Delta awarding CEO $13.6M for closing NWA deal

[ACL65PILOT]

It goes directly in to your retirement accounts.
Read the MEC publication on it. Reference the ALPA page. It spells out very clearly how many shares and where it is going, and why.
Now you can borrow against your 401K with penalties if you want to.

 

[Champ42272]

The real question about the stock payouts to the pilots is the total value of the company. I have not seen a estimated value, since the Delta pilots are supposed to receive 3.5% of the new Delta. I do know the expected revenue of the new company was estimated to be over $35B.

Most pilots are going to average about 4000 shares in the new company, but at what stock price?

If anyone has any information on this I would like to know.

Just my opinion, I could be wrong.

Champ 42272

 

[Bert Harbenson]

The real question about the stock payouts to the pilots is the total value of the company. I have not seen a estimated value, since the Delta pilots are supposed to receive 3.5% of the new Delta. I do know the expected revenue of the new company was estimated to be over $35B.

Most pilots are going to average about 4000 shares in the new company, but at what stock price?

If anyone has any information on this I would like to know.

Just my opinion, I could be wrong.

Champ 42272

ALPA has hired an outside financial firm to sell the shares as it sees fit to maximize value. As I understand it is the same company they used to sell the BK claim. They may sell it all at once, or more likely in blocks when they think the market is favorable. Only when all the stock is gone will we know the value of the share, then that money will be distruibuted into our 401k's. Any excess over the IRS yearly limit will be paid in cash. If the firm cannot sell all of the stock at a "good" price we will just get the leftover shares of DAL placed into our 401k to do with what we wish.

So to get an estimate of an individual's take multiply the number of shares (about 3400-4000 depending on senority) by whatever price you think the stock will sell at.

 

[hmmurdock]

ALPA has hired an outside financial firm to sell the shares as it sees fit to maximize value. As I understand it is the same company they used to sell the BK claim. They may sell it all at once, or more likely in blocks when they think the market is favorable. Only when all the stock is gone will we know the value of the share, then that money will be distruibuted into our 401k's. Any excess over the IRS yearly limit will be paid in cash. If the firm cannot sell all of the stock at a "good" price we will just get the leftover shares of DAL placed into our 401k to do with what we wish.

So to get an estimate of an individual's take multiply the number of shares (about 3400-4000 depending on senority) by whatever price you think the stock will sell at.

Greetings. Does anyone know the max amount the company can put in the account. In other words, will we likely see the leftover as extra on a future paycheck.

Thanks

 

[Champ42272]

For 2009 I believe it is $47,000. Anything over that would be paid to the pilot, minus taxes.

Just my opinion, I could be wrong.

Champa42272

 

[Bert Harbenson]

For 2009 I believe it is $47,000. Anything over that would be paid to the pilot, minus taxes.

Just my opinion, I could be wrong.

Champa42272

I think that number sounds correct (+/- a $1000). In addition, once you meet that limit, even if it is later on in the year with your own 401k contributions, the company will pay its match portion as salary. Based on an $11/share price that could be an 11% bump (or restoration) in pay for the last few months of 2009.