Dear Sisters and Brothers, 
                                                    
I am writing you to discuss the Tentative Agreement the District 141 Negotiating Committee recently negotiated with US Airways on your behalf.

US Airways Tentative Agreement

A great deal has transpired in our industry since the previous Tentative Agreement was reached last August. One only needs to read a newspaper or watch the evening news to be reminded of our failing economy and its devastating impact on our industry. Airline workers do not need economists to tell us we are in a recession. In the seven days prior to reaching our Tentative Agreement three airlines, Aloha Airlines, ATA and Skybus shut down their entire operations forcing thousands of airline workers, many IAM members, unexpectedly out of work.

Oil prices have increased by 52.6% since the previous Tentative Agreement was reached last August. US Airways stock is now worth one third of its Aug 10th value. These combinations of forces are the reason your profit sharing checks for 2007 are so much smaller than what you expected. The IAM does not care about how these figures impact executive stock awards, but we do care about how the stock’s performance and fuel prices affect the company’s ability to attract the investors and capital necessary to maintain its operation. Aloha Airlines went out of business last week because they could not find someone willing to invest the funds it needs to run its business, and that is something we do not want to see repeated at US Airways.

 

The August 2007 Tentative Agreement was reached with the concern that the negative economic forces being experienced today were on the horizon and bearing down like a freight train. Unfortunately, we were unable to adequately convey the sense of urgency to the membership.       

Our message was lost in the justifiable anger, frustrations and emotions stirred by company delay tactics and two painful trips through bankruptcy. That vote was the first opportunity that many of our members had to finally express their anger toward the carrier for reaching into our pockets to fund huge bonuses for the airline’s executives. That message was received by US Airways management.

With that message having been effectively delivered, I urge you to set the anger and emotions aside and focus on what is best for you and your family today. That can only be accomplished by disregarding rumor and getting the facts before making an informed decision. The same facts that your Negotiating Committee confronted at the bargaining table will be presented to the membership at local informational meetings. You will also be able to ask your negotiators questions at these meetings, so I strongly recommend attending before determining how to vote to protect you and your family’s best interests.

I have been negotiating airline contracts for more than thirty years and have never seen a more difficult and challenging environment. The effects of 9-11, oil prices going through the roof, mergers, bankruptcies and a failing economy have created the perfect storm. But in spite of all of this, we have succeeded in bringing our ship through this storm.

Your District 141 Negotiating Committee has used all of the IAM’s resources to reach this Tentative Agreement in a very hostile environment. Your Committee believes that this agreement is worthy of your consideration and recommends ratification. Are we satisfied with this agreement? Hell no! We always strive to get the most we can, and then try for more. But we have an opportunity to provide immediate gains to all Fleet Workers nearly two years before our normal amendable date, and that cannot be ignored.

This agreement puts IAM members in position to enter the next round of bargaining stronger in both economic issues and job security. In that round of traditional bargaining we will have the leverage of our right to strike to achieve our goals, a right we don’t have today. As a reminder, this Tentative Agreement was only possible because of an opportunity afforded by the US Airways-America West merger. The current US Airways East agreement is not amendable under traditional Railway Labor Act bargaining until the end of 2009. Therefore, we have no right to strike until the negotiating process that won’t even begin until late 2009 has run its course.

US Airways has clearly stated to your Committee that if this agreement is not ratified they will not enter into any further bargaining for contract improvements until they are required to do so when the East agreement becomes amendable. They will only consider a straight transition of West employees into the existing East agreement, with no improvements for East employees. This is important to understand when deciding how to vote. Your Committee had to confront the same reality at the bargaining table.

Rarely do airline mergers provide for improvements to workers and fair and equitable seniority integration, but the one you are voting on does. Flight Attendants and Pilots are still struggling to reach agreements and realize the improvements in the Tentative Agreement being presented to you.

Your Committee believes this is an agreement worthy of your consideration. As always, the membership will make the final decision. You have an opportunity that tens of thousands of airline workers who have endured bankruptcy wish they had - an opportunity to regain some of what was lost.  I am confident that whatever choice the membership makes will be in their best interests. I assure you that the membership’s decision will have the full support of the entire Machinists Union. That is what democracy in the IAM is all about – the power rests with the membership.

Your solidarity and support throughout this process has been astounding and will be necessary as we face the industry’s uncertain future together.

With best wishes, in your behalf, I remain,

fraternally,

S.R. (Randy) Canale
President & Directing General Chairman

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April 9, 2008 5:15 p.m. EDT

District 141 Reaches US Airways Agreement

To All IAM Members Employed by America West/US Airways

Dear Sisters and Brothers,

Printable Version

Your District 141 Negotiating Committee today reached a tentative agreement with US Airways which will be presented to the membership for consideration.

The District 141 Negotiating Committee is recommending ratification of the tentative agreement which would bring US Airways and former America West Fleet Service employees under the same wages and work rules for the first time since the merger of the two airlines in September 2005. The agreement, if ratified, will be effective through December 31, 2011.

