A lawsuit filed by US Airways Inc. pilots against the Pension Benefit Guaranty Corp. and the airline in November 2003 over pension benefits was ordered dismissed today in the U.S. Court of Appeals in Washington, according to court documents. The appeals court sent the lawsuit back to a lower federal court with instructions to dismiss the suit because the pilots had not yet exhausted all administrative remedies.
The suit claimed that the PBGC had miscalculated the pension benefits due to the pilots when the company filed for Chapter 11 bankruptcy protection in August 2002, significantly decreasing their benefits. It also claimed the PBGC missed a three-year deadline to make a final benefit determination. However, during the appeal, attorneys representing the PBGC said the benefit determinations would be completed over the course of the next few months. Gary Pastorius, a PBGC spokesman, declined to comment.