United Retired Pilots Benefit Protection Association

Last Updated April 28, 2009 9:09 pm mdt (Update)

On Site Links Information and Membership Request FAQ 2 10/30/04 Frequently Asked Questions Legislative Alerts Documents Policy statement link Off Site Links Denver Post Chicago Tribune San Francisco Chronicle Other News General links MOVED? PHONE or E-MAIL CHANGED? Please let URPBPA know the changes by using this Information and Membership Request link. About URPBPA	WEBSITE UPDATE 4-28-09 Dear Fellow URPBPA Member, URPBPA has received the communication below from the UAL-MEC. It was sent to all United pilots by the UAL-MEC R & I Committee. As noted in the letter, the Pension Benefit Guarantee Corporation (PBGC) is revising the allocation of the $1.5 billion that the PBGC received from United Airlines as part of the settlement agreement that resulted in the PBGC terminating the United Airlines Pilots Defined Benefit Pension Plan on December 30, 2004. This change could result in an increased monthly payment to URPBPA members who are receiving their pension payment under the provisions of PC-3. At this time there is no way to calculate the amount of the increase in benefits to PC-3 recipients, but it is likely that it will not be a substantial amount. The issues that caused the PBGC to revise its allocation process are ones that URPBPA�s attorneys felt should be investigated once the PBGC issues it �Final Determination Letters (FDL)� to retired pilots. There may still be additional issues that our attorneys feel should be examined once the letters are reviewed. It appears that the PBGC has moved the timeline for issuing the �FDLs� to the middle of 2010. While this may raise questions among URPBPA�s members, there is no additional information available at this time. URPBPA will post updates on this and other matters as events unfold. ************************************************************** April 24, 2009 Dear Fellow Pilot, We recently reported to the MEC on the progress of our discussions to date with the PBGC. Our discussions have centered on the way the PBGC split up its UAL bankruptcy recovery among its various bankruptcy claims and among the four terminated UAL defined benefit pension plans. The Committee reported that, following the discussions, the PBGC increased by approximately $220 million the portion of the recovery that it will share with participants in the pilots� A Plan. We estimate that participants� share of this increased amount will total approximately $116 million. The change the PBGC has made also helps participants in the three non pilot plans. The PBGC has increased the portion of the recovery that it will share with participants in the IAM plan, the AFA plan, and the MA&PC plan by $235 million, $161 million, and $198 million respectively. We estimate that participants� shares of these increased amounts will total approximately $66 million for the IAM plan, $22 million for the AFA plan, and $60 million for the MA&PC plan. Our efforts began in the spring and summer of 2008. The MEC, based on the recommendation of the R&I Committee and staff, retained the Washington, D.C. law firm of Keightley & Ashner LLP to reach out to the PBGC to discuss ALPA�s concerns about the way the bankruptcy recovery was divided up. The firm specializes in PBGC matters and includes a former PBGC General Counsel, Assistant General Counsel and Deputy General Counsel. Our discussions with the PBGC are ongoing. The additional money for the pilots� A Plan will benefit those pilots�active and retired�whose benefits were in ERISA Priority Category 3 as of December 30, 2004 (the date the pilots� A Plan terminated) and whose PC-3 benefit was not fully guaranteed by the PBGC. The Committee, with Keightley & Ashner, will continue to explore other issues affecting the PBGC�s trusteeship of the terminated pilots� A Plan. We will communicate further as additional information becomes available. UAL-MEC Retirement & Insurance Committee Website Update 01-28-09 Dear Fellow URPBPA Member, URPBPA has received information that may be of interest to some of our members. The US Congress has revised several provisions of the US Tax Code concerning Roth IRA�s for employees and retirees of airlines that have gone through bankruptcy. This had been signed by the President and is now current law. It is possible that some of these revisions could be helpful to our members who received Court ordered bankruptcy settlement payments. The bill that was passed is referred to as H.R. 7327. Consistent with URPBPA�s position from its inception, URPBPA is not able to give tax advice to our members. This information is brought to your attention so that, if you are interested, you may discuss it with your tax advisor or tax attorney. As is usual with Federal laws, there are many restrictions and limitations on the recently passed provisions. This is why an in depth discussion is necessary with your tax advisor or attorney concerning the revisions and their applicability to each members particular tax situation. URPBPA does not have any additional information concerning the changes to the law and its applicability. WEBSITE UPDATE 10-03-08 The United Retired Pilots Benefit Protection Association (URPBPA) has received information from the Pension Benefit Guarantee Corporation (PBGC) that they expect to complete the calculations of the amount of payments retired pilots will collect into the future, sometime near the end of the second quarter of next year. But keep in mind that this is just their estimate, and they have revised their estimated timetable several times already. The Final Determination Letters will be mailed to retired pilots after the calculations are completed and reviewed. When you receive your Final Determination Letters, please notify URPBPA via e-mail so we will be aware of that fact. Retired pilots are reminded that once the PBGC mails the Letters, you have only 45 days to file an appeal with the PBGC if you believe that the PBGC�s determinations are incorrect. Courts have ruled that the first step in objecting to the PBGC�s determinations must be an appeal to the PBGC. WEBSITE UPDATE 04-09-08 In our last report to you, we stated that you would not be hearing from the Board until we had something of substance to report. There is little of substance to report at this time, however, the Board of Directors felt that we should bring you up to date on the limited activity since we last updated the website. URPBPA�s only area of activity during 2007 was to continue to request information from the Pension Benefit Guaranty Corporation (PBGC) that would allow us to determine if the PBGC, in their final determinations, will be treating the retired pilots, as a group, properly. We have received some of the requested information from the PBGC and we are awaiting additional documentation that the PBGC is still completing. URPBPA�s legal team and advisors will not be able to complete their evaluation of the PBGC�s actions until they issue their �Final Determination Letters� to retired pilots. The latest information from the PBGC indicated that they were planning to begin issuing these letters in the latter part of this year. URPBPA�s attorneys will continue to request the necessary documentation through the Freedom of Information Act (FOIA) provisions. As soon as we have something of substance to report, the Board will communicate that information to you. WEBSITE UPDATE 4-24-07 The Seventh Circuit Court of Appeals has reversed Judge Darrah�s decision that retired United pilots should receive their non-qualified pension benefits for the months of November and December 2005, and January 2006. United Airlines had appealed Judge Darrah�s decision to the Seventh Circuit. The United Retired Pilots Benefit Protection Association (URPBPA) and the Air Line Pilots Association filed briefs opposing United�s appeal. The Seventh Circuit decided the matter without holding oral arguments. The Seventh Circuit had ruled in a previous decision that the pension plan was terminated on December 30, 2004 and that United was not required to make any payments after that date. URPBPA appealed that decision to the United States Supreme Court, but the appeal was denied. Accordingly, there can be no further appeal of the current decision. The payments that Judge Darrah ordered will not be made and the funds held in escrow to make these payments will be returned to United. A copy of the Seventh Circuit Court�s decision can be read by clicking this link. WEBSITE UPDATE 04-09-07 FICA PAYMENTS: The United Retired Pilots Benefit Protection Association (URPBPA) has received inquiries concerning the FICA payments for the non-qualified portion of their pension that were deducted from retirees� paychecks at the time of their retirement. The FICA payments were deducted from the first checks that retired pilots received upon retirement to cover the FICA obligations over the retirees� lifetime. Most of the inquiries ask if URPBPA will be doing anything to pursue repayment of any excess FICA amounts. With the termination of the United Airlines Pilots� Defined Benefit Pension Plan, the non-qualified payments have ceased without retirees receiving all of the benefits for which FICA taxes were paid. United has publicly stated that they do not intend to pursue the refund of the excess FICA payments. URPBPA was established to protect the negotiated benefits of retired pilots. These negotiated benefits included retirees� pensions, and medical and life insurance. The refund of excess FICA payments is not a negotiated benefit. Additionally, URPBPA has consistently advised its members that URPBPA cannot give tax or financial advice. With each retiree�s tax situation being different, it just is not possible for URPBPA to provide accurate tax or financial information to our individual members. Now that the United States Supreme Court has refused to hear our appeal concerning the termination of our Defined Benefit plan, URPBPA�s Board of Directors has investigated the overpayment issue. We have consulted with various legal experts about the process and what would be required to make a claim with the IRS. After these investigations, URPBPA has reached the conclusion that while there is a general underlying issue of excess payments, each retiree�s situation is different. Pilots retired on different dates, paid differing amounts of FICA, and received the non-qualified payments for varying amounts of time. Because of these variations and various privacy issues, the IRS would not allow a blanket filing to cover the portion of our 3,500 members who may have paid excess FICA. This means that any overpayment would have to be pursued for each member individually. The time, effort, and money that would be required to pursue this on behalf of each affected member is far beyond the capability of URPBPA and is not in keeping with URPBPA�s basic position that it cannot provide tax or financial advice to our members. Therefore, URPBPA�s Board of Directors has concluded that it will not be possible for URPBPA to pursue the issue of the excess FICA payments for our members. Retired pilots who wish to pursue the excess payments from the IRS should work with their individual tax advisor or tax attorney. These experts can provide the most accurate advice on what method, if any, would be best for obtaining a refund, a tax credit, or a deduction for the overpayments. Advice from experts such as these would also provide the best protection for avoiding problems with the IRS. WEBSITE UPDATE 04-02-07 The United States Supreme Court announced on 4-2-07 that they have denied the United Retired Pilots Benefit Protection Association�s (URPBPA) petition for Certiorari seeking review of the Pension Benefit Guaranty Corporation�s termination of the United Airlines Pilot�s Defined Benefit Pension Plan. The Court also denied a similar petition submitted by the Air Line Pilots Association. URPBPA�s Board of Directors is evaluating what, if any, options remain. WEBSITE UPDATE 2-12-07 During the Section 1114 negotiations in 2004 over United�s proposed changes to the Retirees Medical Insurance Plan, the United Retiree Life Insurance Plan (Death Benefit) was terminated in return for lower medical premiums and no drug co-payment increases. United has notified some retired pilots that they can again enroll in this United Retiree Life Insurance (to some unspecified level of coverage) if they agree to waive their right to participate in the United Retiree Medical Plan. It appears that United has limited this offer to those retired pilots who are enrolled in the Tri-Care For Life Military Insurance Plan and who have suspended their coverage in the United Retiree Medical Plan under the Plan's Voluntary Suspension Opportunity Program. URPBPA's attorneys have found that while United has the right to make this offer, it is essential that retired pilots consult with their advisors to determine if acceptance of this offer is in their best interest. Among other issues, you must determine whether Tri-Care for Life Insurance will remain an acceptable replacement for the UAL Retiree Medical Plan. Retired pilots who receive this proposal from United should take into consideration that it is likely that United has completed a financial analysis of this option and concluded that if retirees accept this offer it will reduce United's costs. But United has not shown retirees that their costs for future medical expenses, which may arise from the cancellation of their right to the United Retiree Medical Plan, will be outweighed by the life insurance benefits to be received. Considering how United has treated retired pilots since the bankruptcy began, it is doubtful that United is making this proposal out of its concern for the retirees' welfare. Remember that once the United Retiree Medical Insurance has been canceled, it can never be reinstated! WEBSITE UPDATE 1-24-07 The United Retired Pilots Benefit Protection Association (URPBPA) filed a petition for a writ of Certiorari with the Supreme Court of the United States on January 23, 2007. The petition requests that the Court review the decision of the Seventh Circuit Court of Appeals that allowed the Pension Benefit Guaranty Corporation (PBGC) to terminate the United Airlines Pilots� Defined Benefit Pension Plan. The filing also requests review of the Seventh Circuit�s decision that United Airlines would not be required to pay the retired pilot�s non-qualified pension benefits for the month of October 2005. The PBGC and United Airlines will have 30 days to respond to URPBPA�s filing. There is no specified time for the Court to issue its decision on accepting the case for review and the Court is not required to give any reasons for their decision to review or not review the case. URPBPA will post additional information on the Court�s consideration of our request as it becomes available. A copy of URPBPA�s filing may be viewed by clicking on this link. WEBSITE UPDATE 12-30-06 The United Retired Pilots Benefit Protection Association (URPBPA) has had discussions with the United Benefits Service Center about United�s failure to mail 2007 medical insurance plan payment coupons to the retired pilots. The representative at the Benefits Service Center stated that the January 2007 payment coupons would be mailed approximately January 5, 2007. They also said that there would be a forty-five day grace period for the January payment. The reason given for the delay was that the payments amounts for many retirees will change with the January payment and it was taking longer than normal to process the revised coupons. URPBPA�s attorneys are seeking to verify this information with United. While URPBPA cannot vouch for the accuracy of this information at this time, we felt it would be helpful for retirees to know what the Benefits Service Center is telling those who call and ask about the January payment. URPBPA strongly suggests that retirees make the January 2007 payment as soon as they receive the coupon from United in order to avoid United canceling their medical insurance coverage. Retirees who have their payments automatically made from an account should also check with their