DP3 Consolidated Appeal Filed
October 28, 2011

The DP3 legal team filed our consolidated appeal with the PBGC on Friday, October 28, 2011. The appeal documents were hand delivered to the PBGC offices in Washington DC, and were also electronically transmitted to the agency.

If the USAIR pilot's case is any indication, it will take up to a year for the Appeals Board to render its decision.

DP3 will provide those of you who joined the appeal with the details in the coming days.

Please Note: For those of you still waiting for your final BDL from PBGC – as soon as you receive it, we will add you to the appeal in progress provided you send us your documents and comply with membership requirements within the 45-day window. Procedures for joining the appeal are on the Members Only Page. To be clear, this is only an option for you if you never received a final BDL (primarily our QDRO members) until after the appeal was filed.

DP3 Press Release - Retired Delta Pilots to File Unprecedented Appeal with PBGC
Released 10-12-2011

Group seeks to regain over $600 million in pension benefits lost during Delta bankruptcy

ATLANTA, Oct. 12, 2011 /PRNewswire/ -- The Delta Pilot's Pension Preservation Organization (DP3, Inc.), a group representing the interests of over 6,000 retired Delta pilots, is preparing to file an administrative appeal with the Pension Benefit Guaranty Corporation (PBGC) aimed at recovering approximately $600 million in lost qualified pension benefits.

The consolidated appeal, currently scheduled to be filed on October 28 by the Washington, D.C. based law firm Miller & Chevalier Chartered, will challenge the rules the PGBC applied when calculating final benefits for over 3,500 retired Delta pilots. DP3 contends that PBGC's internal procedures have artificially reduced retired Delta pilots' benefits by an estimated $600 million; this equates to an average loss of approximately $1,200 per month for affected pilots.

The PBGC assumed roughly $2 billion in assets from the Delta Pilots Pension Plan (DPPP) in 2006 following Delta Air Lines' bankruptcy filing and the bankruptcy court approved termination of its pilot pension plan. In addition to plan assets, the PBGC also recovered at least $1.28 billion from Delta during the airline's bankruptcy proceedings. However, due to procedures designed to artificially reduce the earned and funded benefits of retirees, the PBGC is currently shortchanging thousands of retirees. In addition, five years after the termination of the pension plan, the PBGC still has not calculated the benefits for hundreds of retired Delta pilots.

"Due to PBGC delays, we've had over five years to prepare for our consolidated appeal," said DP3 Chairman Will Buergey, who retired from Delta in 2004 as aB-777 Captain. "Retired Delta pilots have lost hundreds of millions of dollars in benefits due to PBGC errors and internal decisions specifically calculated to deny paying earned benefits to retirees. The terminated pension plan had sufficient funds to pay these benefits, and we are determined to see our members receive the benefits they earned over decades of service to Delta Air Lines."

Among the issues being appealed is the PBGC's use of look-backs on IRS pension limitations as these rules apply to Delta Pilot Plan Participants. "The look-back provisions applied by the PBGC severely penalize a large group of retired Delta pilots and contradict the intent of ERISA law," said Buergey.

While other airlines' pilot groups have appealed the PBGC's Final Benefit Determinations, the Delta case is unique. Despite the detailed paperwork required to file an appeal, DP3 successfully collected information from thousands of geographically dispersed retirees.

"Ten years ago, organizing a group of retired pilots living in all corners of the country wouldn't have been possible," said Buergey. "But the electronic age has helped us find pilots who had given up hope of recouping their lost pensions. Through software our volunteers developed in-house, we enabled retirees to seamlessly provide our legal team and actuaries with the data needed to appeal their benefits. We believe there's strength in numbers when challenging an organization like the PBGC, and we've left no stone unturned in our efforts."

DP3's legal team is being led by Anthony Shelley of Miller & Chevalier Chartered. Shelley was recently named one of the best ERISA litigators in the U.S. in the 2012 edition of The Best Lawyers in America®.

CONTACT: Karen Miller, +1-404-285-5422, karenmiller@mindspring.com

DP3 Chairman's Update
October 11, 2011

PBGC Appeal Update

Last week your DP3 trustees met with our attorneys in Washington D.C. for a comprehensive update on our PBGC appeal. For strategic reasons, most of this meeting was conducted in Executive Session; however, the minutes of the public portions of the meeting are available by clicking here.

The trustees were all extremely impressed with the legal case prepared by our attorneys for the group appeal. As a reminder, while individual retirees might have calculation errors contained in their PBGC benefit determinations, the potential total value of individual calculation errors is small compared to the group issues our attorneys will be filing on behalf of all impacted DP3 members – a potential total value approaching $600 million dollars!

Although your trustees deal with these pension issues every day, we realize many of you have not kept abreast of all pension developments since the end of the bankruptcy proceedings. Therefore, we think it's worthwhile to review pertinent information from time to time.

Appeals Deadline Approaching!

You have probably noticed an increase in communications from DP3 in recent weeks as we try once more to enlist all affected retirees before the appeal filing date of October 28, 2011. It is important for anyone desiring to challenge their PBGC benefit to file an appeal because in past cases, the PBGC has usually taken a hard line against allowing any retiree who did not file an administrative appeal to join ensuing law suits brought in federal court against the PBGC. Again, as a reminder, a PBGC beneficiary is generally forbidden from filing a law suit against the PBGC until the administrative appeals have been exhausted.

While the DP3 trustees, especially Retirement Committee Chairman Tom Seever, have reviewed hundreds of BDLs in preparation of our overall appeal, it is impossible for the nine trustees to review everyone's data to ensure it is correct. We encourage every member who is participating in the group appeal to run the benefit calculator located on the Honor Roll Member's only website to ensure that your individual PBGC calculations are correct. (An alternative would be to ask our accountants to run your numbers for a fee of $250; however, the accountants should reach the same conclusion that you can derive yourself, using the online calculator developed by trustees Roger Ross and Tom Seever.)

When reviewing your benefit calculations, the most important things to look for are incorrect data entries. These benefit calculations are performed by computer, and we have found very few calculation errors (using the PBGC's current interpretation of the ERISA regulations) as long as the underlying data is entered correctly. The key information to verify is date of birth, date of hire, seniority date, actual retirement date, normal retirement date, years of credited service, FAE, and the annuity value of your lump sum (not the total lump sum value, but the monthly annuity value).

At this point, we believe all Benefit Determination Letters, except for those of some retirees with Qualified Domestic Relations Orders (QDROs), have been issued. Those retirees who have not received their BDL by the appeal filing date will not be allowed to join the appeal until they have received their BDL, but those retirees will be allowed to join the appeal, in progress, once their BDLs have been issued.

QDROs

As we have said repeatedly, due to the complexity of individual QDROs, DP3 does not have the resources to determine the accuracy of the benefit split between former spouses, but we will appeal the total benefit received by the ex-spouses. Each QDRO participant is encouraged to file their own appeal of the manner in which the PBGC is splitting the benefit, if it is not in accordance with the terms of your individual QDRO. We have discussed this issue in depth with our attorneys; a future DP3 communication will deal solely with this issue.

Just Days Left to Join the Appeal

One final reminder – Even though the appeal will be filed on October 28th, 2011, you must join the appeal by midnight on October 26th, which will give DP3 and our attorneys one full working day to prepare the final appeal documents. This deadline is prominently displayed on the home page of our web site.

That's it for this update. Thanks again for your continued support, and please help us reach out to other retirees who are not yet Honor Roll members. If we are ultimately successful in this battle, your friends will thank you for your recruiting efforts!

DP3 Lead Appeal Attorney Selected for Inclusion in The Best Lawyers in America® 2012 Edition
September 30, 2011

It recently came to our attention that our lead attorney, Anthony Shelley, has been selected for inclusion in "The Best Lawyers in America® 2012 Edition" specifically recognizing his work with ERISA law.

The article is reprinted in the box below. Note that this honor is based on extensive peer review (see the last paragraph). Click this link to the full press release.

The board found it interesting that during a 3 hour face to face meeting last week, this was never mentioned. We only discovered it during a log on to the M&C guest wifi network.

We hope this further encourages you, as it has us, about the quality of the attorneys we have representing our interests.

Numerous Miller & Chevalier Lawyers Selected for Inclusion in The Best Lawyers in America® 2012 Edition 08.31.11 Washington, D.C., August 31, 2011 - Miller & Chevalier Chartered today announced that numerous firm lawyers have been selected as top Washington, D.C. practitioners in the 2012 edition of The Best Lawyers in America®. Dennis Bedell, Litigation & Controversy - Tax; Tax Law James Bensfield, Criminal Defense: White Collar Larry Christensen, International Trade and Finance Law David Cubeta, Litigation & Controversy - Tax; Tax Law Marianna Dyson, Employee Benefits (ERISA) Law; Litigation & Controversy - Tax Rocco Femia, Litigation & Controversy - Tax; Tax Law Stephen Gertzman, Litigation & Controversy - Tax Lawrence Gibbs, Litigation & Controversy - Tax Richard Hibey, Bet-the-Company Litigation; Commercial Litigation; Criminal Defense: White Collar; Litigation - Antitrust Phillip Mann, Litigation & Controversy - Tax Homer Moyer, Jr., International Trade and Finance Law C. Frederick Oliphant III, Employee Benefits (ERISA) Law Barry Pollack, Criminal Defense: White Collar Gary Quintiere, Employee Benefits (ERISA) Law Mark Rochon, Criminal Defense: White Collar Anthony Shelley, Employee Benefits (ERISA) Law; Litigation - ERISA About Miller & Chevalier Founded in 1920, Miller & Chevalier is a Washington, D.C. law firm with a global perspective and leading practices in tax; employee benefits, including ERISA; international law and business; white collar and internal investigations; complex litigation; and government affairs. For more information on the firm, visit www.millerchevalier.com. About The Best Lawyers in America® The Best Lawyers in America® list is a widely utilized referral list of lawyers throughout the nation. Lawyers are selected through an extensive process that has been refined for over 25 years, and involves a rigorous peer-review selection. The 2012 edition of Best Lawyers is based on a rigorous national survey involving more than 3.9 million detailed evaluations of lawyers by other lawyers.

