US Airways Plan Status
Plan Notification to PBGC and Trusteeship
On February 1, 2005, the Pension Benefit Guaranty Corporation (PBGC) assumed responsibility for three pension plans formerly sponsored by the bankrupt US Airways Inc.: the Retirement Plan for Flight Attendants in the Service of US Airways, Retirement Plan for Employees of US Airways Who Are Represented by the International Association of Machinists, and Retirement Plan for Certain Employees of US Airways.
PBGC set the Date of Plan Termination (the date the pension plan ended) as January 10, 2005 for Flight Attendants and Machinists and January 17, 2005 for Certain Employees of US Air and the Date of Trusteeship (the date that PBGC takes over the management of your pension plan) as of February 1, 2005.
Notification to Participants
PBGC will begin notifying all participants that we have become trustee of the pension plan.
Collection of Information
PBGC will send informational packets to all participants. The packet included a Participant Information Form (PIF) (if the participant is already receiving benefit payments from the plan) or General Information Form (GIF) (if the participant is not yet receiving benefit payments) that requests participant information (e.g., birth certificate, etc.) to validate company records.
PBGC will begin paying your pension benefit directly with a check drawn on its bank, State Street Corporation. If you use direct deposit, State Street will continue to deposit your benefit into your account.
Participants will be notified in writing if PBGC determines that their benefit needs to be adjusted. PBGC will include a statement illustrating how the estimated benefit was calculated. We will also send an estimated benefit statement to US Airways participants who have not yet retired. Participants who have not yet retired may also obtain an estimated statement of their benefit by calling the PBGC Contact Center at 1-800-400-7242.
Participant Meetings
PBGC will hold meetings with participants. Participants will be notified by letter of the exact dates, times, and locations. These meetings will provide you with information about PBGC and discuss how we will process your benefits. PBGC will also post the meeting notice on this site.
Plan Audit
PBGC will conduct an audit of US Airways pension plans by collecting and validating participant data. This process can take up to three years and includes the following key steps:
Review and audit the plan's assets as of the day the plan ended;
Obtain and analyze all pension plan documents;
Review and audit US Airways bookkeeping records;
Receive and audit the work history of US Airways employees; and
Compute the pension amounts for all participants (to be done once the review of participant data is complete).
During the audit period, participants who anticipate retiring in 90 days can request a benefit estimate and begin receiving estimated benefit payments at the appropriate time.
Final Benefit Information
Based on the audit, PBGC actuaries will determine the participants' final pension benefit amounts. PBGC will send all participants a Benefit of Determination letter that states the final amount of their pension benefit. Some participants may receive these letters early if they are already receiving payments.
If the final determination of your benefit payments does not match the estimated payments you have been receiving, this is how PBGC will address overpayments or underpayments:
Underpayments by PBGC are distributed in lump-sum payments with interest.
Overpayments are taken out of future payments over a period of time.
Appeal Process
You have the right to appeal PBGC's formal determination of your benefit if you can provide a specific reason why the determination is wrong. However, if you simply have a question about your benefit or how it was calculated, you should call PBGC's Contact Center at 1-800-400-7242 for an explanation, instead of filing an appeal. For TTY/TDD users, call the federal relay service toll-free at 1-800-877-8339 and ask to be connected to 1-800-400-7242.
But remember, your appeal must be postmarked by the U.S. Postal Service, FAXed, e-mailed or delivered directly to the Appeals Board no later than 45 days after the date of PBGC's formal determination letter. If you need more time to resolve your questions before the 45-day limit expires, you can request an extension from PBGC's Appeals Board.
Plan Maintenance
Once participants receive their Benefit Determination Letters, final benefit payments will commence.
During the audit period, participants who anticipate retiring in 90 days can apply for pension benefits and, at the appropriate time, begin receiving estimated benefit payments.