financial institution and the Benefits Service Center to insure that the proper amount is paid for January 2007. Website Update 12-21-06 The United Retired Pilots Benefit Protection Association (�URPBPA�) has received inquiries from some of its members about the issues URPBPA will raise in its petition to the United States Supreme Court. The petition, to be filed next month, will ask the Supreme Court to review whether the termination of the United Pilot Defined Benefit Plan (the �Pilot Plan�) was lawful. It has been and continues to be URPBPA�s position that the court order terminating the Pilot Plan should be reversed and that retired pilots are entitled to all pension benefits owed but not paid to them. The inquiries from some URPBPA members question whether the Supreme Court petition should raise issues as to the propriety of the pension replacement benefits received by active pilots under the United bankruptcy reorganization plan in accordance with United�s collective bargaining agreement with the Air Line Pilots Association (�ALPA�). Specifically, the inquiries concern whether ALPA was lawfully �released� from claims retired pilots may have against ALPA in connection with the pension replacement benefits the active pilots received. URPBPA has vigorously objected to the United-ALPA agreement and has litigated against ALPA and United on the issue of whether ALPA should have received pension replacement benefits free and clear of the claims of retired pilots. URPBPA has expended considerable resources in that litigation before the bankruptcy court, the federal district court and the Seventh Circuit Court of Appeals. The Seventh Circuit decided the issue in March 2006. It approved the United-ALPA agreement and the receipt of pension replacement benefits by active pilots to the exclusion of the retired pilots. URPBPA did not stop there. In June 2006, URPBPA petitioned the United States Supreme Court to review the Seventh Circuit�s decision as to whether retired pilots had a valid claim against ALPA. In September 2006 the Supreme Court decided that it would not review. This affirmed the Seventh Circuit�s decision to allow ALPA to negotiate improvements for active pilots, while not providing any replacement benefits to retired pilots. URPBPA had also challenged the provision of the United bankruptcy plan which released or �exculpated� ALPA from liability for matters related to the bankruptcy. URPBPA litigated against ALPA on this issue before the bankruptcy court, the federal district court and the Seventh Circuit. URPBPA pointed out several decisions by courts that had disapproved of releases in bankruptcies of parties, such as ALPA, who are not the debtor the bankruptcy action is designed to protect. In October 2006, the Seventh Circuit issued its decision. The court found that, as it had already been decided that retired pilots had no claim against ALPA for the benefits it received under the United-ALPA agreement and that the question of whether ALPA was properly released from potential claims was purely �academic� and need not be decided. Even though URPBPA strongly disagrees with the rulings in favor of ALPA and with ALPA�s actions during the United bankruptcy, the fact remains that the bankruptcy court, the federal district court, the Seventh Circuit and the U.S. Supreme Court have decided that ALPA was entitled to the pension replacement benefits and that retired pilots have no claim against ALPA arising out of its agreement with United. Accordingly, it would not seem prudent to expend the limited financial resources of URPBPA in pursuing this issue further. URPBPA will continue to pursue its position that the Pilot Plan should not have been terminated. URPBPA will ask the Supreme Court to review the issue in an effort to restore the pension payments that URPBPA believes have been wrongfully withheld from retired pilots. WEBSITE UPDATE 12-02-06 On November 30, 2006, Federal District Court Judge John W. Darrah ordered that the funds previously set aside for the October, 2005 non-qualified pension payments to retired pilots be released back to United. Judge Darrah stated in his decision that the order from the Seventh Circuit Court of Appeals that reversed his decision ordering UAL to make the October payment left him no option but to release the funds. All aspects of the pension issue, including the requirement for United to make non-qualified payments, will be addressed in URPBPA�s petition to the U.S. Supreme Court. URPBPA�s petition will be filed in January, 2007. WEBSITE UPDATE 12-02-06 #2 Effective January 1, 2007, the cost of the United Airlines Retired Pilots Medical Plan will change for many plan participants. It is vitally important that the payment you make for January 1, 2007 reflects the revised cost of the plan you have chosen. If your payments are made automatically from your checking or other accounts, you may need to instruct your financial institution to adjust the payment amount. United has taken the position that if your payment is not received by the end of the grace period, in the exact amount due, they will permanently cancel your retiree medical coverage. IT WILL NOT BE REINSTATED! Make certain that you have taken the proper steps to insure that you coverage is continued. WEBSITE UPDATE 11-18-06 A three judge panel of the Seventh Circuit Court of Appeals, consisting of Judges Bauer, Easterbrook, and Posner, has denied the Air Line Pilots Association�s petition for rehearing of the Court�s decision reversing Judge Darrah�s ruling that United Airlines must make the October 2005, non-qualified pension payment. This is the same panel that originally reversed Judge Darrah. The decision consisted of two sentences and provided no insight as to the basis for the Court�s decision. WEBSITE UPDATE 11-11-06 The Board of Directors of the United Retired Pilots Benefit Protection Association (URPBPA) has received a report and briefing from their attorneys on the adverse decisions issued by the Seventh Circuit Court of Appeals on the following appeals: URPBPA appeal of Judge Lefkow�s decision allowing the Pension Benefit Guaranty Corporation�s (PBGC) termination of the United Airlines Pilots� Defined Benefit Pension Plan, United�s appeal of the payment of the October, 2005 non-qualified pension plan benefits, and URPBPA�s appeal of the portion of Judge Wedoff�s approval of United�s Plan of Reorganization that exempted the Air Line Pilots Association (ALPA) from lawsuits connected with actions taken during the United Airlines bankruptcy. URPBPA�s Board has directed their attorneys to file a request that the Supreme Court of the United States review the Appellate Court�s decision affirming Judge Lefkow�s approval of the termination of the United Airlines Pilots� Defined Benefit Pension Plan by the PBGC. Filings requesting Supreme Court review of any of the Seventh Circuits decisions must be made within ninety days of the Appellate Court�s decision. This appeal covers all aspects of the pension issue including the continued payment by United of both qualified and non-qualified benefits. URPBPA�s Board and attorneys concluded that this course of action is preferable to requesting the Seventh Circuit to review their decisions. ALPA has filed a request that the Seventh Circuit reconsider their decision reversing Judge Darrah�s order that United was required to make the October 2005 non-qualified payment. ALPA�s request covers only this portion of the Appellate Court�s decision. ALPA�s request will be heard by the same three-judge panel that issued the decision reversing Judge Darrah�s finding. URPBPA�s Board and attorneys will continue to review developments in these cases to see if additional action by URPBPA is warranted. WEBSITE UPDATE 10-28-06 Wednesday, the Seventh Circuit Court of Appeals issued decisions regarding: The United Retired Pilots Benefit Protection Association�s (URPBPA) appeal of Judge Lefkow�s decision allowing the Pension Benefit Guaranty Corporation�s termination of the United Airlines Pilots� Defined Benefit Pension Plan, United�s appeal of the payment of the October, 2005, non-qualified pension plan benefits, and URPBPA�s appeal of the portion of Judge Wedoff�s approval of United�s Plan of Reorganization that exempted the Air Line Pilots Association (ALPA) from lawsuits connected with actions taken during the United Airlines bankruptcy. The three judge panel, consisting of Judges Bauer, Easterbrook and Posner, denied URPBPA�s appeal, upholding Judge Lefkow�s termination decision. They also ruled that United was not required to make the October, 2005, non-qualified pension payment, and that ALPA was properly released for their actions during the bankruptcy. These decisions did not resolve URPBPA�s and United�s appeals relating to non-qualified payments to retired pilots for November, 2005, and subsequent months. Those appeals are still pending. However, these unfavorable decisions may adversely impact URPBPA�s attempt to recover any further non-qualified payments. URPBPA�s attorneys and the Board of Directors are reviewing the decisions to see what additional legal steps may be warranted. Copies of the Court�s decisions may be viewed by clicking on the following links: Decision on item 1 and 2 Decision on item 3 WEBSITE UPDATE 10-25-06 The United Retired Pilots Benefit Protection Association (URPBPA) continues to receive questions as to when the non-qualified pension payments ordered paid by Judge Wedoff and Judge Darrah will be paid. United Airlines appealed the decisions ordering the payment of the October, 2005 non-qualified payment. That appeal was heard by the Seventh Circuit Court of Appeals on September 26, 2006. The Court has not issued its decision. A decision is expected sometime in early November. No payments will be made until the appeal process has been completed and a final judgment has been entered ordering the payment of the October non-qualified payment. The decisions by Judge Wedoff and Judge Darrah ordering the payment of the non-qualified pension payments for November and December 2005, and January, 2006, has also been appealed by United to the Seventh Circuit Court of Appeals. URPBPA appealed the portion of the same decisions which denied payment of non-qualified pension payments from February through June, 2006. The Court has not set a briefing schedule nor a hearing date for this appeal and any decision could be months away. These payments are subject to the same conditions noted above. The funds required to make the payments for October, November, December 2005, and January 2006, have been placed in interest bearing accounts. These funds will be available, if and when, there is a final order requiring United to make the payments. On September 26, 2006, the Seventh Circuit Court of Appeals also heard the appeal of Judge Lefkow�s decision allowing the Pension Benefit Guaranty Corporation to terminate the United Airlines Pilots� Defined Benefit Pension Plan and the appeal of Judge Wedoff�s decision approving that portion of United�s Plan of Reorganization that bared lawsuits against the Air Line Pilots Association for events occurring during the bankruptcy. As with the October non-qualified pension payment, the Court has not issued decisions on these appeals. The likely timeframe for decisions is also early November. As soon as the Seventh Circuit Court of Appeals issues any of the decisions described in this update, URPBPA will post the decisions on this website. WEBSITE UPDATE 10-08-06 As was noted in earlier website updates, the United Retired Pilots Benefit Protection Association has been in discussions with United�s attorneys, Kirkland & Ellis, concerning the problems retired pilots are having accessing the new Computershare accounts containing the supplemental shares United recently distributed to the retired pilots who elected to receive �New United� shares of stock to satisfy their claims. United is working to get information on the procedures United and Computershare established to access the shares distributed to retired pilots. Hopefully this will help retired pilots access their accounts. If you are a retired pilot who elected to receive shares to satisfy your claim and you wish to access your account prior to receiving the information from United, call Computershare at 800-919-7931 and follow the prompts until you are able to talk to a Computershare representative. The Computershare representative will be able to talk you through the process to access your account. It is recommended that you write down the instructions you receive from the Computershare representative as the access procedure is different from that used to access your accounts on August 1, 2006. WEBSITE UPDATE 10-6-06 United Airlines recently made a supplemental stock distribution to satisfy retired pilots� claims for Section 1114 (Medical and Life Insurance Benefits) and non-qualified pension benefits. Under the terms of United�s Plan of Reorganization the supplemental distributions were only sent to retired pilots who opted out of the �convenience class� and elected to receive the �New United� shares directly. Under United�s Plan of Reorganization, retired pilots who remained in the convenience class had their shares sold by United and United then sent those retirees a check for the proceeds minus an amount withheld for taxes. This distribution was made shortly after United emerged from bankruptcy and it is United�s position that this cash payment represented a complete settlement of these retirees� claims. The United Retired Pilots Benefit Protection Association (URPBPA) is still in discussions with United�s attorneys about the problems retired pilots are having accessing the Computershare accounts that contain the recently distributed supplemental shares. As soon as URPBPA receives additional information concerning access to these accounts, we will post the information on this website. WEBSITE UPDATE 10-04-06 The Supreme Court of the United States has denied the petition of the United Retired Pilots Benefit Protection Association for a hearing on decisions rejecting the participation of representatives of the retired pilots in discussions between United Airlines and the Air Line Pilots Association leading to agreements concerning the termination of the United Airlines Pilots Defined Benefit Pension Plan. The Court is not required to provide any explanation of their decisions and the order merely stated that the petition was rejected. The Court only accepts a very small percentage of the cases that are presented to it for review. WEBSITE UPDATE 10-02-06 The United Retired Pilots Benefit Protection Association (URPBPA) is aware that retired pilots are having difficulties accessing their Computershare accounts that were set up for the latest distributions of United shares for 1114 and non-qualified pension benefits. URPBPA�s attorneys will be discussing the matter with United�s attorneys early in the week of October 1, 2006 URPBPA will post more information on this as it becomes available. WEBSITE UPDATE 10-2-06 The United Retired Pilots Benefit Protection Association (URPBPA) has received an additional list of checks that United Airlines sent to creditors but have not been cashed as of United�s last bank statement. If your name is on this list, cash the check(s) immediately, as they will soon become void. If you know anyone on the list, please advise them to cash the checks promptly. United has stated that they will not reissue checks that were previously issued and not cashed by the deadline established by United. Please click on this link to view the latest list. WEBSITE UPDATE 09-29-06 Retired United pilots are receiving a second distribution of new United shares in conjunction with their Section 1114 and non-qualified pension benefits claims in the United bankruptcy. When United�s Plan of Reorganization was approved, 115,000,000 shares of stock were allocated to satisfy claims of unsecured creditors and employees. A substantial number of these shares were initially set aside to cover claims that were under dispute. Many of the disputed claims have now been dismissed by United challenging the claims in Bankruptcy Court and the Court