In my opinion, this is very important and good news for the employees at UAL. When we completed the ATSB process without getting a positive response, a new financing strategy needed to be implemented. This involves negotiations with the equity and traditional lending markets. These deals can take quite a bit of time. It was essential that we have the funding in place to operate smoothly while this process plays itself out. If we end up not needing it, great. But it would have been foolish not to plan for it. I also tend to agree with Tilton, who said that we should take advantage of the protections of Ch 11 as long as we need to in order to make sure we do this right the first time.
No mention thus far about what, if any, further concessions are going to be required of the employees. Anything you hear at this point is TOTAL speculation. How do I know this? Because the negotiations have just started. Much of what occurs depends on how much financing is available from traditional lenders, and how much is required from equity investors. Then you have to see exactly what kind of equity investors you end up doing business with. I am not on the negotiating committee, so I will abstain from comment about what I think will happen. I'm sure you will see some changes to the contracts that we have in place, but to what extent, NOBODY on this planet knows yet.
Obviously we would prefer not to be putting up further collateral and borrowing more money. The ATSB decided that our problems were not generated by September 11th (obviously they missed the fact that two of those planes were ours... flew them both) and that we are not an essential part of the U.S. transportation system. However, Frontier, America West, Aloha and others must be, as they were backed by the ATSB... but I digress. I'm not sure what kind of bailout you are suggesting we got, or are trying to get, but this is certainly not the road we wanted to be on. But here we are. Just trying to do the best we can. If you want to see leveraged, look at Continental...