 

Are You On Facebook?
September 28, 2011

Are you on Facebook? So are we. Help us find retired Delta pilots by joining our FB page and suggesting it to your friends! Just click the icon above.

Membership Drive Update
September 18, 2011

We need your help contacting retirees who have not yet joined the appeals.

We don't have access to their addresses: Neither Delta or the PBGC will provide mailing lists or even names of the retirees who are not DP3 members. We have no way of contacting these individuals without your help.

Your help could save you money: There are at least 3,500 retirees who have a great deal to gain from successful appeals. Their potential benefit increase conservatively averages $1,000 per month. Incredibly, only half of those 3,500 are currently supporting the appeals. If we were to gain an additional 1,000 members it would provide most, if not all, of the capital necessary to complete the appeals process. If additional contributions were necessary in the coming years, the cost would be significantly less for each member.

Your help could strengthen our position in court: More members effectively conveys to the court the dissatisfaction of the retirees with the PBGC procedures.

You need to contact them now: We believe the October 28 date for formally filing the administrative appeals will hold. It is currently unclear whether these individuals will legally be able to join the appeals after that date.

Here is what you need to do: We will be sending out several letters over the next few weeks that will clearly state what is at stake for these individuals. We need for you to contact every retiree you can find an address for and ask them to take the time to read the letters.

The first letter is available here: Click This Link To Download The First Suggested Letter. All you have to do is email it. Or call retirees and read it to them. Or print it out and mail it to them.

We are contacted regularly by retirees who had no idea we existed or have been working on their behalf.

We are contacted regularly by retirees who are not supporting us because they are angry over issues that have nothing to do with the current DP3 board, the current DP3 legal team, or the current DP3 issues.

We have done all we can to contact retirees and explain what we are doing for them. Now we need your help to finish that job.

DP3 Chairman's Update
Posted 9-11-11

The DP3 trustees held their monthly meeting on August 15 and the minutes of that meeting are available by clicking the link to the left.

Appeal Update

Most of this meeting was devoted to discussing our legal issues for the PBGC administrative appeal with our attorneys from Miller and Chevalier. Our attorneys feel the PBGC is now making satisfactory progress in providing the information we have requested under the Freedom of Information Act (FOIA) and we are optimistic that the current appeal date of October 28 will hold firm.

As some of you have suggested, there are other approaches we could take to speed up the appeals process, but those efforts would bear additional costs and would not guarantee that the PBGC would provide us with the required data any faster. While we cannot share all of the details at this time, please be assured that your trustees have taken advantage of these recurring delays to improve our odds of success once the administrative/legal process finally commences. Click here to review Question #2 on our web page FAQ for more info on the appeal delays.

Membership Drive

Following the discussion of our legal case, your DP3 trustees have decided to make one final push to reach the hundreds of retired Delta pilots who would benefit from a successful appeal, but are not yet Honor Roll members.

To that end, we have totally revamped the DP3 website to provide our prospective members with the information they need to make an educated decision to either join DP3, or remain on the sidelines as an observer in the legal and/or administrative efforts.

There are literally hundreds of millions of dollars at stake and we would hate to see anyone miss their opportunity to join us simply because they did not understand the administrative and legal processes, or they simply wanted to move on with their lives. (The volunteers at DP3 would also like to move on with our lives, but not before we make every effort to correct the injustice most of us are suffering at the hands of the PBGC!)

We are grateful for the financial contributions from our Honor Roll members-we would not be entering the next phase of this battle without your loyal support. Now we are going to ask you to help us in a different way, one that will help us help you. Neither Delta nor the PBGC will provide DP3 with the names and addresses of the retired Delta pilots, but it is very likely that you have maintained friendships with fellow Delta retirees who are not on our current mailing list.

Over the next few weeks, you will receive several messages from us that help define what the retirees have at stake in this legal challenge, and we are asking you to share that information with your retired Delta colleagues who are not currently Honor Roll members. For a list of current HR members, click here.

While we currently have over 1500 retirees included in the appeal, we believe there are another 2000 with a significant stake in this battle. If we could recruit all of those retirees to DP3 membership, it is probable that we could fund the remaining costs of this project, including a potential federal court case, solely through the additional contributions we would receive from new members. If we are successful at the appeals level and do not find it necessary to file a federal lawsuit to recover our lost benefits, then we will refund any excess contributions on a pro rata basis to all of our Honor Roll members.

Thanks again for your support.

DP3 Membership Drive Letter
Posted 9-11-2011

As we prepare for our final membership campaign prior to the start of the appeals process, we have realized that we have failed to convey to our Honor Roll members, let alone the non-members, exactly what DP3 has accomplished during the last 4 years.

The following is a recurring question that clearly illustrates this. It has been asked many different ways, but we'll share two of the more colorful versions:

Are you guys aware that there are legal ways to force the PBGC to start the appeals process?

Don't you know that the PBGC and our lawyers are stringing us along with all these delays? The lawyers know exactly how much money we have and are milking it the way they were taught to in law school.

We understand that these are sincere questions, but if they understood what we have been doing they would realize that is like a passenger asking a seasoned Captain who is starting a CAT lll approach in bad weather if he is aware he'll need to put the gear down during the approach. It is so basic we don't know how to respond.

We have spent four years evaluating every legal avenue available to us. We have gone over hundreds of documents, hundreds of individual pilot's retirement documents. We have written thousands of pages of analyses of our plan and possible legal means of regaining lost benefits.

We have engaged the very best attorneys in the world. Our lead attorneys have pled cases before the Supreme Court. They believe in our cause, and they work with us every day to minimize our costs. We have provided them with an enormous amount of material and guidance that we believe has saved our members conservatively $1 million dollars. We are in regular email contact with them and have phone conferences at least once a week. They are in regular contact with the PBGC.

We discuss issues like the delays, alternative legal actions, and a myriad of others. We believe, and our attorneys agree, that we have a plan that has been as thoroughly prepared as any group ever to challenge the PBGC (or any other bureaucracy for that matter).

We believe that our success hinges solely on our ability to get the courts to fully consider the complex issues involved. And that is why we have the best attorneys.

We are also having members indicate to us that they have no hope of recovering benefits for any of a number of reasons that are not based in fact - often they just don't see how it is possible, or they "heard from a friend" that they had little to gain. Those friends are not doing them a favor with that kind of misinformation.

We know the Delta plan and how the PBGC is administering it at least as well as anyone in the world (including the PBGC). We have provided pages of guidance linked to our home web page www.dp3.org. If you don't want to take the time to read that, at least trust us when we tell you that all retirees hired after February, 1972 and retired after 7/1/2002 have a lot to gain from successful appeals (typically over $1000/mo, plus back pay). There are at least 1000 other retirees hired prior to February, 1972 who retired after 1995 who would have similar gains from successful appeals.

If you don't want to take the time to read the web page - reread this letter and please understand we know what we are talking about - you have a lot to gain. The PBGC is shorting us a total present value of approximately $650 million.

That is as clear as we know how to make it. We now need to make this clear to the non members, too. We need your help to do so, and guidance for that will follow later this week.

In the meantime, forward this to every pilot retiree you know. Tell them to go to the web page www.dp3.org. Tell them to read the FAQ's. Tell them to support what we are doing for them. We'll do the work, we've done the work. All we need is for everyone to join the appeals.

An even more pointed explanation of why all affected retirees should join the appeals will follow this week. It is designed specifically for the over 1500 retirees who are not yet part of the appeals.

Sincerely,
Your DP3 Board of Trustees

Health Care Survey for 2012 Health Care Open Enrollment
August 15, 2011

The DP3 VEBA Trust is pleased to extend an invitation to all Delta Retirees to participate in a survey regarding the health care plans and options that are available to retirees who are both over and under the age of 65. Please complete the survey based upon whether or not you are eligible for Medicare. You do not have to be currently enrolled in one of the DP3 VEBA Trust plans in order to provide your feedback, and the survey is open to both Pilots and Non-Pilots. We are trying to gather feedback from retirees that are interested in the health care options provided by the DP3 VEBA Trust.

Non-Medicare Eligible Survey:

http://survey.constantcontact.com/survey/a07e4ii56ivgqwsgh9p/start

Medicare Eligible Survey:

http://survey.constantcontact.com/survey/a07e4j0g3bmgqzkp8g9/start

The survey opened today on August 15th and will close on August 26th at the close of business. Thank you in advance for your time and participation.