disallowing the claims. This has resulted in additional shares being available to other claimants. This resulted in the most recent distribution. It is possible, but not a certainty, that there could be additional distributions as claims that are still under dispute are resolved. WEBSITE UPDATE 9-27-06 The Seventh Circuit Court of Appeals heard oral arguments on three appeals of interest to the members of the United Retired Pilots Benefit Protection Association (URPBPA) on September 26, 2006. The appeals were related to: Judge Lefkow�s decision allowing the termination of the United Airlines Pilot�s Defined Benefit Pension Plan, United�s refusal to pay the October 2005 non-qualified pension payments, and, The appeal by the URPBPA over the approval of United�s Plan of Reorganization and the exculpation of the Air Line Pilots Association (ALPA). The three appeals were argued separately and consecutively and heard by a three Judge panel of the Court. Most of the time was devoted to questioning of the various attorneys by Judges Posner, Easterbrook, and Bauer in an effort to better understand the issues. It is not possible to make any determination of how the Judges may ultimately rule. Decisions of the Court are usually rendered in four to six weeks following the oral arguments. WEBSITE UPDATE 9-22-06 The Seventh Circuit Court of Appeals has notified the United Retired Pilots Benefit Protection Association that the oral arguments on the appeal hearings on our issues before the court will start at 9:00 AM instead of at 9:30 AM on September 26, 2006. The hearings will be held at the Federal Court Building at 219 S. Dearborn in Chicago. WEBSITE UPDATE 9-6-06 Judge John W. Darrah, U. S. District Court, Northern District of Illinois, issued his opinion on September 5, 2006 on the appeals by the United Retired Pilots Benefit Protection Association (URPBPA), the Air Line Pilots Association (ALPA), and United Airlines over the payment of pilot non-qualified pension benefits for the period of November through June 2006. Judge Darrah�s decision upheld Judge Wedoff�s decision that United owes the retired pilots the payments for November and December 2005, and January 2006. The decision finds that the retired pilots are not entitled to payments for February through June 2006. URPBPA will be making a decision in the near future on an appeal to the Seventh Circuit Court of Appeals in Chicago for the February through June 2006 payments that were disallowed. A copy of Judge Darrah�s decision can be viewed by clicking on this link. WEBSITE UPDATE 8-29-06 The Seventh Circuit Court of Appeals has scheduled oral arguments on three appeals involving the United Retired Pilots Benefit Protection Association (URPBPA) for September 26, 2006, beginning at 9:30 AM. The three appeals will be heard separately and consecutively. The first appeal is URPBPA�s appeal of Judge Lefkow�s decision allowing the Pension Benefit Guaranty Corporation�s (PBGC) termination of the United Airlines Pilots� Defined Benefit Pension Plan. The second appeal is United Airlines� appeal of Judge Wedoff�s order requiring that United pay the retired pilots� October 2005 non-qualified pension payment. The third is URPBPA�s appeal of Judge Wedoff�s approval of United�s Plan of Reorganization. All retired pilots are invited to attend the session at the Federal Court House at 219 S. Dearborn in Chicago. WEBSITE UPDATE 8-28-06 The United Retired Pilots Benefit Protection Association (URPBPA) has received another list from United of individuals who have not cashed checks received in settlement of their claims against United. The current list is for the 2-D-2 Class, which is the Retiree Convieniece Class. There are deadlines for cashing these checks, and United will declare them void and not replace them after the deadline. A copy of the list received from United may be viewed by clicking on this link. WEBSITE UPDATE 8-23-06 The United Retired Pilots Benefit Protection Association (URPBPA) has filed its reply and response brief with the Seventh Circuit Court of Appeals in Chicago on its appeal of Judge Lefkow�s decision allowing the Pension Benefit Guaranty Corporation (PBGC) to terminate the United Airlines Pilots Defined Benefit Pension Plan. This is the final brief to be filed by URPBPA in this matter. Oral arguments before the Court are scheduled for September 26, 200, at 9:00 AM. A copy of URPBPA�s filing may be viewed by clicking on this link. WEBSITE UPDATE 8-22-06 Many retired United pilots have had the pension benefit they receive from the Pension Benefit Guaranty Corporation (PBGC) further reduced due to the PBGC�s treatment of increases in the Internal Revenue Code (IRC) Section 401(a) (17) income limit as a negotiated benefit increase. The IRS increased the IRC 401(a) (17) qualified pension limit from $160,000 to $170,000 in 2000 and from $170,000 to $200,000 in 2002. These increases in the IRC limits were not part of any negotiated agreement between ALPA and United Airlines. However, the PBGC treats the increases in the limit as though they were and subjects them to phase-in rules that result in a lower Final Average Earnings for retirees. Attorneys for the United Retired Pilots Benefit Protection Association have been investigating the PBGC�s treatment of these increases. URPBPA has concluded that we do not agree with the PBGC�s treatment of these increases and we have notified the PBGC that we intend to challenge their position. It appears that the PBGC�s interpretation has never been challenged by any retiree group. The investigation and a recent US Air court decision also revealed that, under the law, URPBPA will not be able to challenge this application until the PBGC issues its final benefits determination. This will probably not occur for another few years. Website Update 08-15-06** The United Retired Pilots Benefit Protections Association (URPBPA) recently received from Mort Wax, the president of the Retired United Employee�s Association, a list of names of individuals who have received, but not cashed, checks for settlement of their bankruptcy claims. There is a fairly short time limit on cashing these checks, so they should be negotiated promptly. Mort Wax did not indicate the source of this list and considering the confusion surrounding similar lists from United or Poorman-Douglas in the past, we cannot attest to its accuracy or completeness. Since the list contains several hundred names, many of which are not retired pilots, and it is not in alphabetical order, it was impractical to reduce the list to only URPBPA members. The list is Microsoft Word document (.doc), so we suggest that you use the Word �find� function* to determine if your name is on the list. Access the list of un-cashed checks by clicking on this link. * Pull down the �Edit� menu on the toolbar and select �Find�. A box will open. Type your name in the window and click on �Find Next�. If there is no match, a �Search item was not found� box will appear. If it finds a match that is not you, you need to continue clicking on �Find Next� until you return to the original name found. WEBSITE UPDATE 8-15-06 The United Retired Pilots Benefit Protection Association (URPBPA) has filed a rebuttal brief with the United States Supreme Court in support of our petition to the Court. Our petition asks the Court to review the lower court decision denying retired pilots the right to have their interests represented in negotiations between the Air Line Pilots Association and United concerning the possible termination of the United Airlines Pilots� Defined Benefit Pension Plan. The result of these negotiations was that the active United Airlines pilots received substantial additional benefits in exchange for their agreement to not oppose the termination of the Pilots� Defined Benefit Plan if certain criteria regarding the termination were met. Retired pilots who stood to lose the most if the Defined Benefit Plan was terminated receive no additional benefits. It is not known when the court will render a decision on accepting the case for review. A copy of URPBPA�s filing may be viewed by clicking on this link. WEBSITE UPDATE 8-01-06 The United Retired Pilots Benefit Protection Association (URPBPA) received information early today that retired pilots could not access their Computershare accounts related to the distribution of Section 1114 medical and non-qualified pension plan benefits. The mailing from Computershare promised that access would be available on August 1. URPBPA�s attorneys have talked to United�s attorneys, Kirkland and Ellis. They were advised that the reason retired pilots cannot access their account is due to a "computer glitch" at Computershare. They have not loaded the pin numbers into their computer. URPBPA has demanded that the pin loading process be completed no later than today, August 1, 2006. URPBPA has just received notice from Computershare that the pin numbers are loaded and retirees should be able to access their accounts by following the directions contained in the letter they recently received from Computershare. WEBSITE UPDATE 8-01-06 The Seventh Circuit Court of Appeals in Chicago has set September 26, 2006 at 9:30 AM for oral arguments on the United Retired Pilots Benefit Protection Association�s (URPBPA) appeal of Judge Lefkow�s approval of the Pension Benefit Guaranty Corporation�s termination of the United Airlines Pilots� Defined Benefit Pension Plan. The oral arguments will be held at the Federal Court Building at 219 S. Dearborn in Chicago. WEBSITE UPDATE 07-31-06 A lawsuit recently filed by a group called the �Independent Federal Funds Oversight Committee�, based in Kansas City, Missouri, has attracted great interest among United retired pilots due to Judge Wedoff being named as a defendant. This lawsuit does not seem to involve United Airlines or its bankruptcy proceedings. The lawsuit names as defendants the entire Seventh Circuit Court of Appeals in Chicago and its staff, the Federal District Court in Chicago and its staff, the Cook County Court system and its staff, numerous Judges in Chicago, including Judge Wedoff, approximately thirty law firms in the Chicago area, the Illinois Bar Association and all of its members, ALCOA, and GE Capital. None of URPBPA�s attorneys or advisors are named in the lawsuit. The lawsuit is in a very preliminary stage. It remains to be seen if it has any validity. The United Retired Pilots Benefit Protection Association will monitor the progress of this lawsuit to see if it impacts any aspects of the United Airlines� bankruptcy. WEBSITE UPDATE 7-26-06 Attorneys for United Airlines have confirmed that the distribution for settlement of the Section 1114 and non-qualified pension claims will be made to those retired pilots who have not previously received it as agreed to in the settlement with United Airlines. Retired pilots should anticipate receiving their distribution material no later than the end of the first week of August 2006. The United Retired Pilots Benefit Protection Association (URPBPA) has supplied our latest mailing list to United in an effort to insure that the distribution material is sent to the correct retiree address. URPBPA LEGISLATIVE ALERT July 19, 2006 Today the Wall Street Journal published an article, �Congress Nears a Pension Bill, As Airlines Seem to Get Relief� (page A2). The article states that Congress may provide relief for Northwest and Delta Airlines by granting them 20 years to fully fund their pension plans. UNITED AIRLINES IS NOT INCLUDED in this Bill that is being drafted by a Senate/House Conference Committee. Retired United pilot Jim Hosking has provided easy-to-use instructions on how to contact members of the Conference Committee. It is most important to reach out to the Republican members, since they are controlling the action. Please click on the following link: Legislative Alert WEBSITE UPDATE 07-11-06 This update outlines the current time line for the various appeals that the United Retired Pilots Benefit Protection Association (URPBPA) is pursuing and responds to some recent questions received by the URPBPA Board. URPBPA currently has five active appeals: URPBPA is appealing Judge Lefkow�s decision approving the termination of the United Airlines Pilots� Defined Benefit Pension Plan. The Air Line Pilots Association (ALPA) is also appealing her decision. This appeal will be before a three Judge panel of the Seventh Circuit Court of Appeals in Chicago (the �Seventh Circuit�). The current briefing schedule extends through August 30, 2006. No date has been set for oral arguments. URPBPA has petitioned the United States Supreme Court to review the decision of the Seventh Circuit which affirmed the approval of the ALPA-United agreement. A decision on whether the Court will accept the case is expected sometime before the end of September 2006. United has appealed to the Seventh Circuit Judge Darrah�s decision ordering the payment of the October 2005 non-qualified pension payment. The briefing schedule for this appeal extends through August 2006. URPBPA and ALPA are defending Judge Darrah�s decision. No date has been set for oral arguments. United has appealed Judge Wedoff�s decision ordering the payment of non-qualified pension benefits for the months of November and December 2005 and January 2006. URPBPA and ALPA have appealed the portion of the decision that limits these benefits to just those three months. URPBPA�s position is that the benefits should, at a minimum, be paid through June 2006, the month when Judge Lefkow issued her decision terminating the Pilot Plan. The briefing schedule for this case extends to September 2006. No date has been set for oral arguments. URPBPA has filed it appeal of the Bankruptcy Court�s approval of United�s Plan of Reorganization with the Seventh Circuit Court of Appeals. The briefing schedule for this case also extends into September 2006 and no date has been set for oral arguments. The appeal process is not a speedy one. It is not possible at this time to determine when we may receive decisions on these appeals. The Seventh Circuit did agree to URPBPA�s request that the appeal of Judge Lefkow�s decision be considered on an expedited basis, which will shorten the decision process by several months. Questions and Answers: Why did Judge Lefkow approve the Pension Benefit Guaranty Corporation�s (PBGC) termination of the Pilots� Defined Benefit Pension Plan? Judge Lefkow found that �although sparse� the PBGC had presented enough evidence to allow for the termination of the Pilot Plan. The evidence mainly consisted of United�s statements that it would seek to discard the Pilot Plan through the bankruptcy court process and the fact that ALPA and United entered into an agreement whereby, under certain conditions, ALPA would not contest an action by United in the bankruptcy court to terminate the Pilot Plan. Judge Lefkow stated that this was enough evidence to show that the Pilot Plan presented an unreasonable risk to the PBGC�s insurance fund and to justify termination. URPBPA disagrees and is appealing her decision. URPBPA�s appeal focuses on the lack of proof that United could not afford to maintain the Pilot Plan and that the PBGC�s own financial expert had in a written report demonstrated that the Pilot Plan was affordable and could be maintained by United through its bankruptcy financing process. When will this appeal be heard? Will a 3 or 9 judge panel hear it? As indicated in the update above, the appeal will be heard by a 3 judge panel, probably in the fall of this year. What has URPBPA done to ensure that the PBGC is making correct payment to retirees? In early 2006, URPBPA requested that the PBGC provide us with the material they used to make their interim calculations. They responded that we would have to make our request as a Freedom of Information Act (FOIA) request. URPBPA filed this request in early April 2006. The PBGC has just provided the information and portions of it seem to be missing. URPBPA is attempting to gain access to all of the information necessary to accurately evaluate what the PBGC has done. The amount of information is very large and URPBPA�s actuaries are in the process of evaluating