee+family Optional Delta Dental $10/ee only, $26/ee+sp, $30/ee+ch, $42/ee+family. PPO Indemnity Delta Dental Included in contribution for medical coverage. VEBA/ MetLife Deductible 2013: Base Plan - $4.13/ee only, $17.89/ee+sp, $16.50/ee+ch, $19.26/family. Buy-Up - $6.89/ee only, $22.02/ee+sp, $20.64/ee+ch, $26.15/family. $50 per person per year $50 per person per year $25/single, $50/family, waived for Class I; Ortho $100/person. Base Plan - $100/single, $300/family. Buy-Up Plan $50/single, $100/family. Co-Insurance In-Network/Out of Network Maximum Benefit/Person Preventive: 100%. Comp: Class I 100%, Class II - 70%, Class III and Ortho - 50%. DeCare: Class I - 100%, Class II - 80%, Class III and Ortho 50%. DPMP: Class I - 90%, Class II - 80%, Class III - 60%, Ortho - 50%. No benefits out-of-network in DeCare. Out-of-network benefits in all plans based on R&C. Preventive - $200/year. Comp and DMPM $2,000/year. Ortho - $3,000/lifetime. DeCare - $2,500/year. Ortho - $3,000/lifetime. --- $1,500 Plan 11: Class I, II and III Class I, II and III 80% R&C, Ortho - 50% R&C (ch combined - $1,000/year. only). Plan 12: Class I - 80% R&C, Ortho - $1,000/lifetime. Class II and III - 50% R&C. Ortho - 50% R&C (ch only). Class I and II - 100%, Class III and Ortho - 50%. No benefits out-of-network. --- 80% all classes, including Ortho. None $2,000 Class I, II and III combined - $1,750/year. Ortho - $2,000/lifetime. Base Plan - Class I and II - 80% R&C, $2,750/person/year, Class III - 75% R&C, Ortho maximum $30,000/ 50% R&C. lifetime (includes ortho). Buy-Up Plan - Class I - 90% R&C, Class II and III - 80% R&C, Ortho - 50% R&C. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 32 American Delta United Alaska FedEx VISION Plan Benefit Vision - In-network pilot copayment - $10/annual exam; $25/lenses or contacts annually; frames - $130 frame allowance every 24 months. - Out-of-network benefits - $40/exam; lenses - $40/single, $60/bifocal, $80/trifocal & lenticular; $45/frames; $150/contacts ($210 if medically necessary). - Pilot monthly contribution 2013 - $7.30/ee only, $14.14/ee+sp/dp, $13.87/ee+ch, $19.84/family. Vision - In-network: Pilot copayment - $10/exam, $15/lenses every 12 months. Davis Vision Collection frames covered in full every other year. Allowance for other supplies - $120/frames (plus 20% discount on excess), $105/contacts (plus 15% discount on excess) every 12 months. 15% discount on providers’ professional services. - Out-of-network benefit: $30/exam; $30/frames; lenses - $25/single vision, $35/bifocal, $45/trifocal, $60/lenticular; $75/elective contacts; $225/medically-necessary contacts. - Pilot monthly contribution 2013 - $6.38/ee only, $11.48/ee + sp/dp, $12.12/ee + ch, $19.13/family. COBRA - add 2%. Vision VSP: In-network pilot copayment - $10/annual exam; $20/lenses or contacts (medically necessary; $150 allowance otherwise) annually. $130 allowance/frames, plus 20% discount off excess/frames every other year. - Out-of-network benefit: $50/exam; lenses - $50/single vision, $75/bifocals & progressives, $100/trifocal, $125/lenticular; $130/frames; $105/contacts ($210 if medically necessary). VSP Plus - Same general benefits, except frames covered annually, and allowance for frames/contacts increased to $175. Superior Vision: In-network - exam & basic lenses covered in full annually; $125 allowance, plus 20% discount on excess/frames every other year; $200 allowance for contacts annually (100% if medically necessary). Out-of-network benefit: $37-$42/exam (based on dr. used); lenses - $32/single vision, $46/bifocals, $61/trifocal & progressive, $84/lenticular; $68/frames; $150/contacts ($210 if medically necessary). - 2013 pilot contribution: VSP - $9.01/ee only, $15.39/ee+sp/dp, $15.78/ee+ch, $24.99/family. VSP Plus - $11.32/ee only, $17.67/ee+sp/dp, $21.18/ee+ch, $28.32/family. Superior Vision - $7.60/ee only, $15.30/ee+sp/dp, $12.50/ee+ch, $21.40/family. COBRA - add 2%. Vision - In-network pilot copayment - $20/exam and $20/lenses every 12 months; allowance for other supplies - $150/frames every 24 months + 20% off excess; $75/contacts every 12 months. Out-of-network benefit - $45/annual exam; lenses $25/single vision, $45/bifocal, $61/trifocal; $90/frames; $45/contacts. Cost of coverage included in contribution for medical coverage. Vision - In-network pilot copayment - $0/annual exam; $15/lenses every 12 months; $15/frames every 24 months, max. $115 benefit. Allowance for other services - $110/contacts. - Out-of-network benefit - $50/exam; $120/frames; lenses - $35/single vision, $50/bifocals, $65/trifocals, $90/lenticular; $135/contacts. - Pilot monthly contribution 2013 - $2.76/ee only, $5.50/ee+sp or ee+ch, $8.26/family. 