United Airlines' flight attendants union today filed a notice with the U.S. Bankruptcy Court in Chicago that it will appeal the court's approval of the airline-PBGC agreement to terminate the flight attendants' pension plan, said Sara Nelson Dela Cruz, spokeswoman for the Association of Flight Attendants-CWA, AFL-CIO. She said the appeal will go before U.S. District Court in Chicago; no timetable has been set.
United's agreement with the PBGC also calls for the airline to terminate its other pension plans, all of which have combined assets of roughly $7 billion and $16.8 billion in liabilities.
"The PBGC said our plan ‘can and should be maintained' beyond an exit from bankruptcy, only to suddenly reverse itself and agree to terminate our plan. Now they are going to have to explain their turnabout to the court," said Greg Davidowitch, president of the flight attendants union's Master Executive Council for United, in a statement.
Jean Medina, United spokeswoman, did not immediately return a call seeking comment.