it to see if it will allow us to understand the PBGC�s methodology for the reductions. Due to the large amount of information, it will take some time for us to understand it. In May 2006, URPBPA and their advisors met with the PBGC to discuss their calculations and get answers to specific benefit questions. The answers to some of those questions are below. Why didn�t the PBGC give credit for the 1/3 of furlough time that was negotiated years ago? The PBGC acknowledged that they had erroneously not included credit for the 1/3 of furlough time that had been negotiated many years ago. They said they were in the process of correcting this omission, but that due to the large numbers of retirees� whose payments will need to be revised, the process would take some time to complete and for the additional payments to be made. Why is the PBGC limiting FAE to $160,000 when the IRS limits have been increased? The PBGC stated that they treat any increase in the IRS limits as a benefit increase and that the limit increases are subject to the same phase-in limitations of other benefit improvements. URPBPA is researching whether this is a correct application of the law. Other questions concerning the PBGC�s calculation will have to await analysis by URPBPA�s actuaries. Who has received new UAL stock for their pension and medical claims, and when can those who contested the amount of the claim expect to receive their stock? Many retirees have received stock or cash for payment of their claims for lost non-qualified pension and medical insurance benefits. United has not supplied URPBPA with any explanation or a listing of who has received these payments. Retirees who challenged United�s calculations of their claim will receive their payments before the end of July 2006. WEBSITE UPDATE 7-05-06 URGENT, URGENT United Airlines has requested that the United Retired Pilots Benefit Protection Association (URPBPA) supply them with our mailing list for the purpose of making the distribution of stock to satisfy claims for retired pilots� non-qualified retirement and medical insurance benefits. This applies only to those retired pilots who challenged the claim amounts printed on the ballot that was sent to allow retirees to vote on United�s Plan of Reorganization. If you have already received either stock or cash in settlement of these claims, this does not apply to you. There have been substantial problems of URPBPA members not receiving mailings from United regarding bankruptcy matters. Some of the problems have been caused by members not advising Poorman-Douglass of changes to their mailing address and others have been due to errors in the updating process. In order to help insure that our members receive their distributions, URPBPA will be supplying United with our list of member�s addresses for those who have not received their distribution previously. URPBPA will be using the mailing list we used to send our Annual Report dated April 19, 2006 to our members. If you received this report, then we have your current address on file unless you have changed your mailing address since that time. If we have your current address, then you need do nothing. If you did not receive the Annual Report, then it is likely that we do not have your current address. If URPBPA does not have your current address, please send your current address in an e-mail to Bonnie Wintz at bonnie.wintz@mbtlaw.com or via US mail at 123 N. Wacker Dr., Chicago, IL. 60606. You must contact Bonnie Wintz no later than July 12, 2006. URPBPA will be supplying our list to United�s attorneys at the close of business on July 12. If members know of other members that do not have e-mail-access, could you please let them know of this update. WEBSITE UPDATE 7-1-06 On June 29, 2006, the United Retired Pilots Benefit Protection Association (URPBPA) petitioned the United States Supreme Court and requested that the Court review the decision of the Seventh Circuit Court of Appeals which denied the retired United Airlines pilots representation during the negotiations between the Air Line Pilots Association (ALPA) and United Airlines related to United�s efforts to terminate the Pilots� Defined Benefit Pension Plan. In those negotiations ALPA and United reached an agreement that ALPA would not oppose United�s efforts to terminate the Pilots� Defined Benefit Pension Plan if certain conditions were met. URPBPA had sought the appointment of a representative to participate in those negotiations in an effort to protect the interests of United�s retired pilots, which the Bankruptcy Court denied. The agreement between ALPA and United provided that ALPA would not oppose termination of the Pilots� plan in return for United giving the active pilots $550 million in convertible notes, a profit sharing plan, a new Defined Contribution Pension Plan, and other benefits. United�s retired pilots received nothing from the agreement even though they stood to lose the most if the Pilots� Pension plan was terminated. There is no established time frame for the Supreme Court to issue its decision on accepting a case. However, it can be reasonably expected that the Court will issue its decision by the end of September 2006. A copy of URPBPA�s filing may be viewed by clicking below: Writ of Certorari Appendix to Writ of Certorari WEBSITE UPDATE 6-26-06 The company that hosts the United Retired Pilots Benefit Protection Association�s (URPBPA) website will be installing new computers on June 28, 2006. It is likely that access to the URPBPA website will be restricted during this change over. WEBSITE UPDATE 6-13-06 Judge Lefkow issued her decision on the Pension Benefit Guaranty Corporation�s (PBGC) lawsuit to terminate the United Airlines Pilots� Defined Benefit Pension Plan on June 13, 2006. Judge Lefkow ruled in favor of the PBGC, allowing termination of the Plan effective December 30, 2004. Judge Lefkow cited in her decision the ALPA-United agreement as one of the major reasons for granting the PBGC�s suit to terminate the plan. She concluded the Pilots� Plan was certain to be terminated due to United�s insistence that all of its plans needed to be terminated and that the PBGC�s action was proper in light of the expected termination of the Plan. The United Retired Pilots Benefit Protection Association (URPBPA) will be appealing the decision to the Seventh Circuit Court of Appeals in Chicago. A copy of Judge Lefkow�s decision may be viewed by clicking on this link. URPBPA will also be filling its appeal to the Supreme Court next week over the decisions approving the ALPA United agreement. WEBSITE UPDATE 06-10-06 Chicago Federal District Court Judge Joan Lefkow did not issue her decision on the PBGC�s lawsuit to terminate the Pilot�s Defined Benefit Pension Plan on Friday, June 9 as anticipated. It is expected that she will issue her decision the early part of the week of June 11. URPBPA will post a website update as soon as possible after she issues her decision. WEBSITE UPDATE 5-26-06 The settlement agreement between the United Retired Pilots Benefit Protection Association (URPBPA) and United Airlines concerning disputed non-qualified pension claims has been entered as a court order. The terms of the agreement are exactly as outlined in the URPBPA website update dated 5-13-06. United will distribute either cash or stock to the effected URPBPA members on or before August 1, 2006. Judge John Darrah held a status conference on May 25, 2006 to establish the schedule for the appeals by United Airlines and URPBPA concerning Judge Wedoff�s order that United make the non-qualified payments to retired United pilots for the months of November and December 2005, and January 2006. United has appealed the portion of the order requiring the payments. URPBPA has appealed that the payments should continue indefinitely as there is no valid court order terminating the United Airlines Pilots� Defined Benefit Pension Plan. The schedule for the appeals is as follows: June 30, 2006 - Opening briefs July 14, 2006 - Response Briefs Judge Darrah will issue his ruling on or before September 6, 2006. The funds awarded to retired pilots by Judge Wedoff�s order are being held in an escrow account that is earning interest pending resolution of these appeals. The issue of the non-qualified payment for the month of October 2005 is the subject of a separate appeal by United before the Seventh Circuit Court of Appeals in Chicago. WEBSITE UPDATE 5-13-06 The following court-related activities have occurred: Hearing Before District Court Judge Lefkow On Whether The Pension Benefit Guaranty Corporation May Terminate The Pilot Plan As previously reported, the hearing before Judge Lefkow concluded on May 3, 2006 and awaits decision as to whether or not PBGC has grounds to terminate the Pilot Plan. A decision is expected on or before June 9, 2006. Hearing Before Bankruptcy Judge Wedoff Regarding Calculation of Claims For Any Lost Non-Qualified Benefits This matter has been resolved subject to the court entering a written order which will take place on or before May 25, 2006. The result is that United Retired Pilots Benefit Protection Association�s (URPBPA) request for increased non-qualified claim amounts will not be allowed and all retired pilots, who retired before January 1, 2005, will receive the claim amounts shown on the ballot that they received from United. This resolution of URPBPA�s request for increased claim amounts came after the May 11, 2006 trial, but before the court entered a written order reflecting its decision. At the trial, URPBPA and United focused on the two contested issues, the discount rate and the mortality table (which predicts life expectancy) that United had used to calculate the value of the non-qualified claim amounts for retired pilots. After hearing the evidence, the court orally ruled that United�s discount rate was reasonable, but its mortality table was not and the mortality table suggested by URPBPA should be used. The result of the Judge�s oral ruling would have produced an increase in the claim amounts for URPBPA�s retired pilots. But then, the court considered an issue that was not raised by either United or URPBPA - the date for valuing the claim amounts. United�s calculations had used the date of December 30, 2004, and URPBPA�s actuaries had agreed with that date. But during the trial, Judge Wedoff thought it more appropriate to use an earlier date, December 9, 2002, the date United filed for bankruptcy. The date of December 9, 2002, would be much more favorable to United and, if implemented, would have negated any increase of claim amounts and, in fact, caused a decrease in the claim amounts from what was stated on the ballots retired pilots received. URPBPA vigorously opposed the date change but Judge Wedoff was not persuaded to use the date that United and URPBPA has been using throughout this process. Judge Wedoff urged the parties to reach a settlement on this issue. URPBPA and United entered into settlement discussion and in order to avoid the risk that Judge Wedoff might order the valuation date changed and cause a decrease in claim amount values, URPBPA reached the resolution with United outlined above. The resolution not only prevents a decrease of claim amounts, but also eliminates appeals that either URPBPA or United may have filed. An appeal would likely have lasted a year or more, during which time United would have withheld the stock or cash owed to retired pilots. As part of the resolution, URPBPA�s actuaries are reviewing all calculations, but it is estimated that the claim amounts for the URPBPA retired pilots will be approximately $340,000,000. The actual payout amount in stock or cash on claim amounts (originally estimated to be 4 to 8 cents on the dollar) will also be reviewed. The timing of the payout, in accordance with intervals established by the bankruptcy plan, will be on or before August 1, 2006. URPBPA will provide more information on these subjects as they become available. With respect to pilots who retired on or after January 1, 2005, the court ruled that they were represented by ALPA prior to January 1, 2005, and that the ALPA-United agreement limited them to whatever non-qualified pension replacement benefits ALPA negotiated for them as active pilots. The Judge stated, that in the negotiations leading to the ALPA-United agreement, ALPA clearly bargained away the right to future claims for non-qualified benefits for active pilots in exchange for the $550,000,000 in notes and the �C Plan� contributions. On this basis the court refused URPBPA�s request that the 2005 retirees each receive an individual non-qualified claim similar to those of the pre-2005 retired pilots. Finally, this resolution on non-qualified claim amounts does not affect URPBPA�s other actions, and the additional amounts URPBPA seeks from United for the retired pilots. Those actions include URPBPA�s defense of the Pilot Plan in the PBGC case before Judge Lefkow and the defense of United�s appeals of the orders awarding cash to retired pilots for non-qualified benefits owed for October, November, December 2005 and January 2006 (toward which cash, totaling in excess of $22,000,000, is deposited in escrow accounts). WEBSITE UPDATE 5-9-06 The hearing before Judge Wedoff on May 5, concerning the increased claim values for URPBPA members who increased their claim values on their ballots was continued to May 11, 2006 WEBSITE UPDATE 5-8-06 Representatives of the United Retired Pilots Benefit Protection Association (URPBPA) met with actuaries and members of the legal staff of the Pension Benefit Guaranty Corporation (PBGC) on Thursday, May 4 to discuss issues related to the benefit payments that the PBGC is now making to retired United Airlines pilots. The PBGC�s actuaries provided calculations of three anonymous retired pilots that represented a variety of situations that were reflective of the retired United pilot population. The calculations for these retirees were discussed in great detail and the PBGC�s actuaries and legal staff responded to all of the questions asked by URPBPA�s representatives. Their responses revealed that the PBGC did not initially include the one third of credited furlough time that should have been included for retirees who had been furloughed in the late 1970�s. This has been corrected for all future calculations and the PBGC is reviewing all past calculations and adjustments to benefit payments will be made, including making up past deficits to any under payments. The calculation review is currently underway and retirees will be receiving new calculations and payments as the individual calculations are completed. The PBGC stated that the additional furlough time credited to retired pilots by Contract 2000 will not be used in making the PC-3 calculations as the five year look back provision excludes this benefit increase. The PBGC treats increases in the IRS limits on compensation as a plan increase and these are subject to the five year phase in limits. The PBGC was not able to respond to questions concerning what increased payments retired pilots will receive due to the recovery of funds from United for the PBGC�s claims against the plan losses nor the $1,500,000,000 in notes and preferred stock that they received. These recoveries will go through an extensive evaluation and allocation process as part of the PBGC audit of all aspects of pilot�s plan. The adjustments due to recovery will be made as a percentage of qualified benefits lost for pilots in the PC-3 group. The PBGC does not expect that any recovery funds will be left to increase the payments for the PC-4 group. These adjustments will be made when the PBGC issues their final determination of individual retired pilots� payments. This process is expected to take approximately three years. All of the above information is the PBGC�s position. URPBPA�s actuaries and legal staff are evaluating the PBGC positions and URPBPA will challenge the PBGC where there are disputes over the PBGC�s positions. WEBSITE UPDATE 05-07-06 HEARING ON THE PBGC�S ACTION TO TERMINATE THE PILOT PENSION PLAN On May 4, 2006, the United Retired Pilots Benefit Protection Association (URPBPA) participated in a hearing