US Airways 2010 Annual Report Download - page 13

Table of Contents
Since the merger, we have been in the process of integrating the labor agreements of US Airways and America West Airlines, Inc.
("AWA"). Listed below are the integrated labor agreements and the status of the US Airways and AWA labor agreements that remain
separate with their major domestic employee groups.
Contract
Union Class or Craft Employees (1) Amendable Date
Integrated labor agreements:
International Association of Machinists & Aerospace Workers
("IAM") Fleet Service 5,900 12/31/2011
Airline Customer Service Employee Association — IBT and CWA
(the "Association") Passenger Service 5,700 12/31/2011
IAM Mechanics, Stock Clerks and Related 3,200 12/31/2011(2)
IAM Maintenance Training Instructors 30 12/31/2011
Transport Workers Union ("TWU") Dispatch 200 12/31/2009(3)
TWU Flight Crew Training Instructors 100 12/31/2011
TWU Flight Simulator Engineers 50 12/31/2011
US Airways:
US Airline Pilots Association ("USAPA") Pilots 2,600 12/31/2009(4)
Association of Flight Attendants-CWA ("AFA") Flight Attendants 4,800 12/31/2011(5)
AWA:
USAPA Pilots 1,400 12/30/2006(4)
AFA Flight Attendants 2,200 05/04/2004(5)
(1) Approximate number of active full-time equivalent employees covered by the contract as of December 31, 2010.
(2) In negotiations for an agreement to replace contract that will become amendable.
(3) In negotiations for an agreement to replace amendable contract.
(4) Pilots continue to work under the terms of their separate US Airways and AWA collective bargaining agreements, as modified by the
transition agreements reached in connection with the merger. On April 18, 2008, the NMB certified USAPA as the collective
bargaining representative for the pilots of the combined company, including pilot groups from both pre-merger AWA and US
Airways. Since that time, we have been engaged in negotiations with USAPA over the terms of a single labor agreement covering
both groups.
(5) In negotiations for a single labor agreement applicable to both US Airways and AWA. On December 15, 2005, the NMB recessed
AFA's separate contract negotiations with AWA indefinitely. Flight attendants continue to work under the terms of their separate US
Airways and AWA collective bargaining agreements, as modified by the transition agreements reached in connection with the
merger.
There are few remaining unrepresented employee groups that could engage in organization efforts. We cannot predict the outcome of
any future efforts to organize those remaining employees or the terms of any future labor agreements or the effect, if any, on US Airways'
operations or financial performance. For more discussion, see Part I, Item 1A, "Risk Factors – Union disputes, employee strikes and other
labor-related disruptions may adversely affect our operations."
Aviation Fuel
The average cost of a gallon of aviation fuel for our mainline and Express operations increased 28.1% from 2009 to 2010, and our total
mainline and Express fuel expense increased $700 million, or 28.3%, from 2009 to 2010. We estimate that a one cent per gallon increase
in aviation fuel prices would result in a $14 million increase in annual expense based on our 2011 forecasted mainline and Express fuel
consumption.
Since the third quarter of 2008, we have not entered into any new transactions to hedge our fuel consumption, and we have not had any
fuel hedging contracts outstanding since the third quarter of 2009. During 2009 and 2008, we recognized net losses of $7 million and
$356 million, respectively, related to our fuel hedging program.
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