The DP3 VEBA Trust Board

DP3 Has A New Mailing Address
August 12, 2011

As a consequence of the recent Trustee Election and Trustee Officer changes, we have changed our permanent mailing address for all DP3 Postal Mail. Effective immediately, please send any mail for DP3 to the following address:

DP3, Inc.
8014 Cumming Hwy
Ste 403-333
Canton, GA 30115

We will soon be updating the membership (via email) about recent DP3 work. While it may seem like not much has been going on this summer, your trustees have remained very busy behind the scenes while we wait for PBGC to comply with the last FOIA requests our attorneys need in order to put the finishing touches on our consolidated appeal. We are now looking forward to presenting our arguments to the PBGC administrative appeals board on October 28.

DP3 Requests Your Participation in a Brief Survey
July 18, 2011

The DP3 trustees have learned there is legislation pending in Congress that would have a short-term positive impact for our members who are utilizing the Health Coverage Tax Credit (HCTC), at the expense of eliminating the HCTC program entirely on January 1, 2014.

The positive changes include an increase in coverage from the present 65 percent of healthcare premiums to 72.5 percent, and continued coverage of Qualified Family Members (QFMs) after the HCTC-eligible retiree is covered by Medicare.

DP3 is currently discussing these changes with members of Congress, but before taking action, we need to determine approximately how many of our members would be negatively impacted by the elimination of the HCTC program on January 1, 2014.

Please provide your response to the following questions to help us determine DP3's future legislative strategy by clicking the link below:

DP3 HCTC Survey

DP3 Chairman's Update
Posted July 2, 2011

June has been another busy month for your DP3 trustees. At the beginning of the month, Vice Chairman Wendell Lewis and I traveled to Washington, D.C. to meet with the top staff members from the Senate Health, Education, Labor, and Pension Committee to discuss DP3's ongoing problems in obtaining timely information from the PBGC prior to the start of our formal appeals process. The committee staff was extremely sympathetic and offered their assistance to help expedite this process. (Before this meeting, the PBGC recently told our attorneys that it would take at least another 200 days to provide the information our legal team needs to complete the legal case for our appeal.)

Appeal Date Extended Again

Following our meeting in Washington, and after additional discussions between DP3's attorneys and the PBGC, our appeal date has been tentatively moved back to August 29. Our attorneys and the PBGC are discussing a modification of our request for data that should have all necessary information in our hands within 60 days. We will keep you posted regarding any further developments, but in the meantime, your trustees are discussing ways we might take advantage of this delay to recruit additional retired Delta pilots to join us in the appeal.

Membership

We encourage everyone to check the current DP3 Honor Roll to see if any of your retired Delta friends are missing from the list. We are continually surprised to hear from retirees who have only recently learned of DP3's efforts. There are at least 3,000 retirees who would significantly benefit from a successful challenge, while slightly more than 1,500 have currently joined our consolidated appeal. If this case eventually moves to federal court, there is a good chance that the PBGC will argue, as it has done in the past, that anyone who did not participate in the administrative appeal has no standing in a subsequent court case.

The D&S Plan

Wendell Lewis recently attended a meeting in Atlanta with board members from the Disabled Delta Pilots and Survivors Association (DDPSA) to discuss issues of mutual interest. For those of you who are not familiar with this organization, its goal is to ensure the long-term survivability of the Disability and Survivorship Plan. This plan endured the Delta bankruptcy and can provide a huge benefit to the surviving spouse of a deceased retired pilot (generally 30% of your final average earnings) even if you took the lump sum. (Assuming you were married to the surviving spouse when you retired.)

Trustee Changes

Our June board meeting marked the last regular meeting for Bill Wirth, our longest serving trustee, and current treasurer of DP3. The board will miss Bill's enormous contributions to our efforts, but at the same time, we are pleased to welcome Kim Welch as the newest member of your DP3 leadership team.

To fill the vacancy created by Bill Wirth's departure, the board elected Roger Ross to serve as interim Treasurer starting July 1 and elected Clarke Brant to fill the Secretary position currently held by Roger

Legislation

On the legislative front, the Congress continues to discuss enhancements to the HCTC program, a program which provides substantial benefits to retirees who are currently receiving a pension from the PBGC and are not yet eligible for Medicare. I urge all DP3 members to use our NRLN CAPWIZ link (click here - enter zip code top right) to send messages to your elected representatives asking them to support the proposed enhancements to this valuable program.

NRLN Update

The National Retiree Legislative Network (NRLN) continues to support our efforts through the combined voices of its two million members. As the chairman of DP3, I serve on the board of directors of the NRLN while also serving on its Legislative Committee. The NRLN is currently looking for a volunteer to chair its regional Grassroots Network in the Southeast. If you are interested in serving in this strategic role, please reply via this link: (contact DP3).

The NRLN is also conducting its annual membership drive for individual members. As a member of DP3, you are automatically a member of the NRLN, but the organization relies on individual contributions to fund its efforts in our nation's capital. If you have not yet contributed to the NRLN as an individual member, I urge you to do so at this time by sending back the membership form included in its recent mailing or visiting their website at www.NRLN.org. (If you join via the website, be sure to indicate your membership in DP3 on the enrollment form.)

Thanks again for your support. (And your patience as we are once again forced to deal with PBGC delays.)

DP3 Trustee Election Results
June 3, 2011

On behalf of the nine DP3 trustees, I would like to thank all of our Honor Roll members who voted in this year's trustee election. The voting concluded on May 31 and you have re- elected current trustees Wendell Lewis and Clarke Brant to serve another term, while Kim Welch was elected to the board for the first time.

Kim will be replacing outgoing trustee and DP3 Treasurer Bill Wirth, who is currently the longest serving DP3 trustee. The DP3 board and all retired Delta pilots owe Bill an enormous debt of gratitude for his dedicated service to the retired pilot group. It is unfortunate that only those who have served with Bill will really understand the tireless effort he has devoted to our cause, but any future successes that DP3 enjoys will be due, in large part, to Bill's financial and legal acumen and the substantial contributions he has made as a trustee and officer of DP3.

While we are lucky to have three outstanding trustees elected in this cycle, we hope to have more pilots willing to run for election in the future. To that end, it's never too early to start thinking about next year's election, and I truly hope that next April we can find more volunteers willing to step forward to assist us in successfully completing our mission.

Congratulations to Wendell, Clarke and Kim and my sincere and heartfelt thanks to Bill for his service on our behalf.

Will Buergey
Chairman, DP3

Chairman's Update
May 28, 2011

Your DP3 trustees held their monthly board meeting in Mid May and the minutes from that meeting are available here.

Update on PBGC Appeal

As usual, our meeting started with a legal update from our attorneys at Miller and Chevalier. During the discussion following the legal briefing, the trustees agreed to make one more effort to solicit 2011 DP3 contributions from those 2010 Honor Roll members who have not renewed their memberships.

As a reminder, Honor Roll status provides HR members with Miller & Chevalier's resources and expertise during the appeal; therefore, individuals do not have to incur the expense of hiring your own attorney. For those of you who are toying with the idea of taking that route, current fees for an experienced attorney in the D.C. area run between $400 and $800 per hour--so much for Delta's old arguments that airline pilots were paid too much!

Deadline for Honor Roll Membership

Due to the paperwork required to remove individuals from the group appeal, we have established a deadline of June 20, 2011, for former HR members who have previously joined the appeal to pay their 2011 contributions. If you are in this category and have not paid your contributions because you no longer wish to participate in the appeal, you can save DP3 considerable time and effort by simply clicking on this link withdraw@dp3.org . We'll immediately remove your name from the appeal.

During our meeting we also discussed the fact that many retired pilots do not have a clear understanding of the types of issues we'll be appealing. At this point in the post-bankruptcy era, the issues we are prepared to appeal and litigate, if necessary, are those involving the manner in which the PBGC is determining its obligation to pay us our lifetime pension benefits from the pension assets and recoveries the agency received from Delta following the pension termination.

Due to attorney/client confidentiality, we are not publicizing the entire list of issues we will be appealing prior to formally filing the case with the PBGC Appeals Board. If you examine the last pension benefit you received from Delta prior to the termination (your September 1, 2006, qualified retirement check) the difference between that amount and the amount you are currently receiving from the PBGC represents the lost benefits we will try to recover through the various issues raised during the appeal and through other avenues.(For many retired Delta pilots -- those impacted by both the five-year and three-year PBGC look-backs -- this amount is approximately $1,500 per month.)

Actuary Review of Benefits

As a reminder, the actuary review procedure is currently available (for an additional $250) for those desiring an outside audit of their pension calculations. While we have made this service available to our members, we do not recommend using it unless you are unable to run your own calculations with the DP3 benefit calculator. This auditing process will check for calculations errors using the current PBGC procedures, but most of our members have far more to gain by a successful DP3 challenge to the procedures the PBGC is currently using to determine our benefits.

Neither the PBGC nor our auditors have sufficient information to run meaningful calculations for those who were hired before February 2, 1972, and those who retired before July 1, 2002. Pilots who fall within that group might still benefit from the PBGC policy issues we will be appealing. Again, the best way to determine your potential benefit is by comparing your current PBGC check to your September 1, 2006, Delta qualified benefit.