before the Federal District Court (Judge Lefkow) on the action filed by the Pension Benefit Guaranty Corporation (�PBGC�) to terminate the Pilot�s Defined Benefit Pension Plan. Judge Lefkow reviewed the prior findings of the Bankruptcy Court (Judge Wedoff), which had recommended the Pilot Plan be terminated. Judge Lefkow considered arguments made by URPBPA�s attorneys that the Pilot Plan should not be terminated. Judge Lefkow also heard from attorneys for PBGC, United and Air Line Pilots Association (ALPA). She stated that she needed more time to consider the issues and will render her decision at a date to be announced. The PBGC, with the assistance of United, became the �interim trustee� of the Pilot Plan and as of March 2006 began paying reduced qualified pension payments to some retired pilots. It is URPBPA�s position that, in the event the District Court finds that PBGC did not prove grounds to terminate the Pilot Plan, the PBGC and United should compensate retired pilots for amount of any reductions from their full qualified pension payments. URPBPA will update this issue as soon as the District Court announces its decision. WEBSITE UPDATE 5-7-06 STATUS OF ESCROW ACCOUNTS FOR RETIRED PILOT NON-QUALIFIED PENSION PAYMENTS As previously reported, the United Retired Pilots Benefit Protection Association (URPBPA) prevailed at a hearing before the Bankruptcy Court which resulted in an order that required United to pay retired pilots their non-qualified pension payments for November and December 2005 and for January 2006. United is appealing that order and URPBPA is cross-appealing, stating that the Bankruptcy Court did not go far enough and should have also required United to pay benefits for February 2006 and subsequent months. While the appeals are pending, at the request of URPBPA, the Bankruptcy Court required United to post security for what they owe the retired pilots. As of today, the escrow account was funded and URPBPA is a signatory to the agreement that controls the account. United deposited in excess of $16,600,000 into the account which represents amounts owed to retired pilots for non-qualified benefits for November, December 2005 and January 2006 together with an amount for interest as provided by federal law. This deposit does not include and is in addition to distributions some retired pilots already received in the form of checks or United stock, a portion of which would relate to November, December 2005 and January 2006. This new escrow account is in addition to an account established in October 2005 for the October non-qualified payments due retired pilots. That account, together with accrued interest, has a balance in excess of $5,700,000. URPBPA will continue to resist United�s appeals of the orders which required these non-qualified payments. If United�s appeals are denied, retired pilots will receive the amounts due them together with interest. URPBPA thanks its membership for their support which allows URPBPA the means to fight for the benefits retired pilots are owed. WEBSITE UPDATE 05-03-06 The 04-29-06 website update below outlines the important events taking place this week. We realize our members want a report on these court hearings and meetings as soon as possible and we will try to post timely updated information. However, Wednesday�s hearing is in Chicago, Thursday�s PBGC meeting is in Washington and Friday�s hearing is back in Chicago. As the result, Roger Hall, United Retired Pilot�s Benefit Protection Association President, and our legal advisors are facing a very hectic few days. We do not expect any immediate rulings from the Courts this week, but we will try post any relevant information as quickly as possible. Thank you for your patience. WEBSITE UPDATE 4-29-06 There has been no court activity related to United Retired Plots Benefit Protection Association (URPBPA) legal efforts over the past two weeks. Depositions have been taken from United witnesses for the May 5 hearing on URPBPA members� increased non-qualified pension claims. Numerous documents have been filed for this case and for the May 3 hearing before Judge Lefkow on the Pension Benefit Guaranty Corporation�s (PBGC) termination lawsuit. Next week the schedule of URPBPA activities is as follows: May 3 Hearing before Judge Lefkow on the PBGC�s lawsuit to terminate the United Airlines Pilots� Defined Benefit Pension Plan. May 4 Meeting of URPBPA representatives and actuaries with the PBGC. May 5 Hearing before Judge Wedoff on retired pilots� increased non-qualified pension claims. Decisions from these hearing are not expected until a later date. URPBPA members should have received the URPBPA Annual Report, which was mailed on April 21, 2006. Some questions have been received regarding the legal activity categories listed in the Report. Bankruptcy legal activities by our attorneys were associated with the UAL Reorganization Plan, voting issues, members� non-qualified pension claims and other matters before the Bankruptcy Court. Litigation legal activities were associated with matters regarding appeals to the Federal District Courts. WEBSITE UPDATE 4-10-06 The United Retired Pilots Benefit Protection Association�s (URPBPA) Board of Directors has reviewed with our attorneys, the decision by the Seventh Circuit Court of Appeals which upheld Bankruptcy Judge Wedoff�s approval of the ALPA-United agreement. After careful consideration the Board has authorized them to appeal the Appellate Court decision to the Supreme Court of the United States. This decision does not affect the other legal actions that URPBPA has pending. URPBPA has the following legal actions in process: URPBPA is objecting to the attempted termination of the United Airlines Pilots� Defined Benefit Pension Plan by the Pension Benefit Guaranty Corporation (PBGC). Judge Joan Lefkow will hear oral arguments on this matter in Federal District Court in Chicago on May 3, 2006. Objections to Judge Wedoff�s approval of United�s Plan of Reorganization including his decision limiting legal action against the Air Line Pilots Association by URPBPA. URPBPA is also appealing the Plan of Reorganization because it did not provide the retired pilots consideration similar to the $550M in notes ALPA will receive for any termination of the pension plan. URPBPA is also seeking higher claim amounts for the potential non-qualified pension loses by some URPBPA members, and claims for lost non-qualified pension benefits for pilots who retired in 2005 and subsequently. A hearing on this matter will be held by Judge Wedoff on May 5, 2006. WEBSITE UPDATE 4-5-06 District Court Judge Joan Lefkow held a status hearing on April 4, 2006 on the Pension Benefit Guaranty Corporation�s (PBGC) lawsuit seeking termination of the United Airlines Pilots� Defined Benefit Pension Plan. District Court Judge Darrah had previously ruled that the Bankruptcy Court did not have jurisdiction to approve the PBGC�s termination of the Pilots Plan. Judge Lefkow set oral arguments on the matter for 2 PM, May 3, 2006 in her courtroom at the Federal District Court in Chicago. All of the briefs related to the lawsuit have been submitted to the Judge along with the recommendations from Judge Wedoff. On May 5, 2006, there will be a hearing before Bankruptcy Court Judge Wedoff on the increased claim values that were submitted by some URPBPA members. This hearing will also address the issue of non-qualified pension benefit claims for pilots who retired after December 31, 2004 URPBPA PBGC UPDATE 4-5-06 On April 3, 2006, the Pension Benefits Guarantee Corporation (PBGC) held the first of its series of road show meetings in Denver regarding United Airlines� pensions. As a courtesy to those United Retired Pilots Benefit Protection Association (URPBPA) members who are unable to attend one of the road shows, we have collected some of the PBGC�s information for you. To see the slides that were presented by the PBGC at the road show, please click on the links below. These link to a very large files (3 megabytes each), so if you have a modem connection, you may have difficulty in downloading it. Remember, this is the PBGC�s information and URPBPA has not verified its accuracy. If you have any questions, please direct them to the PBGC using the contact information that is included within the slides, not to URPBPA. PBGC Roadshow Slides part 1 PBGC Roadshow Slides part 2 WEBSITE UPDATE 4-1-06 On March 31, 2006, the Seventh Circuit Court of Appeals in Chicago issued its decision on the appeal by the United Retired Pilots Benefit Protection Association (URPBPA) of the decision of Judge Wedoff approving the ALPA-United agreement. The Appeals Court upheld the decision of Judge Wedoff. You may read the decision by clicking on the following link: Appeals Court Decision URPBPA is evaluating the decision and will make a determination on any further action on their appeal in the near future. This decision does not affect the other legal actions that URPBPA still has pending. URPBPA is objecting to the attempted termination of the United Airlines Pilots� Defined Benefit Pension Plan. A status conference on the Pension Benefit Guaranty Corporation�s (PBGC) lawsuit to terminate the plan is scheduled for April 4, 2006. At that conference it is expected that Judge Lefkow will establish a process and a schedule for reaching a decision on the PBGC�s termination lawsuit. URPBPA also has the following legal actions in process; Objections to Judge Wedoff�s approval of United�s Plan of Reorganization including his decision limiting legal action against the Air Line Pilots Association by URPBPA. URPBPA is also appealing the Plan of Reorganization because it did not provide the retired pilots consideration similar to the $550m in notes that ALPA will receive for any termination of the pension plan. URPBPA is also seeking higher claim amounts for the potential non-qualified pension loses by some URPBPA members, and claims for lost non-qualified pension benefits for 2005 and subsequent pilot retirees. WEBSITE UPDATE 3-30-05 The United Retired Pilots Benefit Protection Association (URPBPA) has been receiving questions concerning United�s distribution of checks and stock regarding retired pilots� claims for Section 1114 and non-qualified pension benefits. The latest information URPBPA has received concerning these distributions is; If you elected to increase your claim for non-qualified pension benefits when you submitted your ballot to vote on United�s Plan of Reorganization then, you will not be receiving any distribution until the claim increase issue is resolved. A hearing is scheduled to address these issues on May 5, 2006. If you did not have a claim for non-qualified pension benefits or you elected to not increase you claim amount, United is currently distributing checks or stock as you elected. It appears that these distributions are being made over a period of time. You cannot change the election you made on the ballot as to whether to receive stock or cash. If you believe that you may have mistakenly thrown away your distribution letter from Computershare, URPBPA suggests that you call Computershare at 800-919-7931, or 312-588-4267. WEBSITE UPDATE 3-28-06 Attorneys for the United Retired Pilots Benefit Protection Association (URPBPA) and United appeared before Judge Wedoff on March 28, 2006 for a hearing on United�s motion to place sufficient funds into an interest bearing escrow account to provide for the payment of the November and December, 2005, and the January 2006, non-qualified pension payments. Judge Wedoff ruled on March 21, 2006, that United was required to make these payments. United has appeal Judge Wedoff�s decision. URPBPA�s attorneys argued that United should be required to post a bond to cover the November, December, and January payments. This would require United to conclude an agreement with a court approved bonding company for the amount of the payments ($18 million) plus an additional 10% amount to cover interest accrual. A bond will provide greater assurance that the funds will be available to pay any judgment that is ultimately upheld against United for these payments. United argued that a bond should not be required. Judge Wedoff ordered United to present the Court with a bond agreement within seven days. Judge Wedoff had previously ordered United to make the October, 2005, non-qualified payment and the funds necessary to make this payment are in an interest bearing account. WEBSITE UPDATE 3-27-06 Federal District Court Judge John W. Darrah issued a ruling on February 23, 2006 denying United�s appeal of Judge Wedoff�s order requiring United Airlines to make the October 2005 non-qualified pension payment to retired pilots. United Airlines has appealed Judge Darrah�s ruling to the Seventh Circuit Court of Appeals in Chicago. The funds to make the October payment remain in an escrow account. Bankruptcy Court Judge Eugene R. Wedoff issued an order on March 21, 2006 requiring United Airlines to make the non-qualified payments to retired pilots for the months of November and December 2005, and for January 2006. United has appealed this order to the Federal District Court in Chicago. United has also filed a motion to place the funds required to make the payments for these months in an interest bearing escrow account. The United Retired Pilots Benefit Protection Association (URPBPA) has appealed that portion of Judge Wedoff�s March 21, 2006 order limiting payments for the retired pilots� non-qualified payments to only the months of November, December and January. It is URPBPA�s position that non-qualified payments are required on an ongoing basis since the United Airlines Pilots� Defined Benefit Pension Plan has not been terminated. WEBSITE UPDATE 3-23-06 The United Retired Pilots Benefit Protection Association (URPBPA) has received inquiries from members about checks they have received from UAL Corporation. The check comes in an envelope from a company named "Computershare" with a letter stating that the check is a full settlement of your claim and that you will not be eligible for any additional payment for this claim. If you receive such a letter, be careful it does not get discarded as "junk" mail! United�s Plan of Reorganization, which has been approved by the Bankruptcy Court, states that checks must be negotiated within 120 day of the date of issuance. Failure to negotiate the check within that timeframe will result in the check becoming null and void. In plain language this means that if you do not cash the check within 120 days you lose the money the check represents. It is URPBPA�s position that, under the circumstances, the cashing of a check from UAL should not release United from making additional payments to retired pilots and from complying with current or future court orders on matters URPBPA has pursued before the bankruptcy court, the federal district court or the Seventh Circuit Court of Appeals. These matters include: Court orders approving payment of non-qualified pension benefits to retired pilots for the months of October, November and December 2005 and January 2006 and URPBPA�s requests for payments of subsequent months; URPBPA�s defense of the Pilots� Defined Benefit Plan against the attempt of the Pension benefit Guaranty Corporation ("PBGC") to terminate the plan; URPBPA�s challenge of the ALPA agreement and our request for replacement benefits comparable to what ALPA receives should the Pilot Plan be terminated; and URPBPA�s appeal of the bankruptcy plan of reorganization. These matters will not be fully decided within the next 120 days and URPBPA believes that it would be grossly unfair if a person is forced, because of a fear of "settling" with United, to not cash the check for 120 days (and thereby possibly lose any bankruptcy recovery) while waiting for the final results of the pending litigation. Finally, it needs to be clear that the decision to cash a check from UAL rests solely with the individual retired pilot and URPBPA is not advising that any individual should or should not cash the check. URPBPA also cannot guarantee that its position - that cashing the check should not relieve United of its obligations under court orders - will prevail should