To be delivered to: Josh Gotbaum, Director, Pension Benefit Guarantee Corporation, The United States House of Representatives, The United States Senate, and President Barack Obama
To the Director of the Pension Benefit Guarantee Corporation, now that United Airlines is profitable and has over $8 billion in cash, make United take back and restore its employee pension plans.
During bankruptcy, United Airlines terminated its employee pension plans and handed them to the Pension Benefit Guarantee Corporation (PBGC), resulting in up to 80% losses of benefits for retirees. United violated PBGC rules by stating its frequent flyer program was nearly a $400 million liability, its book value, when it should have been shown as a $7 billion asset, its market value as per PBGC requirements. Part of that program could have been sold, as Air Canada did, with that money used to fund its pensions. Now United is highly profitable and has over $8 billion in cash. The PBGC, funded to a great extent by American taxpayers, has the authority to make United take back and restore its pension plans, greatly improving the quality of life for United retirees and removing that liability from taxpayers.
(This text is borrowed from a petition initiated by Robert Engelman at SignOn.org.)