DP3 Trustee Election

The current DP3 trustee election is underway; voting ends on May 31, 2011. Unfortunately, we only had three candidates nominated for three positions, so unless there is a landslide of write-in votes, there is not much doubt in the outcome. However, the candidates running are dedicated and knowledgeable of the issues facing retired Delta pilots. We will be well-represented as we approach this critical time in the appeals process.

Voting is by invitation to Honor Roll members only. If you lost your invitation or did not receive one in mid-April, please send us a contact message and we'll e-mail a replacement ballot to you.

Chairman's Update
May 27, 2011

During our April meeting, your DP3 trustees continued to coordinate with our legal team to complete our preparations for the consolidated appeal of our pension benefits currently paid by the PBGC. In addition to discussing the pending PBGC appeal, the trustees also decided to change the password for access to the Member's-Only portion of the DP3 web site, in order to ensure that access to appeal information was only available to current Honor Roll members. We also voted to extend the deadline for candidate nominations for the 2011 trustee election, and discussed a possible extension of the deadline to become an Honor Roll member for those who plan to participate in the PBGC appeal. Meeting minutes are posted under the documents section to the right.

Membership Support

While it is gratifying to see so many retired pilots financially supporting our efforts, I am troubled that so few eligible members are willing to step forward to share the DP3 workload; and that several hundred retirees, who have a huge financial stake in our ultimate success, have failed to become Honor Roll members and join the appeal.

In spite of the fact that the trustees agreed to extend the nominating deadline, sent a message to all members advising them of the new cutoff date, and sought additional volunteers, we have only three candidates running for three positions in this year's trustee election. We are fortunate that we have two incumbent trustees seeking re-election and one highly qualified outside candidate running for the first time, but I wish we could offer you more choices in this year's election, which will begin on May 1 and run through May 31, reflecting changes adopted by the board following last year's election. (The change reduced the voting period from six weeks.)

Benefits of Honor Roll Membership

Getting back to the membership issue, there are approximately 3000 retirees who have up to $1,500 per month at stake in our PBGC appeals and potential federal court case, and well over half of those retirees are currently fully paid Honor Roll members of DP3. While it is possible that everyone could share in any successes we have during the PBGC appeals process, if we are forced to pursue a remedy through the federal courts, any court decision would most likely only apply to those who are named participants in the case-HR members.

To date the total cost of DP3 membership is $1,500. While that is certainly not an insignificant sum of money, a successful appeal could increase the benefits of thousands of DP3 members by that amount every month, plus successful appellants would receive a retro check for each month since the plan was terminated on September 2, 2006. While we cannot guarantee success, your odds of benefiting from our efforts are certainly better if you are an Honor Roll member of DP3, than if you choose to remain on the sidelines and let others fight your battles for you!

Deadlines for Joining the Appeal

While it is in everyone's interest to have as many Honor Roll members as possible, we need to ensure that our legal team has sufficient time to prepare all of the appeal documents. Subsequent to our April meeting where the DP3 trustees decided to defer establishing a hard deadline for retirees to become Honor Roll members and participate in the appeal, our attorneys have advised us to implement the following policy:

• Those of you who previously joined the appeal but have allowed your Honor Roll membership to lapse (by non-payment of 2011 contributions) must become current on your contributions by June 20, 2011, or we will begin the process to remove you from the DP3 appeal. (Note that this does not affect your right to an individual appeal or using your own counsel, provided you previously extended your appeal deadline in accordance with DP3's instructions.)
• Those of you who are 2011 Honor Roll members ($1,500 level) may join the appeal at any time providing we have sufficient time to process your appeals paperwork - but the sooner you join us, the less expense we will incur for last minute changes.
• Those of you who have not been on the Honor Roll since 2009, or who have never joined DP3 in the first place, may still become an Honor Roll member and file an appeal as long as you allow us sufficient time to process the required paperwork.
• If you have a QDRO and have not received your BDL, you cannot join the appeal under any circumstance until your BDL is issued. (This is a PBGC requirement-you are not allowed to appeal until you have received your Final Benefit Determination Letter.) If that occurs before the appeal filing deadline of July 29, 2011, we will add you to the appeal when it's filed as long as we have your required paperwork. If that occurs after the appeal is filed, you may join the appeal in progress without prejudice. To avoid any last minute problems with your appeal paperwork, please check the membership status box at the top left of this email, and ensure your documents have been received and logged by DP3. We also ask that you log on to the members only web page and check the status of your appeal to make sure any listed missing documents or pages are sent to us as soon as possible.

March Update
March 27, 2011

1. The March Trustee board meeting was postponed until April 13 due to the unavailability of several trustees during the month of March. This brief post will serve as our March Update.

2. The Consolidated Appeal Date has been moved to July 29, 2011, primarily due to PBGC delays providing documents necessary to draft the appeal.

3. On December 16, 2010 the Bankruptcy Court granted Delta's request for an Order for Final Decree closing Delta's Chapter 11 case. Delta announced that they would make the final distribution on Delta claims on or about March 23, 2011. These distributions have begun to appear on DP3 member Fidelity Accounts. "This distribution represents your final distribution under the terms of the Plan of Reorganization (the "Plan") and is in full satisfaction of your pre-petition claim." Remember, these are the Medical and Non-Qualified stock grants. The FAQ for those payments is posted here.

4. Remember that 2011 contributions are due on 3/31/11. You must be paid by that date in order to remain on the DP3 Honor Roll and participate in the 2011 trustee election. With the latest delay in the PBGC appeal date, during our April conference call the DP3 trustees will discuss a revised deadline for accounts to be paid in full for retired pilots to be included in the DP3 consolidated appeal.

5. The comment period for the PBGC customer service (see next article) is still available until April 4. Please review our recommendations and make your comments soon.

An Opportunity to Submit Comments to PBGC
March 22, 2011

This is your chance to tell the PBGC how they are doing.

The PBGC is requesting input from the public regarding their communications procedures. Based on feedback we have received from you, our members, we believe that many of you are unsatisfied with these procedures. Here's your chance to let the PBGC know if you want it to improve the way it communicates with you!

We have created a web page with suggested guidelines for comments. We encourage you to go to this page, craft an email and send it to the PBGC.

The comments may be made by email or fax.

The comments must be sent by April 4, 2011. Please do not delay.

Note that this is not the venue for objecting to your benefit. It is an opportunity to encourage the PBGC to be easier to communicate with, and more responsive to the concerns of plan participants.

Many members have had communications problems with the PBGC. Our Comment Webpage discusses a number of them and has suggested wording for your emails.

Chairman's Update
March 11, 2011

In February, your nine DP3 trustees met in Atlanta with our attorneys from Miller & Chevalier to discuss our pending appeal of the PBGC's procedures that are reducing the pension benefits of thousands of retired Delta pilots. We also held our regular monthly board meeting, and the minutes have been posted.

PGBC Appeal

Our issues for the appeal are still being developed as we continue to receive new information from the PBGC, but the DP3 trustees are extremely pleased with the progress the attorneys have made in preparing the legal case for our appeal. The appeals date is still tentatively set for April 29, but the PBGC has yet to provide key data our attorneys have requested under the Freedom of Information Act. Due to the PBGC's delay in providing this vital information, it is highly likely that the appeal date will slip again.

Deadline for 2011 DP3 contributions is March 31

All DP3 members who have not paid the 2011 contribution of $300 should have recently received a payment reminder. Thank you to the hundreds of retirees who have already paid the 2011 contributions. This is a gentle reminder to the rest of you that to remain on the DP3 Honor Roll, the 2011 contribution must be received by March 31. Only our Honor Roll members will be represented by our attorneys in the PBGC appeal; the total is $1,500 (including this year's contribution of $300). Also, only Honor Roll members can hold a DP3 position or vote in the annual trustee election that begins on April 15.

Update on VEBA

Most of you are aware that on Feb. 13, 2011 the extension of the ARRA benefits expired. This affects the VEBA participants by increasing our payments from 20% to 35% of the total premium. Also, for those have already reached 65 and are on Medicare, your dependents are no longer covered by the under-65 HCTC (qualified family members or QFM). Congress continues to debate these issues and our VEBA insurance broker CIG is working hard to convince Congress that extending the ARRA enhancements is important. We'll keep you updated on any developments. In the meantime, visit the VEBA Trust web site for FAQs on these issues.

DP3 Board of Trustees Election

Nominations are now open for the 2011 DP3 Trustee election and will close on April 12, with the election starting on April 15 in accordance with DP3's bylaws. Any Honor Roll member of DP3 can nominate another member as long as you first determine that your nominee is willing to serve if elected. If you are a member in good standing, you may also nominate yourself. After nominations close, the Nominating Committee, chaired by outgoing trustee and Treasurer Bill Wirth, will submit the slate of candidates to the DP3 board for approval.

Since Clarke Brant was recently appointed to fulfill the term recently vacated by trustee Bud Musser, he will stand for election to a full-three year term this election cycle, and incumbent trustee Wendell Lewis, whose current term is expiring, has also agreed to run for another term. The third trustee whose term expires this election cycle is Bill Wirth; after seven years of contributing enormously to our cause, Bill has decided to take some time off to enjoy his retirement.

National Retiree Legislative Network

During our February board meeting, the trustees also reaffirmed our support for the National Retiree Legislative Network. The NRLN is the only large organization working tirelessly to protect the benefits of retirees by pursuing legislation to correct flaws in current laws and regulations. These laws should be protecting our hard earned benefits but often fall short of achieving that goal, as demonstrated during the Delta bankruptcy proceedings. DP3 will continue to be a member organization of the NRLN, and all DP3 members are encouraged to make individual contributions to help the NRLN achieve our goals.