2013 COBRA - $7.62/ee only, $11.00/ee+sp/dp, $11.32/ee+ch, $13.03/family. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee LIFE INSURANCE Plan Type Basic American Basic Life Delta Basic Life United Basic Life Southwest Basic Life $50,000 FedEx Basic Life $800,000. Pilots may reduce coverage amount to $300,000, $400,000 or $500,000 to reduce imputed income Alaska 33 Basic Life Spousal Coverage Pilot Coverage $70,000; additional $105,000 payable if pilot dies prior to age 50 or after age 50 with no spouse (or married less than 12 months prior to death) $637,000 (2013, increasing to $656,000 in 2014 and $676,000 in 2015), with option to decrease to $50,000, $200,000, $300,000, $400,000 or $500,000 Hourly rate x 1,026, minimum $100,000 N/A Child Monthly Coverage Pilot Cost N/A None N/A N/A None $5,000; domestic partner (same sex only) also eligible $1,000/ child None N/A N/A N/A N/A N/A None N/A None $150,000 Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee None Plan Type Optional Pilot Coverage American Optional Choice of amount equal to Life 1/2 x (up to $35,000), 1 x (up to $70,000), 1.5 x (up to $105,000) x Basic Life amount, $200,000, $400,000, $600,000, $800,000, $1,000,000 Spousal Coverage $25,000, $50,000 or $100,000 Child Coverage $15,000 Monthly Pilot Cost - Age-rated/$1,000: Pilots: 16-24 $0.03; 25-29 $0.04; 30-34 $0.05; 35-39 $0.05; 40 - 44 $0.09; 45 - 49 $0.15; 50 - 54 $0.22; 55 - 59 $0.40; 60 - 64 $0.61; 65+ $1.09 Spouse: 16-24 $0.04; 25 -29 $0.05; 30 -34 $0.06; 35 -39 $0.06; 40-44 $0.11; 45-49 $0.19; 50-54 $0.31; 55-59 $0.49; 60-64 $0.76; 65+ $1.36 Child: $2.71 Delta Optional Life United Optional Group Variable Universal Life: From $10,000 $10,000/child - Age-rated/$1,000. 2008 (non-smoker/smoker): Under 30 1-14 x salary (book rate) in Life to $500,000 in through age 22 $.021/$.022; 30 -35 $0.030/$0.036; 36- 40 $0.037/$0.043; term insurance, max. $10,000 increments; provided either pilot 41- 45 $0.063/$0.072; 46-50 $0.095/$0.109; 51-55 $2,000,000, in increments of available to or spouse maintains $0.154/$0.181; 56-60 $0.237/$0.276; 61- 65 $0.350/$0.385; 1/2 x salary. Evidence of domestic partners coverage 66-70 $0.446/$0.480; 71 $0.764/$0.925 insurability required for amounts over $600,000. Optional side fund available for investment of after-tax dollars, as limited by law. Interest earnings are tax deferred until withdrawn. Up to $1,500,000 Alaska Optional Up to $300,000 in $25,000 increments Life FedEx Optional Increments of $100,000 to lesser of $1 million or 10 x Life compensation Up to $250,000. Up to $20,000 Same-sex domestic otherwise eligible partners eligible children of domestic partners eligible Up to $50,000 in $12,500 increments, limited to 1/2 of the optional life coverage purchased by pilot $25,000 $10,000 Birth - 6 months: $1,000; 6 months and over: $5,000 - Pilot (Active) only: age-rated/$1,000 (non-tobacco/tobacco): Under 30 $0.033/$0.043; 30-34 $0.040/$0.050; 35-39 $0.049/$0.059; 40- 44 $0.054/$0.064; 45- 49 $0.0.78/$0.098; 50-54 $0.118/$0.148; 55-59 $0.217/$0.267; 60+ $0.277/$0.347 - Spouse: $0.136/$1,000 (non-tobacco); $0.166/$1,000 (tobacco) - Spouse/Retiree: $0.378/$1,000 (non-tobacco); $0.468/$1,000 (tobacco) Dependents: $0.055/$1,000 - Age-rated/$1,000: Under 30, $0.029; 30-34 $0.035; 35-39 $0.044; 40- 44 $0.07; 45- 49 $0.104; 50 -54 $0.157; 55 -59 $0.253; 60 -64 $0.343; 65-69, $0.526 - Pilot: age-rated/$1,000 in 5-year brackets from $0.03 < age 25 to $1.65 at age 70 - Spouse: age-rated/$1,000 in 5-year brackets from $2.49 < age 40 to $38.66 at age 70 Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee 34 DISABILITY American Delta Plan Type Definition of Disability Short Term Waiting Period Short Unable to perform 8 days or Term major duties of exhaustion of sick Disability own occupation leave if later Short Term Inability to perform Disability own occupation United Short Term Disability No plan 7 days --- Benefit Period Pilot Cost None --- 50% x weekly pay based on 26 weeks highest consecutive 12 months of the last 36, coordinated with sick pay and Mutual Aid None Workers’ Comp