November 19, 2004
Kelley Drye is representing Pension Benefit Guaranty Corporation ("PBGC") in several matters involving major troubled airlines, including Northwest Airlines and the bankruptcies of U.S. Airways and United Airlines. PBGC is a federal government agency formed under the Employee Retirement Income Security Act of 1974 ("ERISA") which insures defined benefit pension plans and is charged with enforcing certain obligations of pension plan sponsors arising under ERISA. Kelley Drye worked with PBGC in regard to negotiating and documenting Northwest Airlines’ collateral package required by a minimum funding waiver from the IRS, and in responding to U.S. Airways’ motion to terminate its pensions plans. More recently, Kelley Drye assisted PBGC in successfully opposing United Airline's motion to restructure its Collective Bargaining Agreement with the Air Line Pilots Association. Kelley Drye has been representing PBGC in airline-related and other matters since the first TWA bankruptcy in the early 1990's.