Benefit Calculator Lite
Posted 2-23-2011

Have you been delaying joining DP3 or reluctant to attain Honor Roll status because you were uncertain whether you would benefit from the appeals? Then please take the time to read the following - carefully and completely.

DP3 is pleased to provide a method for non-members to assess their potential for benefiting from several of DP3's global policy appeal issues. Current Honor Roll members already have access to a more detailed calculator that also provides a means of checking the accuracy of the PBGC calculations.

We call it Calculator Lite and it will only work for those retirees who were hired after 2/1/1972 and retired on or after 7/1/2002. The reason that other retirees cannot use the calculator is explained in the blog APB #2 . Although we have spent an extraordinary amount of time working on the issues for the earlier retirees, the lack of data and procedural explanations from the PBGC has made it impossible to provide an accurate calculator for them at this time. This will likely be an appeal issue.

Calculator Lite will provide the approximate benefit you will receive if we are successful in removing the 4th and 5th years of the look backs on the 401a limits, as well as the approximate benefit you will receive if we are successful in also removing the 3 year look backs on 401a and 415b limits. (Note that if we also are able to remove the 3 year age and length of service look backs, you will receive the same benefit you received on 9/1/2006. You will need to ascertain that value from your records.)

To use the calculator you should refer to your BDL. You will need your birth date, seniority date, and retirement date, as well as the annuity value of your lump sum. All of that information is on the BDL. Here are some details:

• Seniority date is listed under Participant's information. Note: Former Western must use 10/01/1987 and former Pan Am must use the date in 1991 you came with Delta (there were 2Pan Am groups hired that year).
• Annuity value of your lump sum is not the total amount of the lump sum. It is listed (typically) on page 2 of your BDL Benefit Statement in the section headed YOUR BENEFIT CALCULATION. The 5th line down is labeled Monthly Benefit Equivalent of Lump Sum Payment on ARD (LSEQ). This is the annuity value of your lump sum.

The values generated by the calculator should be compared to your current benefit from the PBGC. If you retired after 6/30/2002 and were receiving any payments on 9/1/2006, you should see a significant potential increase. Remember, just a $100/month increase would mean a retro check in excess of $6000 if the appeals are settled by the end of this year - plus that $100/month increase continues for life. We hope this makes it clear that you need to be supporting DP3. We have put in thousands of hours crafting appeals and we have some very strong arguments on a number of fronts.

Click this link: Calculator Lite. You do not need a password.

Update on HCTC Legislation
Posted 2-16-2011

We have received information from our Insurance Brokers, Cone Insurance Group about the ongoing efforts to have Congress extend the HCTC for VEBA members at the 80% level (if not extended, it will revert to 65%), and also extend and expand the Qualified Family Members (QFM) eligibility for the HCTC. Please note that unless the QFM eligibility is extended, any family member of those pilots who have aged into Medicare, died or divorced, will lose 100% of their current HCTC payment. Cone Insurance is proposing to expand the QFM language so they will be eligible for the HCTC until they reach Medicare age. Currently the QFM is only eligible for HCTC for a maximum of two years. This will significantly effect all VEBA members, and all pilots who have a QFM who is not yet Medicare age.

Please read the Q&A concerning this issue at this link: DP3 VEBA Trust Plan Participants Q&A

Two Important New BLOG Articles Posted
January 16, 2011

DP3's Retirement Committee has just posted two important BLOG articles, APB #2 and APB #3, about potential errors in your PBGC BDL documents. These APBs (Appeals Process Blogs) are comprehensive guidelines you can use to check your BDLs for errors. Make sure you review the APB relevant to your situation: APB #2 is only for those who retired before 7/1/2002; APB #3 is for those who retired after 7/1/2002. Click a BLOG button above or on the right to view these new posts.

We Need Your Help
December 5, 2010

Your DP3 Board is concerned that we still have retirees who do not understand what they have to gain from supporting us. We know that as a DP3 Honor Roll member you do understand, but let us take a moment to clearly define our goals.

The PBGC has valued their use of look backs on IRS pension limitations (401a income limit, and 415b payout limit) at over $550 million. This reduction affects 3,500 retirees (one thousand of you retired prior to 2002, and 2,500 retired after 2002.) That comes out to an average loss of over $157,000 in today's dollars per retiree.

We are talking real money. And we are not talking a shortfall in the plan's assets. It is strictly due to several very questionable policy decisions by the PBGC. And it contradicts the intent of the law.

We have a very good chance of recovering some or all of the $550 million.

So we are shocked that there are still at least 1,500 retirees with so much money on the line, who are not supporting us.

We don't think the majority of the non-members are intentionally leeching off our efforts, assuming that they will reap the benefit of our efforts. We think that most are disillusioned, tired, angry, or just unaware. We think that if they knew what we were doing they would stand shoulder to shoulder with us.

That is where you come in. DAL will not provide us with retiree addresses. We can only reach those who have tuned us out with your help.

Click the link below for the text of a letter or email that we need for you to send to everyone you know or even suspect are not DP3 HR members. You can send a note with it, or you can just send it as it is.

To those of you who end up receiving the letter more than once, we apologize, but we need to be sure we have everyone on board. The more members we have - the more strength.

Click Here to Download the Letter to Non Members and Send It Today!

DP3 VEBA Wins HCTC Approval
November 25, 2010

We are pleased to announce we have received word from the IRS-HCTC that the DP3 VEBA Trust benefits will be considered qualifying coverage eligible for the Health Coverage Tax Credit (HCTC) for the Delta retirees who are eligible for the HCTC.

Over the past month, Cone Insurance Group and the DP3 VEBA Trust's lawyer, Dean Gloster, have been working closely with the IRS-HCTC staff to help them gain a better understanding of what was and was not offered to Delta pilots during the bankruptcy for continuing COBRA coverage. We believe that this was a key component to their decision to treat the DP3 VEBA Trust's benefits as a qualified health plan for the HCTC subsidy in the coming year. We will continue to work with the IRS-HCTC staff regarding notices to participants eligible for the HCTC.

It is important to note, though, that even with this good news, it is still very important for Congress to pass legislation to reauthorize the provisions that are due to expire on December 31st, 2010. The provisions that are still in question will determine:

1. If the HCTC subsidy remains at 80% or will instead revert back to the original 65% subsidy
2. If Qualified Family Members will continue to receive the HCTC subsidy for an additional 24 months after the event date (event date is Medicare eligibility, death, or divorce)
3. If there is still the option to receive your initial Monthly reimbursement payment as a credit to your HCTC account.

This is great news - We wish a Happy Thanksgiving you and your families.

Dave Miller
DP3 VEBA Trust Chairman

DP3 is Fighting for Your Retirement Benefits
August 1, 2010

Nearly four years after Delta terminated the Delta pilots pension plan in bankruptcy court, the PBGC has begun issuing our final Benefit Determination Letters (BDLs). Many retired pilots have written off this monthly benefit, assuming that what they currently receive from the PBGC is final. Wrong. If your BDL pension payment is not close to your 9/1/2006 payment from Delta, then you could gain from our efforts.

DP3 has spent months preparing for the distribution of BDLs, and we're ready to help every retiree get the pension benefit we've earned and deserve. For now, we are extending the appeal deadlines for those who have received their BDLs. In November, we'll be filing a consolidated appeal with the PGBC on behalf of all Honor Roll members. To help navigate the complicated appeals process, we've retained one of Washington D.C.'s top ERISA law firms.

Here are some important questions:

How do I join DP3's consolidated appeal?
What services do I receive for my contributions?
What's the benefit of being an Honor Roll member?
How do I know whether I should appeal my BDL?
What's the process for appealing my BDL?
What are the odds that our appeal will be successful?
What's the timeline for the appeals process?

How do I join DP's consolidated appeal?
DP3 will only represent Honor Roll members in our consolidated appeal (have paid all past DP3 contributions and assessments – a total of $1,200 as of March 31, 2010). Of the approximately 3,200 pilots in our data base, nearly 2,000 are Honor Roll members, and this number grows daily. If you're already an Honor Roll member, you've been receiving a steady flow of information from DP3 about the appeals process. If you're not an Honor Roll member, it's time to join our ranks.

What services do I receive for my contributions?
DP3's Board of Trustees consists of nine unpaid volunteers who work full-time from home to help retired pilots recoup our benefits and obtain affordable health insurance. One hundred percent of your contributions go towards communicating with our membership, maintaining and updating our database, and retaining highly experienced advisors. We scrutinize every dollar we spend on your behalf and have built up a healthy cash reserve while preparing for the PBGC to issue our BDLs.

What's the benefit of being an Honor Roll member?
In short: access to a highly experienced legal team at a fraction of the cost it would take to pursue an appeal individually. There's strength – and efficiency – in numbers. By filing a consolidated appeal, we're able to share the costs among all 2,000-plus Honor Roll members – including any future assessments. Note that this does not obligate you to any future assessments as you may withdraw at any time.