payments received or due; state disability benefits received or due; retirement benefits received from the DAL or NWA pension plans Benefit $50/week 26 weeks --- Alaska Short Term Inability to perform None for accident; Disability own occupation 3 days or exhaustion of sick leave, if later, for illness --- 40% x weekly earnings up to $1,000/week. Additional 20% x weekly earnings up to $500/week my be purchased --- Plan Type American Long Term Disability (Effective for disabilities occurring on or after Oct. 1, 2012. Disabilities incurred in a prior period covered under terms of prior plan(s)) 35 Definition of Disability An illness or injury, verified by corporate medical director, that renders the participant unable to continue in the service of the employer as an airline pilot. Waiting Period Later of expiration of sick and vacation or 90 days after occurrence of disability Long Term (Page 1) Benefit 60% x average monthly compensation for previous 12 months (or highest calendar year of the previous 5 years, if greater), max. benefit of $8,000/month (less offets) --- 26 weeks $26/mo. for 20% buy-up only Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee Benefit Period Benefit Offsets Any compensation from the company, any group insurance coverage; any individual disability policies toward which any employer made a contribution; any pension plan to which any employer contributed; any federal, state or other governmental disability or retirement plan; auto no fault wage replacement benefits to the extent required by law; disability benefits under any group mortgage or group credit disability plan; disability payments resulting from the act or omission of any person whose actions caused the disability Pilot Cost Benefit Offsets For first 24 months: Pilot None For first 48 months: Worker’s Compensation, State Disability, unable to perform the duties Social Security Disability Income of his occupation. benefits (family) On and after 24 months: Pilot’s earned income less 48 months and after: add to offset than 80% of his above Earned Income predisability pay. The earlier of commencement of retirement benefits or attainment of normal retirement age under the retirement program. Benefits limited to 24 months/lifetime (including sick time and/or disability benefits) for disabilities related to chemical dependency and/or mental or nervous conditions. Benefits suspended during periods of furlough or in the event the pilot works for the Company in a capacity other than as a pilot. All payments stop at FAAmandatory retirement age. Plan Type Definition of Disability Long Term (Page 2) Waiting Period Delta Long Term Inability to exercise 26 weeks Disability First Class Medical Certificate as a result of injury, illness or disease, or Company determines that he does not meet the FAA standards for the issuance of a medical certificate. A recovered pilot who is unable to return to active status because his medical certificate application is pending may continue to receive benefits, even if not under a physician’s care, provided he has made the required disclosures in good faith and on a timely basis. United Long Term Effective 12/18/12, Disability ineligibility to exercise the privileges of the Required Medical Certificate, as the result of an injury or medical condition, including natural deterioration. Southwest Long Term First 24 months, Disability unable to perform one or more essential duties of occupation due to medical condition, monthly earnings are 80% less than pre-disability pay. After 24 months, unable to perform any occupation. Benefit Benefit Period 505 x FAE FAA-mandatory retirement age, limited to 30 months/event, 54 months/lifetime for disabilities related to Mental Health Substance Abuse (MHSA). Running of the 30/54-month limits suspended during any period the pilot is also disabled for a physical cause. Benefits continue during periods of furlough. Later of 90 days or exhaustion of sick leave to 120 hours, waived for special benefits payable for disabilities attributable to drug, alcohol or substance abuse if pilot participates in the HIMS/EAP treatment program. Exhaustion of additional sick leave at pilot’s discretion. Occupational - 60 days or, at pilot’s discretion, exhaustion of sick leave, if later. 