“Combining two distinct airline cultures has proven enormously difficult in the past,” said IAM General Vice President Robert Roach, Jr. “District 141 has taken a major step toward integration by successfully negotiating a single contract for employees currently working under two separate agreements and from two different airline cultures.”

We have achieved our goal of eliminating the East and West division among Fleet Service employees without negatively impacting either group. This agreement allows all our members to see immediate and long-term improvements as a unified workforce.”

Details of the agreement will be available at www.iam141.org after they are presented to local IAM leaders on Friday, April 11, 2008. An information meeting schedule and a ratification date will also be available at that time.

Fraternally,

S.R. (Randy) Canale
President & Directing General Chairman

Dan Zuger	Jeff Rusk	Mary Reed
Bill Chandlee	John Mendenhall	Pat Flynn
Ron Roth	Steve Miller	Mark Wingard
Gil Simmons	Nate Gushi

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April 7, 2008 8:55 p.m. EDT

US Airways Update

To All IAM Members Employed by US Airways

We are waiting for the Company to complete a financial evaluation of our last proposal. We expected this review to be completed by this evening. However, we have been advised by the Company that it will not be completed until sometime tomorrow.

We will keep you advised as events unfold.

Sincerely and fraternally,

S.R. (Randy) Canale
President & Directing General Chairman

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March 21, 2008

US Airways Transition Negotiations Reconvene

To: All IAM US Airways Fleet Service Members

Printable Version

Dear Sisters and Brothers:

Your District 141 - US Airways Negotiating Committee will return to the bargaining table on March 31st, April 1st, 2nd, 3rd, and 4th, 2008 in Phoenix, AZ.

Your District Lodge Negotiation Committee is determined to bring these discussions to a fair and equitable conclusion for all members we represent.

We will keep you advised as our discussions with US Airways proceeds.

Sincerely and Fraternally,

S.R. (Randy) Canale
President & Directing
General Chairman

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March 12, 2008

Machinists, US Airways Reach Mechanic Accord

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March 3, 2008

IAM District Lodge 141 Negotiating Committee Response to VP Hemenway Letter to Employees

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February 27, 2008

US Airways Displays True Colors Toward Fleet Service Workers

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February 7, 2008

US Airways Transition Negotiations Reconvene

Dear Sisters and Brothers:

Printable Version

Your District 141 - US Airways Negotiating Committee will return to the bargaining table on February 26th, 27th, 28th, 2008 in Philadelphia, PA.

This next negotiation session could very well determine the final outcome of these transition negotiations.

Your District Lodge Negotiation Committee is determined to bring these discussions to a fair and equitable conclusion for all members we represent.

We will keep you advised as our discussions with US Airways proceeds.

Sincerely and Fraternally,


S.R. (Randy) Canale
President & Directing
General Chairman

AGC Bill Chandlee	AGC Pat Flynn	AGC Nate Gushi
AGC Jeff Rusk	AGC Mark Wingard	VP Steve Miller
Mike Fairbanks (CLT)	David Hall (PIT)	John Mendenhall (LAS)
Mary Reed (MCI)	Ron Roth (PHX)	Gil Simmons (PHL)
Danny Zuger (BWI)

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February 1, 2008

USA Profit Sharing

TO: All IAM Fleet Service Members Employed by US Airways

Dear Sisters and Brothers:

Printable Version

The announcement by US Airways of their reported profits for the year of 2007 is due in no small part to the employees of US Airways. The announcement also triggers, under our 2005-2009 IAM/USA Fleet Service Agreement (Article 30/Compensation), provisions that provide compensation in the form of Profit Sharing payments for eligible IAM/USA Fleet Service employees for the year 2007 as negotiated by your District 141 Negotiating Committee.

We have been advised by the Company that we should anticipate profit sharing checks to be distributed by approximately mid-March.

We will further update you as additional information is provided.

Fraternally,

S. R. (Randy) Canale
President & Directing
General Chairman

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January 25, 2008

US Airways Labor Coalition

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January 25, 2008

US Airways Transition Negotiations Resume

To: All IAM US Airways Fleet Service Members

Dear Sisters and Brothers:

Printable Version

Your District 141 - US Airways Negotiating Committee returned to the bargaining table this week in Phoenix, AZ. since we last met, the membership rejected a tentative agreement and an arbitrator ruled against us in the Change In Control grievance. Additionally, the bargaining has changed.

The company's presentation began with a review noting a downturn in the economy (recession) and that US Airways stock has lost more than half its value since August 10, 2007, the date we reached the tentative agreement in mediated talks in Washington D.C. Over the last 12 months US Airways stock has plummeted from 62.50 a share to 13.14 a share. Although US Airways posted a third quarter 2007 profit of 185 million dollars, it was 76 million dollars less than the previous quarter, and a fourth quarter 2007 net loss of 79 million dollars, with a net profit for 2007 of 427 million dollars, down approximately 80 million dollars year over year (we advised the company IAM Fleet Service Members will be eligible to receive 2007 profit sharing in accordance with our current contract). With that, the company then submitted its post “Change in Control" proposal to your negotiating committee, reflecting a substantial reduction in value from the rejected tentative agreement.