How do I know whether I should appeal my BDL?
Check the amount on your 9/1/06 pension payment and compare it to your new BDL pension payment. We've found that many retirees assume the pension payment they've been receiving from the PBGC is all they're entitled to receive. For at least 4,000 current retirees, this is not the case. If your BDL pension payment is not close to the 9/1/2006 payment from Delta, then you could gain from our efforts. The bottom line is that if you think your BDL is less than it should be, join the appeal. You can always withdraw later, but preserve your right to appeal by starting the process within the 45–day window.

What's the process for appealing my BDL?

You must file an appeal within 45 days of the date of your BDL. DP3 has provided Honor Roll members with a check list to participate in the consolidated appeal. These include:
• Locating the paperwork you received from Delta and the PBGC following your retirement
• Completing the Honor Roll survey (posted on the members–only portion of our web site) – over 1,100 have been submitted to date
• Signing and returning the Power of Attorney that allows Miller & Chevalier, our legal counsel, to represent you
• Sending us a copy of your BDL – we've received more than 500 to date
• Requesting your Benefit Work Sheet from the PBGC
• Requesting a professional evaluation of your Benefit Work Sheet from an actuary (additional fee for this service paid administered through DP3)

What are the odds that our appeal will be successful?
Our legal team believes we have several compelling arguments to present during an appeal. Although there are no guarantees, we're leaving nothing to chance. That's why we've hired legal experts that specialize in retirement law and we've spent months preparing for the appeals process.

What's the timeline for the appeals process?
We're collecting the paperwork now and will continue to do so through the end of the year. If necessary, our attorneys will request extensions from the PBGC. We'll continue to develop our "appealable" issues during the fall and plan to file the actual appeal as soon as all of the PBGC final determinations have been issued, but to participate in the appeal you must begin the appeal process within 45 days of the date on your Benefit Letter from the PBGC. Read the BLOG for more Q&A...

DP3 Ramps Up for Pension Appeal and Healthcare Option
May 26, 2010

DP3 is ramping up for two important issues that will impact all retired Delta pilots:

1. Trying to maximize your final pension benefit now that the PBGC has starting issuing our final Benefit Determination Letters (BDLs)
2. Establishing an affordable healthcare plan.

DP3 has retained experts in pension and ERISA law to handle our appeal with the PBGC, and we're working with an insurance broker to help us find quality healthcare providers.

For those who have been sitting on the sidelines for the past few years, it's time to join the game. The total cost of admission is $1,200 to be a DP3 Honor Roll member – this includes all past contributions and assessments as of March 31, 2010. If you have already paid a portion of the $1,200, you need only to pay the remainder to achieve Honor Roll Status.

While the nine-member volunteer Board of Trustees deals with our organization's administrative work on a daily basis, we've brought in highly experienced attorneys to represent us during the PBGC's complicated appeals process. DP3 will only represent Honor Roll members as part of our consolidated appeal to the PBGC, and time is of the essence. There's a 45–day window in which you can file an appeal with the PBGC (based on the date of your BDL), and many retired pilots have already started receiving these.

Following is a recap of our recent efforts:

• Work closely with our Washington D.C. based law firm, Miller & Chevalier, to file a consolidated appeal with the PBGC. To be part of the appeal, Honor Roll members must complete a brief survey and sign a Designation of Representation form even if you have not yet received your BDL. Miller & Chevalier will handle all logistics with the PBGC moving forward.
• DP3 has received authorization from the bankruptcy court to establish a Voluntary Employee Benefit Association (VEBA) and elected the following retired pilots to serve on the new VEBA Board: Dave Miller, Michael Cox, Tony Piacentino, and Marion (Doc) Hindman. On May 12-13, the DP3 Trustees and new VEBA Board members received an in-depth briefing from Cone Insurance Group, several insurance providers, representatives of the IRS and Health Care Tax Credit Unit. The VEBA Board is waiting for Delta to provide additional data so providers can bid for our business. Once these pieces are put together, the DP3 VEBA will offer HCTC eligible (the IRS will pay 80% of the monthly premium) health insurance to retirees who are receiving a check from the PBGC and who are between the ages of 55 and 64. The VEBA will also offer a broad spectrum of insurance products to other age groups.
• Conduct the election for the DP3 Board of Trustees. Three positions are up for election during this cycle; only Honor Roll members can vote. Note that only Honor Roll members have received the detailed emails regarding the PBGC appeals process. If you're an Honor Roll member, thanks for your support and continue to pay close attention to our emails. If you're not an Honor Roll member, it's time to join so we can help you recoup the pension benefits you've earned and deserve.

Important Developments for Retired Delta Pilots
April 11, 2010

The PBGC has just advised the DP3 Trustees that Final Benefit Determination Letters (BDL's) for some retired pilots will begin arriving this month; the agency hopes to have all letters issued by the end of 2010. As a reminder to those of you who have not been closely following the bankruptcy issues, our PBGC benefits up until now are based on estimated calculations performed by Delta while the PBGC has been reviewing the plan assets and the retirement provisions of our Pilot Working Agreement to determine our Final Benefits. The PBGC has previously advised us that based on its initial reviews of the Delta calculations, some BDLs will show an increase from current benefits while a minority of retirees might see a reduction from current benefits.

The DP3 Trustees have been working to improve the manner in which the PBGC calculates our benefits, but federal law prohibits us from suing the agency over our benefits until it has issued our BDLs and all administrative options have been exhausted.

As a reminder, a retiree only has forty-five days from the issuing of the FDL to challenge the PBGC calculations. The process is complicated, which is why we have retained lawyers to represent our members in their appeals. DP3 is prepared to represent our Honor Roll members in these challenges, and we will advise you how to proceed once the letters start arriving in our homes. Because of the tight deadlines, however, you should let us know as soon as you receive your FDL so that we can obtain a copy of it to provide to the lawyers. If you do not provide your FDL to us in a timely fashion, we will not be able to secure effective representation for you in the appeals process. Please note: All communications to our law firm must go through the DP3 Trustees. Do not mail your BDLs to our attorneys, or try to contact them directly by phone or email. Any Delta Pilot retiree who attempts direct contact with our law firm might be liable for any legal fees incurred.

We urge you to contact any fellow Delta retired pilots that might not be aware of the BDLs being issued and the role DP3 will play should we need to appeal the PBGC's calculations. Read the rest of the Chairman's Update here for info about the VEBA and Trustee Election...

Here are some brief answers to questions already asked (more will be added as they come in):

1. How do I update the PBGC with my current mailing address?
   Call the PBGC at 1-800-400-7242 - (open 8 am to 7 pm on weekdays) or go to http://www.pbgc.gov/workers-retirees/find-your-pension-plan/PlanPage/plan_20544100.html or log-in to your previously established PBGC account at MyPBA: https://egov2.pbgc.gov/mypba/login.aspx
2. How do I become an Honor Roll member of DP3?
   Full Honor Roll membership requires payment of all contributions and assessments, currently totaling $1,200. Use our contact message link on the menu bar above to check your membership status if you do not know what it is. If you have never joined DP3, or previously joined but revoked your proxy, use the JOIN DP3 link on the menu bar above and fill out an application. Contributions may be paid online or mailed to the address in the Payment Option box to the right.
3. What information do you need from us and how should we send it to you?
   We are working with counsel on a procedure and contact point for sending us information. We will be advising you about this within the next couple of weeks. We will post the information here and send email notices to our mailing list with specific instructions.
4. What is the 45 day challenge period for?
   If you have an objection to the amount of your final qualified plan PBGC benefit, you have 45 days after receipt of the letter to file an administrative objection to your final benefit. As we understand it, after 45 days, in most cases, your benefit can never change, even if other retired pilots are successful in challenging theirs.
5. What issues would we appeal?
   There are two major areas of appeal:
   a) Errors, including both incorrect data and improper calculation procedures. We saw both occur in some cases with the original estimates done by Delta. These have most often included the use of incorrect Internal Revenue Code tables, and in the calculation of the lump sum.
   b) Procedural objections. This will be the primary focus of DP3's efforts. We have objections to the way the look backs are affecting the IRS limitations being used to calculate our pension benefits. We, and our (as in all DP3 members) counsel believe we have very strong arguments, and success in these objections will mean a significant increase (typically over $1000/mo) to most of the approximately 4000 retirees affected.
6. How do I appeal? When should I appeal? What do I do?
   Your legal team is putting together guidelines that will direct you on exactly what to do and who and where to send the appeal information. These will be published on this web page, as well as sent to Honor Roll members within the next couple of weeks. Please do not send information to our attorneys or attempt individual contact via phone or email; doing so may subject you to collection of any legal fees incurred.
7. Do I need a lawyer to file an administrative objection?
   Legally, no. But, preparing the objection is generally complicated and requires an understanding of ERISA law and the PBGC's regulations, and having legal representation is by far the most effective and preferred method of pursuing this process. Only Honor Roll members of DP3 will be represented by the DP3 attorneys.
8. What is the timeline after I file an administrative objection?
   Going by the experience in the recent and similar USAir case, it takes the PBGC about a year to finish the administrative appeals. If an appeal is denied, that is the first point at which the PBGC can be sued in Federal Court.
9. What do you mean, a minority of retirees may see a reduction in their current benefits?
   Current benefit payments are only estimates made 3 years ago (and perhaps modified in the interim). The final payment you are entitled to may be higher or lower than your current payment depending on the following factors: final pension plan values, payments to the agency by Delta during termination, audits of each pilot's career earnings, retirement plan provisions and amendments, etc. Based on DP3's research we believe that reductions are unlikely for the vast majority of DP3 members, and we've been working virtually full time to assure that all calculations are done correctly.
10. How can I find out more about the appeal process?
    Our attorneys are developing an action plan today. We will use our email system to keep the membership informed of procedures and steps that needed to be taken by the membership as we embark on this process. Please make sure DP3 has your current email address, and remember to update us if you change it. Send us a contact message to ask questions that are not answered here, but remember that we are 9 volunteer trustees and we have over 3000 DP3 members, and it may take time to get a response back to you.
11. What happens if my estimated payments for the last 3 1/2 years were higher or lower than my final benefit amount?
    If your final benefit is higher than the estimated payments you have been receiving, the PBGC will repay the shortfall in a lump sum with interest. If your final benefit is lower than your current estimated payments, your benefit checks will be reduced up to 10% until the overpayment has been repaid, with no interest penalty. See this PBGC page: http://www.pbgc.gov/media/news-archive/news-releases/1998/pr98-26.html

DP3 Trustee Election Nominations Closing Soon
April 14, 2011

The annual DP3 election cycle is underway and the nomination committee is happy to report that to date 3 candidates have thrown their hat in the ring.