50% x monthly earning, max $8,000/month (after offsets) 180 days 66 2/3% of earnings up to $18,750/month, max monthly benefit = $12,500 with a $50 min To mandatory retirement age, limited to 12 months/lifetime for disabilities related to alcohol or substance abuse. In the case of a pilot obtaining his medical certificate, benefits continue until the earlier of commencement of training or 15 days following the date the required medical certificate is regained. Benefits cease upon furlough or termination of employment. To age 65 Pilot Cost None 35% of cost. 2013 - pilot pays 1.38% of hourly rate (based on 85.5 hrs./mo.), company pays 2.58% (income imputed). Compensation considered is limited to $16,000/month. .087/$100 capped at $163.30 per month Benefit Offsets Retirement benefits paid from the qualified defined benefit plan, the nonqualified Bridge and Supplemental Annuity Plans and the Western Pilots D-Plan. For disability event dates after 11/11/04, also offset by annuity equivalent of the DC plan when first distributed, or age 62 if earlier. For pilots disabled after 6/1/2006, and pilots previously on disability who are still on the seniority list as of 6/1/2006, the following offsets will also apply: Workers’ Compensation, state disability income benefits (whether or not claimed), and income from other employment that exceeds the preoffset disability benefit payable. In the event of termination of the qualified or nonqualified defined benefit plans, the DB plan offset will be calculated based on the amount of retirement benefit that would have been paid had the plan not been terminated rather than the amount actually paid. Once the amount of the offset is calculated, it will be frozen. State disability or disability benefits under another employersponsored plan which are paid or payable; SSDI receive by pilot (excluding family benefits and subsequent changes to benefit unless the result of a determination error); sick pay paid by any Employer; any compensation (other than vacation and amounts under LOA 24) paid directly or indirectly by any Employer. Sick pay (amount that when combined with disability benefit exceeds 100% of pre-disability pay), Social Security, Workers’ Compensation, Pilot Loss of License, other employee based insurance, unemployment, mandatory no fault auto insurance. 36 Plan Type Alaska Definition of Disability Waiting Period Long Term Inability to perform own 6 months Disability occupation because of mental or physical impairment (including loss of license), including transfer to non-crewmember position or seat change. Long Term (Page 3) Benefit 50% of last full 12 months of eligible compensation. Credited service accruals continue while on disability for DB plan participants electing status quo and rebalance options. Applicable Company DC contributions continue during disability for DB plan participants electing the rebalance or voluntary soft freeze options as well as for new hires. Benefit Period Pilot Cost Benefit Offsets None Other income paid by the To age 65. If pilot disables prior to Company, not including normal retirement eligibility, then upon vacation pay, grievance eligibility, pilot will be given the choice settlements/awards, profit to receive normal retirement benefits, sharing, imputed income including his lump sum, or continue on or PISP contributions in disability retirement/LTD to age 65. excess of qualified plan Pilot must return to work for at least limits. 365 days before age 65 to be eligible to receive his lump sum. In no event, however, will the normal retirement benefit be greater than the disability retirement benefit unless the pilot’s accrued normal retirement benefit as of the date of disability was greater than the disability retirement benefit. Source: Airline CBAs as of 1 Nov 2013, APA Negotiating Committee American Delta United 37 Plan Type Eligibility RETIREE MEDICAL (PAGE 1) Benefit PreAge 50 Option 1: Plan 1 (lowest Medicare with 10 y/s deductibles); benefits Medical limited to $300,000/ lifetime (or remainder of active medical maximum, if less) through age 65. Annual restoration of $3,500. Option 2: POS - same plan as actives but with a $1 Million LTM PreNormal Medicare (age 60) Medical and early retirees (age 50+), and dependents per active pilot dependent eligibility Choice of same plans as actives until age 65, or DPMP until Medicare eligibility. Retiree Normal Health Account (RHA) Balance of individual RHA account, funded during active employment, to be used for reimbursement of eligible medical expenses of the pilot and eligible dependents. 