One thing that has not changed since we were last at the bargaining table is that we are still negotiating in an anti-labor environment promoted by the most hostile presidential administration in our lifetime. I am reporting these facts so the membership is aware of the atmosphere surrounding the resumption of negotiations.

The financial condition of US Airways and the industry are not the only things that have changed. As a result of recent local lodge elections, the make up of your negotiating committee has been adjusted. The current negotiating committee members are Randy Canale (DL 141 President), AGC Bill Chandlee, AGC Pat Flynn, AGC Mark Wingard, AGC Jeff Rusk, AGC Nate Gushi, Dl 141 VP Steve Miller (BOS), DL 141 Trustee Danny Zuger (BWI), John Mendenhall (LAS), Ron Roth (PHX), Mary Reed (MCI), Gil Simmons (PHL), Mike Fairbanks (CLT), and Dave Hall (PIT).


Supporting the negotiating committee will be a team of Grand Lodge Representatives, attorneys from our Legal Department and members of the IAM's Strategic Resources Department.

Your negotiating committee is aware that the previous tentative agreement was not acceptable to the membership. It is our goal to improve upon that agreement so we can move forward as a unified work force with fair and equitable wages, improved benefits, secure pensions and job security for everyone with no more sacrifice involved. In exchanging proposals with the company, our proposal in fact reflected those goals. However, it is crucial that the membership understands that the IAM and US Airways are not engaged in traditional negotiations. These transition negotiations were prompted by the US Airways-America West Airlines merger and the necessity to have everyone in a particular employee group working under a common agreement. Therefore, we have no option to strike if we are unable to reach a ratified agreement. Our negotiations recessed to review our respective proposals and the membership will be updated when we return to bargain. Your negotiating committee is seeking a timely conclusion to these negotiations.

The option to strike will not be available until we complete the prolonged negotiating process prescribed in the RAILWAY LABOR ACT, the law governing airline labor negotiations. This process will not start until the end of 2009 (November) and since there is no timetable for negotiations called for in the ACT, it can take years from that point before a strike can occur.

To achieve our stated goals, the membership's solidarity is the most important element to our success in providing contract improvements to all IAM members in these negotiations. If we can stand together, we can accomplish our goals. If the membership is divided...US Airways wins.

Sincerely and Fraternally,

S.R. (Randy) Canale
President and Directing General Chairman

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January 23, 2008

Press Release Source: US Airways Labor Coalition

US Airways' Employees Unite, Warn Management to Dump Anti-Labor Tactics

Wednesday January 23, 8:30 am ET

PHOENIX, Jan. 23 /PRNewswire/ -- For the first time in the history of the new US Airways (NYSE: LCC - News), labor groups representing approximately 30,000 union members at the airline have joined together in a coalition to demand that management complete the merger that began nearly three years ago. Specifically, management needs to adhere to current labor contracts and reach new collective bargaining agreements that improve the wages, benefits and working conditions of US Airways employees. The following is a statement from the newly formed US Airways Labor Coalition, which includes the union leaders for the pilots, flight attendants, customer service representatives, dispatchers, fleet service workers, mechanics, and all other labor groups at US Airways.

"US Airways management failed to work with labor from the beginning of this merger and has continued this practice for nearly three years, leading us to where we are now-a once promising airline with a plummeting stock price, consistent rankings at the bottom of the industry, and disgruntled employees. Instead of addressing the myriad of problems, management has done nothing but issue excuses to our investors, passengers and employees. The lack of leadership and know-how displayed by this management team is appalling and has forced us to take action.

"US Airways employees want to complete this merger, take advantage of the cost-saving synergies that it created, and live up to the expectations that management promised us, our investors and our passengers. The US Airways Labor Coalition will help us achieve our goals by creating a strong, unified voice for labor that management cannot ignore.

"With so much talk of future airline consolidation, we urge management teams across the industry to learn from the mistakes of US Airways' management and work with labor before, during and after the merger process. We have also put our own management team on notice that if they plan to participate in a future transaction, they must throw out their anti-labor tactics and work with us to succeed."

The US Airways Labor Coalition represents approximately 30,000 employees from the two merged carriers- America West and US Airways. The pilots are represented by the Air Line Pilots Association, Int'l. (ALPA). The flight attendants are represented by the Association of Flight Attendants-CWA (AFA- CWA). The customer service representatives are represented by the Airline Customer Service Employee Association-IBT/CWA. The fleet service, mechanic and related, and maintenance training specialist employees are represented by the International Association of Machinists and Aerospace Workers (IAM). The dispatchers, flight crew training instructors and simulator engineers are represented by the Transport Workers Union of America (TWU).

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