Wendell Lewis and Clarke Brant are standing for reelection and are joined by Kim Welch.

Any DP3 member who wishes to run for the DP3 board or nominate another Honor Roll member should notify DP3 by return email on or before Friday, April 15, 2011.

Legislative Alert - UPDATE
February 1, 2011

DP3 has been informed that Senators Brown (D-OH), Rockefeller (D-WV), Stabenow (D-MI), and Casey (D-PA) have submitted a bill (S.221) to provide an 18-month extension to the provisions of the HCTC. This is a significant development for our members who are eligible for the HCTC. The present deadline for the enhanced benefits is February 13, 2011.

It is imperative that members contact their representatives now and ask that they show bi-partisan support for this bill and co-sponsor it if possible. Most helpful to this effort is:

1. Encouraging the House Ways & Means to pick up this bill (you can Google House Ways & Means to see if your representative is a member of this important committee)
2. Ensuring the support of Georgia Senators Isakson and Chambliss.

Click Here for a sample letter to your Congressman (this is a revised letter from the one previously posted), which is also posted in the article below. Modify the letter to relate any personal preferences. To email your letter to all of your representatives go to the National Retiree Legislative Network (NRLN) web site http://nrln.org/ and enter your ZIP code in the write Congress box on the right. Fill out the required information, copy and paste your letter, and submit. To send your representative a fax go to http://www.contactingthecongress.org/ and enter your address or zip + four. You can easily find a fax number for your representative. We urge you to send both a faxed letter and an email.

Thank you for your efforts and support of your fellow retirees,

Legislative Alert
Posted 1-26-2011

We are asking all members of DP3 to contact their Representatives and Senators immediately to request an extension of the provisions of the HCTC included in the America Recovery and Reinvestment Act (ARRA bill), known as HR6517. The Health Coverage Tax Credit (HCTC) provisions included in the ARRA have been extended until February 13, 2011(click here for details) and we're supporting legislation to extend the provisions beyond this date (DP3's VEBA plan qualifies for the HCTC).

Click Here for a sample letter to your Congressman. Modify the letter to relate any personal preferences. To email your letter to all of your representatives go to the National Retiree Legislative Network (NRLN) web site http://nrln.org/ and enter your ZIP code in the write Congress box on the right. Fill out the required information, cut and paste your letter, and submit. To send your representative a fax go to http://www.contactingthecongress.org/ and enter your address or zip + four. You can easily find a fax number for your representative. We urge you to send both a faxed letter and an email.

The key areas are:
• Extend the ability to set up a monthly reimbursement program at the onset of application
• Extend the credit from 65% to 80%
• Extend the credit to Qualified Family members after member turns 65 (beyond the current 24 months)
• Permanently qualify any previously established VEBA

We urge you to contact your Representatives and Senators on behalf of yourself and your fellow pilots. [Note that we do not have a current bill number which has been introduced to achieve this legislative goal; however, if and when a bill is produced, we will send a follow-up legislative alert message to request action on a specific bill. Please watch for updates in the coming weeks.]

Copy and Paste this sample letter into your CAPWIZ email now!

Final Claim Distribution Information Posted By Delta
January 20, 2011

DeltaDocket.com has posted a Claim Distribution Summary as of December 2010 on its web page. The Summary contains information detailing the final distribution of shares for unsecured creditors of the Delta bankruptcy.

The summary notes that final distribution of the shares will be made by March 31, 2011. It appears that the final distribution will be about 39 additional shares per $10,000 of claim value.

DP3 does not have any additional information beyond what is in the posting, including when the shares will actually be distributed or the number of shares any individual creditor has coming to them.

DP3 Consolidated Appeal Date Extended to April 29, 2011
Posted: January 18, 2011

PBGC has recently agreed to extend the DP3 Consolidated Appeal Filing Deadline to April 29, 2011, and remember this is still tentative.

The PBGC has informed us that they have finally sent the last of the non-QDRO BDLs to the retired Delta pilots. If you have not received your BDL yet and do not have a QDRO, please call the PBGC at 800-400-7242 and ask about it. If you have a QDRO, you may not see a final BDL before the end of this year (2011). Please note that if you have a QDRO but do not have your final BDL before our consolidated appeal is filed, you will be able to join the appeal in progress, provided you are still an Honor Roll member at the time. Note: DP3 cannot add you to the appeal if your BDL has not been issued.

Important - NO ACTION IS REQUIRED BY ANY DP3 MEMBER DUE TO THIS POSTPONMENT. Those of you who have already received extensions of the appeal deadline are automatically extended to the new date of April 29, 2011.

DP3 VEBA/HCTC Update & Printing Aetna ID Cards
December 21, 2010

Retired pre-merger Delta pilots (pre-65) who have enrolled in the DP3 VEBA medical plan and who wish to drop their 2011 Delta medical coverage effective January 1, 2011 may do so by contacting the Employee Service Center at 800-MYDELTA by December 30, 2011. Representatives have been advised to accept this request over the phone.

...CLICK HERE TO READ FULL UPDATE AND INSTRUCTIONS...

DP3 VEBA Clarification
VEBA is Approved and HCTC Eligible
December 12, 2010

There appears to be some confusion regarding the viability/eligibility of the DP3 VEBA. First and foremost, the VEBA is HCTC qualified for those members who are between the ages of 55-64 and meet the eligibility guidelines as defined by the HCTC Program.

Medicare eligible members are not tied to the HCTC in any way. Our Medicare plans for the Over 65 are ready to go for a January 1st effective date.

Beginning with the February payment, the under 65 VEBA plans are HCTC eligible at the 65% level unless these outstanding HCTC provisions are finalized by Congress:

• The reauthorization of the current subsidy level of 80% (the original subsidy level was 65% until the ARRA legislation was passed.)
• The reauthorization of the "qualified family member program" that permits spouses/dependents to remain eligible for the HCTC subsidy for an additional 24 months past a defined event date. The subsidy is offered for 24 months to the qualified family members after the death of a participant, divorce from the participant, or when a participant becomes eligible for Medicare. For the participants that become Medicare eligible upon turning 65, their qualified family members are eligible for 24 months, or until the participant turns 67, whichever comes first.
• The ability to receive a reimbursement to your monthly HCTC account in the event you had to make a 100% payment for your health plan premium while initially enrolling in the HCTC program. This provision allows the participant to complete a reimbursement form and have the over payment of 80% credited to your monthly account instead of having to wait and claim it on your income tax return when you file it in April.

Some of you may have already received your invoice and welcome letter from the HCTC Program for your January premium. You have been invoiced for 20% of the premium, which is the correct amount because the ARRA provisions do not expire until December 31, 2010. If the ARRA provisions are not extended, then your January invoice you receive will be for 35% of the premium and this will be for your February coverage. Remember to mail your payment directly to the HCTC so that they receive it by the due date. Don't wait; mail it now.

Cone Insurance Group (CIG), our insurance broker, has been working closely with the IRS-HCTC representatives. They have passed along information regarding an attestation letter that may apply to some of our participants. Please read the CIG attestation cover letter for further explanation and instructions in the event you receive this letter.

Legislative Action Alert
December 10, 2010

DP3 is asking all members to contact your elected representatives regarding the ARRA extension, which preserves improvements to the Health Coverage Tax Credit (HCTC). Following an internal IRS ruling last week, the DP3 VEBA healthcare plan is now eligible for the HCTC, but extending the ARRA would preserve the 80% reimbursement rate and eligibility for spouses of over-65 retirees.

The HCTC language was originally included on the "Bush" tax cut extension bill and was moved to the South Korean trade bill (in the hopes it would get passed quicker). Now that the tax cut bill has gained momentum again, Senator Sherrod Brown is working to get the HCTC language back onto this legislation.

It is important to contact your representatives through email and calls to their offices requesting they do the following:

• Allow the HCTC language to be moved from the trade bill back to the tax cut legislation. The HCTC reauthorization will allow qualifying family members to remain eligible for insurance as well as keep the 80% subsidy in place (instead of the 65% subsidy that was in effect prior to the ARRA passage in 2009).
  