2013 Option 1: Employee Only $461.96 Employee + 1 $923.93 Employee + 2 $1,385.89 Monthly Pilot Cost 2013 Option 2: Employee Only $667.94 Employee + 1 $1,335.87 Employee + 2 $2,003.81 - NR: 100% of the retiree premium (based on pool of retirees only), or 51% of DPMP retiree premium. Pilots electing COBRA may opt back in after expiration. - ER: 100% of retiree premium to age 60, thereafter, until age 65, 51% of DPMP retiree premium or 100% of premium for other plans. - 2013 retiree monthly premium (100%): DPMP & DPMP OOA $717.44/ea, ret+sp, $390.92/ch. Gold HRA & OOA $792.55/ea, ret+sp, $279.02/ch. Silver HRA $691.52/ea, ret+sp, $236.83/ch. Diamond HSA $790.62/ea, ret+sp, $252.44/ch. Ruby HSA $371.64/ea, ret+sp, $221.26/ch. - Dental: Preventive $11.41/ea, ret+sp, $21.41/ch. Comp & DeCare Dental $37.66/ea, ret+sp, $47.72/ch. - DPMP Comp: $38.60/ea, ret+sp, $48.93/ch. DPMP $42.70/ea, ret+sp, $51.35/ch. -Vision: $6.38/ea, retiree & sp, $5.74/ch. - N/A; funded during active employment with $1/hour of pilot pay. - Contributions than cannot be made to pilots’ DC plan due to 415(c) and/or 401(a)(17), and contributions attributable to forfeited vacation will also be contributed to pilot’s RHA. - N/A; funded during active employment with $1/hour of pilot pay. - Contributions than cannot be made to pilots’ DC plan due to 415(c) and/or 401(a)(17), and contributions attributable to forfeited vacation will also be contributed to pilot’s RHA. Southwest Alaska FedEx Plan Type RETIREE MEDICAL (PAGE 2) Eligibility Benefit Monthly Pilot Cost Pre- Early retirees same - 100% of cost. Retired pilots age 55 or older, Medicare 15 yrs required for pilots retiring plan as active - Sick leave may be traded for coverage (1 month of coverage Medical prior to age 60 for each 10 Trips For Pay accrued). plan C. - Normal retirees same plan as active. PreAge 45 with 60 months of Medicare service (including periods while Medical on LTD), and dependents per active pilot dependent eligibility. Upon pilot’s Medicare eligibility, dependents may continue until the earlier of (1) 65 months, or (2) date spouse reaches age of Medicare-eligibility, or (3) the date spouse becomes covered under another plan without pre-existing condition limits. If spouse’s other coverage contains preexisting condition limits, plan may be continued and will pay as secondary until preexisting condition limitation period ends. All retirees age 55 or older, with PreMedicare 10 y/s if hired before 1/1/88 or Medical 20 y/s if hired on or after 1/1/88, or age 60 with at least 5 years continuous service prior to age 60, and dependents per active pilot dependent eligibility. Same plan as actives until Medicare eligibility. 50% of group rate. - 2013 pilot contributions: PPO: Med only $274.84/ee only, $549.67/ee+sp, $467.23/ee + ch, $742.07/family. - Med/Den: $300.38/ee only, $600.78/ee+sp, $510.66/ee+ch, $811.05/family. - Med/Den/Vis: $302.80/ee only, $605.62/ee+sp, $514.79/ee+ch, $817.58/family. - Med/Vis: $277.26/ee only, $554.51/ee+sp, $471.36/ee+ch, $748.60/family. - HDHP/HSA: Med only $231.08/ee only, $460.31/ee+sp, $384.62/ee+ch, $636.89/family. - Med/Den: $256.62/ee only, $511.42/ee+sp, $428.05/ee+ch, $705.87/family. - Med/Den/Vis: $259.04/ee only, $516.26/ee+sp, $432.18/ee+ch, $712.40/family. - Med/Vis: $233.50/ee only, $465.15/ee+sp, $388.75/ee+ch, $643.42/family. 2013: Base Plan $363/ee, $377/sp, $45/ch. Buy-Up Plan Same plans as $397/ee, $412/sp, $55/ch. actives, plus High - High Ded Plan $104/ee, $108/sp, $25/ch (HMOs available). Deductible Plan Dental Base $31/ee or sp each, $23/ch only. Dental Buy-Up option, until Medicare eligibility. $39/ee or sp each, $30/ch only. Vision $8/ee, $13/sp, $14/ch. Rates combined as appropriate. $25,000 deposited to VEBA Lifetime max on for pilots with a seniority number on 8/25/06, age 53 before benefits applies in 1/1/07, and expected to meet eligibility requirements for High Deductible retiree health. HRA access at later of age 59 or retirement. Plan. - COBRA 2013 Base Plan $789.94/ee, sp/dp or ch only, $1,579.88/family. - Buy-up Plan $824.62/ee, sp/dp or ch only, $1,649.24/family. - High Ded Plan $545.73/ee, sp/dp or ch only, $1,091.46/family. - Dental Base $51.18/ee, sp/dp or ch only, $102.363/family. - Dental Buy-up $58.85/ee, sp/dp or ch only, $117.72/family. -Vision $9.18/ee, sp/dp or ch only, $20.40/family. 38