there be a dispute with United on the issue. But URPBPA will, if necessary, pursue its position in court on behalf of its members who do decide to cash such checks. WEBSITE UPDATE 3-23-06 #2 IMPORTANT HEALTH INSURANCE INFORMATION! The United Retired Pilots Benefit Protection Association (URPBPA) posted a website update on March 14, 2006 regarding reinstatement of medical coverage for retirees who have had their medical insurance cancelled due to nonpayment, underpayment or late payment of their premiums. URPBPA is now aware of at least one retiree who contacted United and had their coverage reinstated. URPBPA encourages any retiree, spouse of a deceased retiree, or a dependent of a retiree who has had their United retiree medical insurance coverage terminated due to premiums to contact United immediately requesting reinstatement of their coverage. The United Airlines Benefit Service Center can be reached at 800-482-5236. URPBPA also encourages all participants in the retiree medical insurance plan to make arrangements for automatic payment of their premiums directly from their bank account. Participants should also remember that the premiums may increase on the first of each year or when you become eligible for Medicare. If your automatic payment is for a fixed amount, you will need to adjust the payment amount to reflect the new premium to avoid termination of your coverage. WEBSITE UPDATE 3-17-06 A hearing was held before Judge Wedoff on March 17, 2006 regarding: The issue of retired pilots� non-qualified pension plan payments after October 2005, The United Retired Pilots Benefit Protection Association�s (URPBPA) request for sanctions against United for their repeated efforts to have Judge Wedoff reconsider his ruling requiring United to make the October 2005 non-qualified payment, and The issue of retired pilots� increased claims under the UAL Reorganization for the present value of lost non-qualified benefits and UAL�s denial of claims for 2005 pilot retirees. Judge Wedoff ruled that United is required to make non-qualified pension plan payments for the months of November and December 2005, and for January 2006. (He has previously ruled that United must make the October 2005 non-qualified payment.) He stated that payments for February 2006, and subsequent months would be dependent upon Judge Lefkow�s decisions on the Pension Benefit Guaranty Corporation�s (PBGC) lawsuit to terminate the United Airlines Pilots� Defined Benefit Pension Plan. Judge Wedoff stated that while he disagreed with United�s position that he reconsider his decision requiring payment of the October 2005 non-qualified pension payments, he did not believe that United�s actions warranted sanctions. Judge Wedoff set May 5, 2006, at 9:30 AM for the start of a trial on the issues of retired pilots� increased claims for the value of lost non-qualified pension benefits under the UAL Reorganization and for resolving the claims issues associated with 2005 pilot retirees. Please note that Federal Judge Darrah�s ruling has overturned Judge Wedoff�s decision allowing the PBGC to terminate the Pilots Pension Plan. If this ruling remains in place, then there should be no lost non-qualified pension benefits and this issue may be moot. Written copies of the Judge�s rulings are not available at this time. They will be posted on this website when they become available. WEBSITE UPDATE 3-14-06 The United Retired Pilots Benefit Protection Association (URPBPA) has been informed of the schedule of meetings the Pension Benefit Guaranty Corporation (PBGC) will be holding to brief United pilot retirees on the changes the PBGC has, or will be making to retired pilots qualified pension payments. The PBGC is continuing to treat the United Airlines Pilots� Defined Benefit Pension Plan as if it is terminated despite Federal Court Judge Darrah�s ruling which reversed Judge Wedoff�s order allowing the PBGC to terminate Pilots� Plan. URPBPA is opposing, in Federal District Court, recent actions by United and the PBGC to treat the Pilots� Defined Benefit Plan as if it were terminated URPBPA has requested to meet with the PBGC to seek information concerning the methodology they used in their calculations to produce the reduced pension benefits. The PBGC is not agreeable to meet with URPBPA representatives until after they complete their retired pilots meetings. Perhaps retired pilots can obtain this information from the PBGC during their Road Shows. Please click on this link to view the schedule. WEBSITE UPDATE 3-14-06 The United Retired Pilots Benefit Protection Association (URPBPA) has received the information below but we have not been able to verify its accuracy. Considering the importance of the information, URPBPA wanted to pass it along to our members as soon as possible. All URPBPA members should pay close attention to the comments about making payments in a timely manner. URPBPA suggests that its members may wish to consider having payments for their retiree medical insurance made directly from their bank accounts to ADP Benefit Services. (The AFA MEC Communication Committee produced the following newsletter.) Protect Against Termination of Retiree Medical Benefits Retiree medical can be terminated for non-payment. Once retiree medical is terminated, it will not be re-instated. Beginning July 1, 2005, retirees who had previously elected to pay their medical premium through their (United) pension check were notified that this option would no longer be available as the PBGC took over administration of the pension payments. United sent notification of this change with alternate payment options for retiree medical premiums. Due to confusion over this change and some technical issues experienced through ADP, some retirees experienced a cancellation of medical insurance. Please Note: United has determined that due to confusion over billing for medical insurance following the termination of the pension plan and other circumstances, the company will grant a one time, last chance reinstatement. United will not grant an exception such as this in the future. Any retiree whose medical coverage was terminated due to late or non- payment of premium between August 1, 2005 and December 1, 2005 should call the Benefits Service Center at 1-888-825-0188 domestically or 1-515-457-9747 from an International location. We encourage all retirees to avoid any future problems by setting up automatic payment for your medical premiums. Protect your medical coverage and take steps against putting yourself in a position of losing it forever because of a late premium, however unintended. URPBPA LEGISLATIVE ALERT 3-10-06 A window of opportunity exists for retired United pilots to influence the Congress to save the United Pilots Pension Plan. The House and Senate Conference Committee is working on a Bill to combine the separate House and Senate Pension Bills. This may be YOUR last chance to do something to restore YOUR pension. A few minutes of your time and effort could bring tremendous rewards. Retired United pilot Jim Hosking, who has remained close to the legislative process, has made it simple for you. Please click here to read Jim's easy-to-follow instructions on how to lobby the Congress WEBSITE UPDATE 3-10-06 The United Retired Pilots Benefit Protection Association�s (URPBPA) update posted on March 2, 2006, outlined the current legal activities of URPBPA. In conjunction with these cases URPBPA has filed numerous briefs in support of the positions URPBPA is advocating. Several of these briefs, noted below, are available for viewing by clicking on the appropriate links. URPBPA�s Objection to the Bankruptcy�s Court�s Findings of Fact and Conclusion of Law. This filing outlines URPBPA�s objections to Judge Wedoff�s recommendations relative to Pension Benefit Guaranty Corporation�s lawsuit to terminate the United Airline�s Pilots� Defined Benefit Pension Plan. Judge Wedoff has forwarded his recommendations to Judge Lefkow who will be ruling on the case. URPBPA�s response to United�s motion before the Seventh Circuit Court of Appeals seeking to dismiss URPBPA�s appeal of Judge Wedoff�s approval of the ALPA-United pilot�s collective bargaining agreement. URPBPA�s motion seeking sanctions against United for their repeated attempts to have Judge Wedoff� overturn his ruling ordering the payment of the retired pilots� October 2005, non-qualified pension payments. URPBPA�s motion seeking payment of non-qualified pension plan benefits for the months of November 2005, to the present. WEBSITE UPDATE 3-2-06 The following is an update on the status of the various legal actions that the United Retired Pilots Benefit Protection Association (URPBPA) is pursuing. Air Line Pilots Association (ALPA)-United Agreement--Oral arguments were heard on 2-24-06, including United�s motion to dismiss URPBPA�s appeal, by the Seventh Circuit Court of Appeals in Chicago. URPBPA asked the Court to reverse the Bankruptcy Court�s order approving the ALPA agreement and to order United to negotiate with a representative of retired pilots to determine appropriate compensation for any lost pension benefits. The Court of Appeals will issue a written decision. The Court does not announce in advance the date when it will release its decisions. Pension Benefit Guaranty Corporation�s (PBGC) Complaint to Terminate the United Airlines Pilots Defined Benefit Pension Plan--Judge Darrah reversed Judge Wedoff�s ruling allowing the PBGC to terminate the Pilots� Defined Benefit Pension Plan. Judge Darrah�s order stated that Judge Wedoff should forward his findings to District Court Judge Joan Lefkow, which he has. URPBPA filed its objections to Judge Wedoff�s recommendations on February 27. ALPA also filed objections. Once Judge Lefkow receives these filings, she will establish the procedures and set a schedule to reach a decision. PBGC-United Interim Trustee Agreement--The Interim Trustee Agreement the PBGC reached with United, and the PBGC�s reductions in qualified pilot pension payments effective March 1, 2006 has been protested by URPBPA and will be addressed in the above PBGC case before Judge Lefkow. October 2005, Non-Qualified Pension Payment-- URPBPA received a favorable ruling from Judge Darrah upholding Judge Wedoff�s ruling requiring United to make the October non-qualified payment. United has 30 days to appeal Judge Darrah�s decision. The October payment remains in an interest-bearing escrow account. URPBPA is proceeding with a sanctions motion against United for repeatedly attempting to get Judge Wedoff to reverse his decision on the October non-qualified pension payment. URPBPA requests that Judge Wedoff order United to reimburse URPBPA for its attorneys� fees and costs in pursuit of the October payment. Missed Non-Qualified Pension Payments for November through March (and additional months as necessary) -- URPBPA filed a motion on March 1 seeking an order for United to make the missed non-qualified payments. Our filing is based upon the ALPA-United agreement and prior rulings by Judge Wedoff instructing United to continue the payments until the pilot plan is terminated. Additionally, URPBPA filed an administrative claim for URPBPA members who were receiving non-qualified benefits. The claim is for the months of November and December 2005 and January 2006, which preceded United�s February 2006 exit from bankruptcy. Appeal of Judge Wedoff's Approval of United�s Plan of Reorganization -- This appeal has been assigned to Judge Darrah. We will file our brief on March 2 and object to the dismissal of our request that United provide financial compensation to retired pilots in an amount comparable to what United provided ALPA ($550 million in notes). Additionally, this filing will address Judge Wedoff�s decision exculpating ALPA. The �exculpation� clause within the United Plan of Reorganization is an attempt by United and ALPA to protect ALPA from future legal action. Calculation of Retired Pilots� Non-Qual Claims -- On March 28 there will be a hearing before Judge Wedoff on the calculation of claim values for any lost non-qualified benefits for URPBPA members who increased their claim amounts. This hearing will also address the issue of claims for 2005 retirees. URPBPA continues to work to resolve problems with Poorman-Douglas and United on erroneous mailing addresses for retirees, retirees who were not sent ballots to vote on United�s Plan, and ballots not received from retirees by Poorman-Douglas. WEBSITE UPDATE 2-25-06 The Seventh Circuit Court of Appeals has heard oral arguments on the United Retired Pilots Benefit Protection Association�s (URPBPA) appeal of Judge Wedoff�s decision approving of the Air Line Pilots Association�s (ALPA) collective bargaining agreement with United Airlines. Judge Wedoff approved the agreement in January, 2005. The three judge panel consisted of Judges Bauer, Posner, and Williams. The hearing was held in Chicago on February 24, 2006 and lasted forty minutes. Most of the time was spent with the Judges asking questions of the attorneys for URPBPA, ALPA, and United concerning various aspects of the appeal, the laws related to Section 1113 of the bankruptcy code, and the collective bargaining process. It was clear from the questions that the Judges had read the briefs submitted by the various parties. The Judges gave no indication at the conclusion of the hearing of when a ruling could be expected. The normal time period for the Court to issue a decision ranges from two weeks to six months. WEBSITE UPDATE 2-23-06 On February 23, 2006, Federal District Court Judge John Darrah dismissed United�s appeal of Judge Wedoff�s ruling ordering United to pay the October 2005 non-qualified pension payment to retired pilots. Judge Wedoff�s order requiring United to make the October payment is still in effect. What action United will take in response to this decision is not known, but they have thirty days to appeal Judge Darrah�s decision to the Seventh Circuit Court of Appeals. WEBSITE UPDATE 2-20-06 United Airlines has filed a motion with the Seventh Circuit Court of Appeals seeking dismissal of the United Retired Pilots Benefit Protection Association�s (URPBPA) appeal of Judge Wedoff�s decision approving the ALPA-United Pilots� Collective Bargaining Agreement. Judge Wedoff approved the agreement in January 2005. United�s motion seeks dismissal of the appeal and states they have now emerged from bankruptcy and that to overturn Judge Wedoff�s decision at this time would cause damage to many parties who relied on the decision in finalizing the bankruptcy. United also stated that to overturn the ALPA-United agreement at this time would jeopardize their ability to operate outside of bankruptcy. Oral arguments on URPBPA�s appeal of the ALPA-United agreement are scheduled for 9:30 AM on February 24, 2006. URPBPA will be filing a response opposing United�s motion to dismiss. It is not known when the Seventh Circuit Court of Appeals will rule on United�s motion. Judge Wedoff has issued his recommended Findings of Fact and Conclusion of Law as directed by Judge Darrah when he reversed Judge Wedoff�s decision allowing the Pension Benefit Guaranty Corporation to terminate the United Airlines Pilots� Defined Benefit Pension Plan. URPBPA will file our objections to Judge Wedoff�s recommendations by February 27, 2006. This matter will be decided by Judge Lefkow at some later date. Judge Darrah has indicated that he will rule on February 23, 2006 on United�s appeal of Judge Wedoff�s order requiring United to pay retired pilots the October 2005 non-qualified pension payment. Further updates on these legal activities will be posted on this website as the information becomes available. WEBSITE UPDATE 2-17-06 THE United Retired Pilots Benefit Protection Association (URPBPA) has previously posted on its website, a list of names of URPBPA members who increase their claim amounts for non-qualified pension benefits when they submitted their ballots while voting on United�s Plan of Reorganization. This list, referred to as the A-1 list, was prepared by Kirkland & Ellis who are the attorneys representing United Airlines in the bankruptcy proceedings. URPBPA members who believe they should be included on this list have contacted URPBPA�s attorneys notifying them that they should be included on this list. The names of URPBPA members who have requested to be added to the list may be viewed by clicking on this link. If you are an URPBPA member, and you increased you non-qualified claim on your ballot, and your name is not included on the attached list, please contact Bonnie Wintz at Meckler, Bulger, and Tilson, via e-mail at bonnie.wintz@mbtlaw.com immediately. You must contact Bonnie Wintz before 4 PM on February 20, 2006, to have your name included on the list of additional names we will send to Kirkland & Ellis. The names of members who should be included on the A-1 list will be sent to Kirkland & Ellis at 4 PM Chicago time on February 20, 2006. If you do not respond by this time, it is possible that URPBPA will not be able to have you included in the proceedings to protect your increased non-qualified pension claims amount. IF YOU ARE INCLUDED ON THE A-1 LIST OR THE LIST POSTED WITH THIS UPDATE, PLEASE DO NOT CONTACT BONNIE WINTZ AGAIN. WEBSITE UPDATE 2-15-06 The United Retired Pilots Benefit Protection Association (URPBPA) has received questions from some retired pilots asking when they can expect to receive their distribution of "New UAL Stock" in settlement of their claim against United Airlines for any lost non-qualified pension benefits and Section 1114 medical benefits. The short answer to the question is that the extent and timing of the stock distribution will depend on the outcome of ongoing litigation. On February 2, 2006, Federal District Court Judge John Darrah reversed Bankruptcy Court Judge Eugene Wedoff�s decision to allow the PBGC to terminate the United Airlines Pilots� Defined Benefit Pension Plan (the "Pilots� Plan"). Judge Darrah�s decision means that the Pilot Plan did not terminate. The Pilot Plan remains in effect unless and until it is terminated by a District Court Judge. The October 2005 non-qualified pension payment is in an escrow account pending an appeal by United of a Bankruptcy Court order that required United to make that cash payment to retired pilots. This appeal is before Judge Darrah and a ruling is expected this month. As to the remainder of the non-qualified pension payments, URPBPA will pursue the rights of its members to receive full cash payments for the months including November and December 2005, January and February 2006 and for all subsequent months the Pilot Plan remains in effect. We expect United to resist and the matter will need to be determined in court proceedings. United would rather have URPBPA members not pursue cash payments and instead receive the new United stock in an amount of 4 to 8% of the cash value of the benefits. Until this matter is resolved, United�s position is that it will not distribute stock. URPBPA will continue to pursue the cash payments it seeks for 100% of the non-qualified benefits owed to its members. Stock payments from United for non-qualified benefits will be pursued if the attempts to receive cash payments are not successful. URPBPA will also seek to have the full qualified pension payment amounts distributed on March 1, instead of the reduced amounts that the PBGC had planned to send to some retired pilots. As to stock United should pay for Section 1114 lost insurance benefits, United has refused to distribute that stock to retired pilots who have challenged United on the non-qualified claim issue. United�s position is that it will only distribute stock once to a retired pilot to pay his or her non-qualified and 1114 claims. United has stated that it will distribute the 1114 stock once the non-qualified claim issue is resolved. Issues related to the 1114 benefits need to be reviewed by the Section 1114 committee of retired pilots and you will be updated as to what position that committee takes. WEBSITE UPDATE 2-10-06 The Pension Benefit Guaranty Corporation (PBGC) today notified the United Retired Pilots Benefit Protection Association (URPBPA) that the PBGC has reached an agreement with United Airlines to act as interim Trustee of the United Airlines Pilots� Defined Benefit Pension Plan. The PBGC also stated that they intend to reduce the qualified pension benefits paid to retired pilots on March 1, 2006, to the levels they had previously announced. This announcement makes it clear that the PBGC continues to operate in collusion with United Airlines management to deny retired United pilots their rightful pension benefits. URPBPA believes that any agreement of this kind is not within the law, and contrary to court orders. Attorneys for URPBPA will be challenging this new agreement in Federal court. WEBSITE UPDATE 2-07-06 United Airlines today withdrew their motion requesting that Judge Darrah reconsider his February 2, 2006 ruling. In that ruling, Judge Darrah reversed Judge Wedoff�s October 26, 2005, and October 28, 2005 decisions allowing the Pension Benefit Guaranty Corporation to terminate the United Airlines Pilots� Defined Benefit Pension Plan. As a result of United�s withdrawal, there will be no hearing on this matter on February 10, 2006. As of February 7, 2006, United has made no additional court filings related to Judge Darrah�s decision. WEBSITE UPDATE 2-6-06 United Airlines has filed a motion requesting that Federal District Court Judge Darrah reconsider his decision of February 2, 2006, where he reversed Judge Wedoff�s October 26, 2005 and October 28, 2005 rulings that allowed the Pension Benefit Guaranty Corporation to terminate the United Airlines Pilots� Defined Benefit Pension Plan. United has requested that Judge Darrah hold a hearing on their motion on February 10, 2006, at 9:00 AM. Attorneys for the United Retired pilots Benefit Protection Association will participate in the hearing. They will present arguments supporting Judge Darrah�s decision to overturn Judge Wedoff�s previous rulings. Website Update 2-02-06 IMPORTANT WEBSITE UPDATE REGARDING THE UNITED AIRLINES PILOTS� DEFINED BENEFIT PENSION PLAN We have good news to report. Today, U.S. District Court Judge John Darrah reversed orders previously entered by the Bankruptcy Court allowing the Pension Benefit Guaranty Corporation (PBGC) to terminate the United Airlines Pilots� Benefit Pension Plan effective December 30, 2004. This reversal means that the pilot pension plan should not have been terminated and should be in effect as of today. On October 26 and 28, 2005, Bankruptcy Judge Eugene Wedoff issued a written decision and orders terminating the Pilots� Plan. In his written opinion, Judge Wedoff stated that he had the authority to enter orders terminating the plan. URPBPA appealed the decision to the District Court and today, Judge Darrah issued an opinion reversing the termination decision as he found that the Bankruptcy Court did not have jurisdiction and that only a District Court would have the authority to consider whether or not the Pilots� Plan should be terminated. The PBGC may attempt to have a higher court reverse Judge Darrah's order. URPBPA will resist any such efforts. Unless a higher court reverses Judge Darrah, his order will remain in effect. If the PBGC does not appeal Judge Darrah�s order, but otherwise continues pursuing its efforts to terminate the Pilots� Plan, it may seek a termination order from District Court Judge Joan Lefkow, the Judge to whom the case was originally assigned. She is the Judge who will have the authority to decide whether the Bankruptcy Court's prior findings will be accepted and whether a new order terminating the Pilot Plan should or should not be entered. URPBPA will have the opportunity to object to the entry of any order to terminate the Pilots� Plan. URPBPA will continue to defend the preservation of the pilot pension plan and resist all attempts to terminate the plan. We thank all of URPBPA's members for their continuing support. To see Judge Darrah's opinion, please click on this LINK. Website Update 2-01-06 LOST MEMBERS! The United Retired Pilots Benefit protection Association (URPBPA) has been unable to contact some members in order to obtain additional documentation showing that they want to be represented by URPBPA and its attorneys in connection with United's bankruptcy and issues regarding the value of non-qualified benefit claims. If your name is on the attached list, we have not been able to contact you. If your name appears on this list, please send an e-mail to bonnie.wintz@mbtlaw.com. In the e-mail, please state your name and address and, in addition, please type the following words: "I authorize URPBPA and its attorneys to represent my interests in the United Air Lines, Inc. bankruptcy." If the name of someone you know is on the list, please contact them and have them contact Bonnie Wintz as described above. Please click here to view the list of URPBPA members who need to respond to this request. WEBSITE UPDATE 1-31-06 Retired pilots have received, or will soon receive, the PBGC's Benefit Statement which promises to provide "an explanation of the limitations affecting your plan". There is no explanation of the calculations used to reach the "Estimated PBGC Monthly Benefit at Date of Plan Termination." URPBPA has already had meetings with the PBGC to try to get an explanation of the PBGC's methodology. We have received promises of cooperation, but no concrete results yet. We will continue to try to get the information and communicate it to our membership as soon as we receive it. We will also act to protect the benefits our member's should receive under the law. The PBGC is planning to hold meetings at various locations in April to explain the new benefits and the process they used to make the determination of the interim payments. They have also said they will PBGC personnel present at these meetings to respond to individual questions and to provide explanations on the interim benefits. Each retired pilot should make every effort to attend on of these meetings. Please don't contact us about your individual cases at this time. We will not be able to provide any meaningful individual responses until we get more information. The US Airways bankruptcy and pension termination has proven to be a road map leading to the events at UAL. Attached is a report from the leader of the US Airways' equivalent of URPBPA regarding their experience with the PBGC. This report will give you some idea of the battle ahead of us. Click on this link to read the US Airways report. WEBSITE UPDATE 01-28-06 IMPORTANT - URGENT CLAIM INFORMATION! URPBPA�s attorneys have prepared a detailed document outlining the Bankruptcy Court�s plan for handling the claims of the retired pilots who claimed non-qualified pension values greater than United�s calculated value on the Reorganization Plan ballot. The attorneys� document can be accessed by clicking on the above link. Every retired pilot who was receiving non-qualified pension payments needs to read this document. You may need to contact our attorneys about your claim as described in the document. WEBSITE UPDATE 1-25-06 URPBPA LEGISLATIVE ALERT Retired United pilot Jim Hosking strongly believes that with a strong push from URPBPA members and others, it is still possible to influence the Congress to include United Airlines in the Pension Bill. The Pension Bill is awaiting action by a Conference Committee composed of leaders from the House and Senate which will meet after January 31, 2006. Your action could still make a difference in the outcome. Isn't your pension worth a few minutes of your time? For more information, click on the this link. WEBSITE UPDATE 1-21-06 The monthly Omnibus hearing on UAL bankruptcy matters was held by Judge Wedoff on January 20, 2006. At the conclusion of the hearing, the Judge signed an order confirming United�s Plan of Reorganization. As a result of this order, United will no longer be operating as a bankrupt company. United presented a motion at the hearing requesting that Judge Wedoff reconsider his two previous orders requiring United to make non-qualified Pension Plan payments including the October, 2005 payment. Judge Wedoff denied United�s request and stated that his previous rulings on the matter still stand. United has appealed Judge Wedoff�s decisions on this matter to the Federal District Court in Chicago. The matter awaits a decision from District Court Judge Darrah. The issue of retired pilots� increased claim amounts for their non-qualified Pension Plan losses was discussed at the hearing. The Judge ordered United and attorneys for the United Retired Pilots Benefit Protection Association (URPBPA) to meet and discuss the issue by January 31, 2006. There will be a pretrial conference on the claims adjustment for URPBPA members at the Omnibus Hearing on February 17, 2006. Judge Wedoff will decide at that time if a trial on the adjustments will be necessary or if it will be sufficient to just have the parties file briefs on the matter. Judge Wedoff ordered United to set aside sufficient "New United" stock to provide for URPBPA members� increased claim amounts up to 15% above United�s calculated amounts. Judge Wedoff will decide if adjustments to the non-qualified pension claim amounts suggested by URPBPA are appropriate at a hearing subsequent to the February 17, 2006, pretrial hearing. URPBPA argued that pilots who retired in 2005 should have been supplied with ballots and claim amounts representing the loss of their non-qualified pension benefits. This issue will be resolved through the process described above, discussion followed by pretrial conference followed by a subsequent hearing, if necessary. URPBPA will continue to represent the non-qualified pension claim increases for URPBPA members up to the amount recommended by URPBPA�s actuaries. WEBSITE UPDATE 1-20-06 An attorney for the United Retired Pilots Benefit Protection Association (URPBPA) has met with representatives of the Pension Benefit Guaranty Corporation (PBGC) seeking information on the process the PBGC will use to recalculate retired pilots� pension benefits. Our attorney requested the PBGC supply URPBPA with sufficient information to make it possible to understand the various elements the PBGC takes into consideration in their calculations. Our attorney also brought to the PBGC representatives� attention the differences in the retired pilots� situation from other retirees who are not forced to retire at age 60. The various provisions of the United Airlines Pilots� Defined Benefit Pension Plan were also explored. The PBGC advised that they plan to send a letter to each United retired pilot by February 1, 2006, advising them of the adjustments that will be made to the retiree�s pension payment. The PBGC expects the new pension payment amount will be effective with the March 1, 2006 payment. The PBGC stressed that any cutbacks in benefits made at this time are done on an estimated basis and do not represent a final benefit determination by the agency. The PBGC is in the process of gathering the information it needs to process the termination of the plan and determine final benefits. This process takes time; the PBGC typically issues final benefit determinations 2-3 years after PBGC assumes trusteeship of the plan. For the UAL Pilots Plan, this would mean some time in 2008. If it turns out that PBGC's original estimate was too low, PBGC will pay any net underpayment, with interest, at the time it issues the final benefit determination. If the estimate was too high, net overpayments are recouped by reductions to future benefits (computed without interest). Generally the reduction is limited to 10% of the monthly benefit amount. If a participant disagrees with the final benefit determination, he may appeal it to PBGC's Appeals Board. The PBGC anticipates holding meetings with United pilots at various locations in the US in April 2006. The purpose of the meetings will be to explain the new payments and the PBGC's process, as well as to respond to questions from retired pilots. PBGC said it would have staff with computers at the meetings, and could answer specific questions about an individual's benefit at that time. WEBSITE UPDATE 1-19-06 The United Retired Pilots Benefit Protection Associations (URPBPA) attorneys are calling URPBPA members and asking them to authorize our attorneys, Meckler, Bulger, and Tilson, to represent them in United�s bankruptcy action. There will be hearings in the latter part of the week of January 16 that may require this authorization. The Board of Directors of URPBPA urges all of its members who are called, to agree to the representation request. If you do not receive a call from URPBPA�s attorneys, that means that we have received the necessary authorization from you in the past. WEBSITE UPDATE 1-19-06 Judge Wedoff held a hearing yesterday on objections to United�s Plan of Reorganization. The United Retired Pilots Benefit Protection Association (URPBPA) had filed objections to: United�s refusal to count the votes of retired pilots on United�s Plan URPBPA�s position that retired pilots are entitled to consideration similar to what active United pilots received for the loss of their Defined Benefit Pension Plan United�s release provisions should not apply to parties involved in United�s bankruptcy other than United. Because of URPBPA�s repeated motions and with direction from the Court, United has counted the votes of the retired pilots who challenged United�s calculations of their non-qualified pension claims. This recount resulted in Class E (Other Unsecured Creditors) rejecting United�s Plan of Reorganization. This is a significant reversal, since United and Poorman-Douglas had previously reported that all classes of creditors had voted to approve United�s Plan. Judge Wedoff denied URPBPA�s other two objections. He said that retired pilots were not entitled to compensation similar to the $550 million in convertible notes negotiated by the Air Line Pilots Association (ALPA) for the active pilots. He said that this was compensation provided as a result of modifications to their collective bargaining agreement and that the retired pilots had no ongoing relationship with United. This is in spite of the fact the ALPA collective bargaining agreement states that the $550 million in convertible notes was expressly provided to compensate for the loss of pension benefits. The Judge also denied our objection to the release provisions and ruled that the release and exculpation provisions in the reorganization plan apply to parties such as ALPA even though they are not in bankruptcy. URPBPA will be appealing this decision on the release and exculpation provisions. Judge Wedoff approved United�s Management Equity and Incentive Plan. The Plan provides that 8% of the shares in the "New United" be allocated to United�s top managers. In other matters, the Association of Flight Attendants reached an agreement with United on the termination of their Defined Benefit Pension Plan and the implementation of a Defined Contribution Pension Plan. WEBSITE UPDATE 1-17-06 Today, January 17, 2006, attorneys for the United Retired Pilots Benefit Protection Association (URPBPA) argued in front of Judge Wedoff their motion to require United to count the ballots of retired pilots who objected to United�s calculation of their non-qualified pensions. United asked Judge Wedoff to require URPBPA�s attorneys to submit "Authorization to Represent" forms for those URPBPA members who have not had their forms submitted. URPBPA is in contact with those members and the authorization forms received from those members will be submitted to the Court later today. Judge Wedoff will issue his ruling on the vote count issue after the necessary forms are submitted. WEBSITE UPDATE 1-16-06 On January 13, 2006, attorneys for the United Retired Pilots Benefit Protection Association (URPBPA) filed a motion seeking sanctions against United Airlines. This motion arises from United�s repeated attempts to suspend payment of non-qualified benefits under the Pilots� Defined Benefit Pension Plan (the Plan). United originally attempted to terminate the payments March 1, 2005 and Judge Wedoff ruled that United was obligated to continue paying non-qualified benefits until a final order was entered terminating the Plan. United then failed to make the October 1, 2005 payment, relying on a preliminary ruling by Judge Wedoff�s. URPBPA objected and the Judge ruled that United had to make the October payment. United subsequently appealed his ruling. After the appeal had been fully briefed, at considerable expense to URPBPA, United filed a request for "reconsideration" by the Bankruptcy Court of its prior rulings in favor of the continuation of payment of non-qualified benefits to retired pilots. In its motion URPBPA�s attorneys state that "United�s motion to reconsider is clearly frivolous; it was filed in bad faith with the intent to harass, cause unnecessary delay, and to needlessly increase the cost of litigation." UPRBPA asks in its motion that the "Court enter an order imposing the proper sanctions against United requiring United to pay URPBPA�s reasonable expenses and attorneys� fees associated with the defense of United�s motion to reconsider and in pursuit of this motion for sanctions." URPBPA�s motion for sanctions can be viewed by clicking on this link. WEBSITE UPDATE 1-13-06 A hearing was held in Judge Wedoff�s Court on January 12, 2006 concerning the United Retired Pilots Benefit Protection Association�s (URPBPA) demand that United Airlines count all of the ballots submitted by retired pilots who voted on United�s Plan of Reorganization. Judge Wedoff asked that the parties submit additional information to him on the voting matter and deferred ruling on URPBPA�s motion until January 17, 2006, at 10:30 AM. United admitted in a Court filing that they did not count the ballots of approximately one third of the retired pilots who submitted ballots. United�s excuse for not counting the ballots was that these retired pilots increased the value of their claim for lost non-qualified pension benefits. United has challenged the increased claim amounts and stated that since the claim amounts are still in dispute, they could not properly count the ballots. United�s position is that the non-qualified claim should be the amount which United had inserted on the voting ballots. United further admitted that if they had counted the ballots on a numerical basis, Class E would have voted to reject United�s Plan of Reorganization. This is totally different from United�s initial reports that all classes of creditors had voted to approve their Plan. The data supplied in United�s filing revealed that had the votes of objecting creditors in Class E been counted numerically, only 46% of the Class E creditors would have voted to accept the Plan and therefore Class E would have rejected United�s Plan of Reorganization. United also noted that the Class E group would have been 200 votes short of the required 50% needed to approve the Plan. WEBSITE UPDATE 01-13-06 PLEASE READ THIS ENTIRE UPDATE CAREFULLY, AS IT MAY REQUIRE ACTION ON YOUR PART! United recently filed its Thirty-Fifth Omnibus Objection to Claims. Many of URPBPA�s members have received notices informing them that United is objecting to one or more of their bankruptcy claims in this Omnibus Objection. URPBPA has analyzed the objection and prepared a response that was filed with the Bankruptcy Court on January 11, 2006. URPBPA�s response can be viewed by clicking on this link. As it can be seen, URPBPA responded to the objections raised by United in Exhibits A, C and D to the Omnibus Objection. A description of URPBPA�s response to each Exhibit follows. United�s Objection: Exhibit A In Exhibit A, United objects to the ballots submitted by a number of URPBPA members and other United creditors. United objects because the creditors listed in Exhibit A wrote claim amounts on their ballots that are greater than the claim values provided by United on the first page of the ballot. Because URPBPA determined that United had undervalued retired pilot claims for "Pilot Non-Qualified Benefit Claims," URPBPA gave its members instructions on how they could increase the value of the non-qualified benefit claims on their ballots. A large number of URPBPA�s members followed these instructions and, using the chart supplied by URPBPA, recalculated their non-qualified benefit claim and wrote the recalculated claim amount on the ballot�s third page. United has filed an objection to these recalculations, arguing that the amount it listed on the ballot is the correct amount. URPBPA and its actuary disagree. As a result, a hearing will be held on January 20, 2006 to determine whether the Bankruptcy Court will approve United�s values or the recalculated values. As it can be seen from URPBPA�s filing (please use the link provided above), URPBPA provided the Court with a list of its members who URPBPA will be defending in connection with United�s objections set forth in Exhibit A. URPBPA has done everything possible to make sure this list is complete. But if you made a recalculation of your non-qualified pension claim and you are an URPBPA member, please do the following. ACTION REQUIRED> First, look at the Exhibit A list that was attached to United�s motion. You can access this list by clicking here. If you see your name on Exhibit A and you are an URPBPA member, then look at URPBPA�s first exhibit to its response, which you can access by clicking here. If you are an URPBPA member and your name is on United�s Exhibit A, your name should also appear on URPBPA�s Exhibit 1. If it does not, please contact Bonnie Wintz at mailto:bonnie.wintz@mbtlaw.com or at (312) 474-7977 so that she can assist you. United�s Objection: Exhibit C United has taken the position that United pilots who retired on or after January 1, 2005 are not entitled to a "Pilot Non-Qualified Benefit Claim." URPBPA disagrees with United�s position and will attempt to demonstrate to the Court that United pilots who retired in 2005 are entitled to a claim for any non-qualified pension benefits they may lose as a result of United�s Chapter 11 proceedings. URPBPA�s position is set forth in the January 11, 2006 response filed with the Bankruptcy Court. United�s Objection: Exhibit D United has also attempted to remove from the Bankruptcy Court records certain proof of claim forms filed by URPBPA members and other United creditors. URPBPA has responded to this objection as well. ACTION REQUIRED> If you are an URPBPA member, please look at the Exhibit D list that was attached to United�s motion. You can access this list by clicking here. If you see your name on Exhibit D and you are an URPBPA member, then look at URPBPA�s seventh exhibit to its motion, which you can access by clicking here. If you are an URPBPA member and your name is on United�s Exhibit D, your name should also appear on URPBPA�s Exhibit 7. If it does not, please contact Bonnie Wintz at bonnie.wintz@mbtlaw.com or at (312) 474-7977 so that she can assist you. WEBSITE UPDATE 1-12-06 URPBPA LEGISLATIVE ALERT The Congress continues to work on a Pension Bill to reconcile the House and Senate versions of their pension bills. Neither of these bills help the United retired pilots. Retired pilot Jim Hosking continues his tireless efforts to influence the outcome of this legislation and strongly believes that the United pensions can be saved. URPBPA supports his efforts. We hope that those of you who have contributed in the past continue to do so. If you haven't, don't you think a few minutes of your time to save your pension is a worthwhile investment? To access Jim's latest campaign, please click this link: WEBSITE UPDATE 1-11-06 On January 10, 2006, the United Retired Pilots Benefit Protection Association (URPBPA) filed an emergency motion in Federal Bankruptcy Court challenging the vote tabulation of ballots submitted by retired pilots on United�s Plan of Reorganization. A thorough review by URPBPA�s attorneys of the report prepared by Poorman-Douglas on the voting on United�s Plan of Reorganization revealed that the votes of retired pilots who challenged the claim amounts prepared by United were not counted. Discussion with United�s attorneys made clear that United had elected to not count these votes because United has made the decision to challenge the increased claim amounts submitted by many retired pilots. URPBPA�s motion alleges that Poorman-Douglas failed to properly count all of the valid ballots submitted and therefore their certification of the voting should be declared invalid. It is the position of URPBPA that all of the valid ballots submitted by retired pilots should be counted. Retired pilots did not give up their right to vote on the Plan just because they challenged United�s calculated claim amounts. URPBPA contends that the ballots of retired pilots who challenged the claim amounts should have been counted using at a minimum, the claim amounts calculated by United. These amounts could be adjusted at the conclusion of hearings to determine the proper claim amounts. The hearing on URPBPA�s emergency motion will be held by Judge Wedoff on January 12, 2006. URPBPA is requesting that Judge Wedoff find that a confirmation hearing on United�s Plan not take place until United has properly counted the votes of retired pilots and submitted an amended voting report. A copy of URPBPA�s motion can be viewed by clicking on this link. WEBSITE UPDATE 1-06-06 The United Retired Pilots Benefit Protection Association�s (URPBPA) January 4, 2006 website update stated that the Association�s attorneys and actuaries will defend against United�s objections to the increased amounts claimed by URPBPA members who "followed URPBPA�s recommendations for increasing their non-qualified benefit claim amount." This update responds to questions from members concerning URPBPA�s representation on the increased claim amounts and clarifies the earlier statement somewhat. URPBPA will ask Judge Wedoff to allow claim amounts, adjusted as recommended by URPBPA�s actuaries, for all URPBPA members who challenged United�s calculated amounts. URPBPA members who claimed amounts greater than recommended by URPBPA�s actuaries and who wish to pursue these higher claims must file their own responses to United�s objections with the court by Jan. 11, 2006. Those members, or their own attorneys, should also appear in court on Jan. 20, 2006 at 9:30 AM, when the matter may come before Judge Wedoff. WEBSITE UPDATE 1-04-06 United Airlines has filed objections to the increased claim amounts for non-qualified Defined Pension Plan Benefits that some retired pilots claimed on their ballots when they voted on UAL�s Plan of Reorganization. The objections were filed with the Bankruptcy Court on December 29, 2005. Retired pilots who claimed an increased amount should have received notice of United�s objections by mail from United. The hearing on the objections is scheduled for January 20, 2006, in Bankruptcy Court in Chicago. The United Retired Pilots Benefit Protection Association�s (URPBPA) legal team and actuaries will be defending the increased claim amounts for URPBPA members in good standing who followed the recommendations of URPBPA for increasing their non-qualified benefit claim amounts. Retired pilots who followed URPBPA�s recommendations need do nothing in response to United�s objections, as URPBPA will defend the increases in Court. Retired pilots who are not URPBPA members in good standing, or who filed increased claim amounts beyond those recommended by URPBPA�s actuaries will need to make arrangements to defend their increased claim amounts at the hearing in Chicago in accordance with the instructions they received in the letter announcing United�s objections to their increased claim amounts. WEBSITE UPDATE 1-3-06 UAL announced that its creditors voted to approve its Plan of Reorganization. The report on the voting, prepared by Poorman-Douglas, shows that all classes of creditors voted to approve the plan, both numerically, and in terms of the dollar amount of the claims held by the creditors. The approval percentages varied with each class of creditors. More details on the voting and the approval can be found by going to the UAL website at Poorman-Douglas (www.pd-ual.com). Judge Wedoff will hold a confirmation hearing on UAL Plan of Reorganization on January 18, 2006
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