  
• It is very important that the language limiting VEBA's established during a bankruptcy have no time limitation language (currently Jan. 1, 2012). This time limit language should be removed from the proposed HCTC language in the reauthorization of the program.

To send an email to your elected representatives, visit the NLRN web site at http://nrln.org. Type in your zip code in the upper right-hand corner under the "Write Congress" banner. That will take you to the next page where you will see your elected representatives (based on the zip code you entered in the first step). At the top left side of the new page click on "Action Alert" which will take you to a pre-formatted letter we distributed a few weeks ago urging passage of the extension language. Cut and paste the two bullets above into the "canned" message and it will automatically be sent to your representatives. If you have not previously used the NRLN's CAPWIZ system, you may need to enter your contact information as representatives will not answer email messages from voters who do not reside in their legislative districts.

Thank you for helping to ensure this important healthcare legislation is passed.  Click Here To Take Action Now!

NEW VEBA ROADSHOWS WITH NEWLY APPROVED 0VER-65 PLAN
NOVEMBER 19, 2010

The Cone Insurance Group (CIG), the VEBA insurance broker, will once again hold road shows to present the VEBA plan being offered by Aetna, ESI, and VSP (Vision). Representatives will be onsite to answer questions and provide information about the newly finalized Over-65 plan and our Under-65 VEBA qualified plan. All retired and active Delta employees (and spouses) who are interested in our new healthcare plans are invited to attend.

Agenda Topics:

• Over-65 Medicare Healthcare Plan Options
• Under 65 Medical Plan Options
• Health Coverage Tax Credit (HCTC)

Information will be presented by the broker and vendors. These sessions provide an opportunity for you to hear firsthand about your health care benefits and the various options available to you. Please make every effort to attend because these will be the last ones before the plan is in effect!

Road Show Schedule

Date	Time	Location	Click Link to Register/Sign Up
11/29	10 am	Los Angeles	Register for the LAX Roadshow
11/30	10 am	Salt Lake City	Register for the SLC Roadshow
12/01	10 am	Seattle	Register for the SEA Roadshow
12/02	10 am	Atlanta (Morning)	Register for the ATL Morning Roadshow
12/02	2 pm	Atlanta (Afternoon)	Register for the ATL Afternoon Roadshow
12/03	10 am	Dallas	Register for the DFW Roadshow
12/06	10 am	Houston	Register for the HOU Roadshow

New VEBA Plan Information and Pricing Posted
November 9, 2010

The DP3 VEBA Roadshows are complete, and plan information and pricing for the Under-65 program has been posted on our VEBA page. Click the VEBA button on the right to review all the material about the VEBA plan.

Urgent Update for Pilot Retirees with a Zero PBGC Benefit
October 29, 2010

In researching the Benefit Statement Worksheet of a retiree currently receiving zero from the PBGC it was discovered that the PBGC actually had calculated his benefit at $0.84 – and rounded this to $0. This deprived this individual of eligibility for the Health Coverage Tax Credit (HCTC).

When contacted, the PBGC agreed this was an error, and is correcting it, making this individual eligible for the tax credit.

If you are a "zero", you should request a BSW if you haven't already. When you receive it you need to look at the last line of the last section "PBGC monthly benefit at date of plan termination". If that value is not zero, you need to contact the PBGC at 1-800-400-7242, ask for the Atlanta office, preferably talk to Shonya Morrison (case supervisor), but speak with anyone you can – and politely explain the situation. As a double check of your BSW, look at the second to last line in the PC5a section, "Total Gross PC5a benefit before application of SS offset".. If it is greater than zero, you should be getting a benefit.

DP3's attorneys are contacting the PBGC about this issue. We will advise the membership if there are any additional developments.

DP3's VEBA Health Care Plan Ready for Roll-Out
UPDATED October 21, 2010

The Delta Pilots Pension Preservation Organization (DP3) is pleased to announce a new health care plan for ALL eligible Delta retirees and employees (not just for pilots) beginning January 2011. Learn about the new insurance plan offerings at road shows taking place Oct. 26-Nov. 9. DP3 Board members will also be at the meetings to provide an update on our efforts to maximize pension benefits for retired pilots.

What type of healthcare plan is DP3 offering?

DP3 is offering a Voluntary Employee Benefit Association (VEBA) plan that qualifies for the Health Care Tax Credit (HCTC) – a government subsidy that currently pays 80% of premiums for those who qualify. The VEBA plan will include an under 65 program, including vision and dental plan options. We anticipate offering a competitive over-65 plan for both pilots and non-pilots in the near future.

Who is eligible to participate in the DP3 Plan?

All active and retired Delta employees, their spouses and survivors are eligible.

Who is eligible for the HCTC?

All Delta retirees or active employees under age 65 currently who receive a check from the PBGC (as the result of a terminated pension plan). This includes spouses and survivors of retired and active employees. Representatives from the IRS/HCTC will be there to present information on the HCTC and answer questions.

September Chairman's Update
October 11, 2010

September was a busy month for DP3. In addition to holding our monthly board meeting, seven of DP3's nine trustees traveled to Washington, D.C. to participate in the National Retiree Legislative Network's (NRLN) annual "Fly-In." Minutes from the monthly meeting are posted in our documents folder, and this article will summarize other important developments for retired Delta pilots.

NRLN Fly-in

The purpose of the annual fly-in is to provide us with an opportunity to talk with key legislators and the PBGC about issues impacting retired Delta pilots, such as pension reform and PBGC procedures. I serve on the NRLN Board and believe that our affiliation with this organization - which represents more than two million retirees nationwide - continues to help our cause both on Capitol Hill and with the PBGC. Sept. 14 was devoted to meetings with legislators to help educate them on policy and interpretation issues that unfairly penalize retirees. Trustees also met with our lawyers regarding PBGC issues relating to the upcoming appeals. We're very pleased with our representation and believe Miller & Chevalier are well prepared to make the case for Delta retirees.

Meeting with PBGC Director

While in Washington, your trustees had a private meeting with newly-appointed PBGC director Joshua Gotbaum to discuss PBGC policies that are penalizing retired Delta pilots. We addressed plan valuation, look back issues, lack of trust, lack of communication, and the strict enforcement of the 45-day limit on appeals. We're disappointed that the PBGC continues to interpret the IRC limits as benefit enhancements that are subject to the look back rule. Unfortunately, the PGBC's position continues to be "this is the way we have done it for 30 years," which directly contradicts the fact that the limits were anticipated in contract changes dating back to 1996. Your trustees and our legal counsel do not believe this policy interpretation represents the intent of Congress.

NRLN Joint Session with the PBGC

On Sept. 15, five DP3 trustees again met with the PBGC, this time as part of an NRLN group session that included retiree representatives from 30 companies such as Chrysler, GM, Lucent, AT&T, USWest, John Deere and others. At this meeting, we once more discussed issues negatively affecting all retirees. Although the session did not produce any specific changes, the PBGC director did commit to not oppose any legislative efforts that might be undertaken on behalf of retirees.

Status of BDLs

To date, over 1,000 DP3 members have filed for extension of the time limit to appeal their BDLs. We hope to file the consolidated appeal by mid-November, but there's a good chance that the PBGC will delay that date until the end of the year.

We are finding that many Delta retirees are confusing their losses with the PBGC's procedures. Visit the Blog (link on right) to find answers to commonly-asked questions about whether or not to join the appeal. We have posted extensive information posted there and try to update the blog frequently.

Help in Contacting Fellow Retirees

DP3 has nearly 2,100 Honor Roll members. However, we believe that nearly 3,500 retired Delta pilots could benefit from the changes we are pursuing so that leaves about 1,400 pilots without representation against the PBGC. The total cost to become an Honor Roll member for those who have never contributed is $1,200. The majority of BDLs received so far will result in a retroactive lump sum payment much greater than that. Should we be successful in our battle with the PBGC, even a $100 monthly increase would result in a $5,000 retroactive check.

We have dozens of retired pilots who are close to being Honor Roll members and only owe between $50 and $200 to achieve that goal. DP3 can only represent Honor Roll members in the appeal and in the court case, should that be required. Please help us reach out to fellow retirees who might not know about DP3's efforts and could benefit from our consolidated appeal.

VEBA Update

DP3 is going full tilt in an effort to form a Voluntary Employee Benefit Association (VEBA) before the end of this year. This would allow many of those retired pilots with a check from the PBGC, who now are ineligible for HCTC benefits, to get help with health care premiums. Delta is under a bankruptcy court order to provide the information necessary to get quotes from insurance companies. We are doing everything possible to have the VEBA in place this year, but we will need more cooperation from Delta. Look for more updates on this issue in the near future.

DP3 Chairman's Update
Posted March 20, 2010

Last week your DP3 trustees held their monthly board meeting via conference call. We discussed many items of interest to our members; the complete minutes of the meeting are available by clicking here: Minutes of the DP3 Board Meeting March 10, 2010.   Other issues we covered include the 2010 DP3 contribution requirements, an update on our VEBA effort, and a discussion of the nominations for the 2010 Trustee Elections. Click here for the full text of the March 19, 2010 Chairman's Update.

You may recall that last month's Chairman's Update was emailed to the membership in two formats, and we conducted an informal poll of which format you preferred. The new "newsletter" format was preferred by an overwhelming 84% to 16% of the members who participated in that poll, so that will become our new standard. Please watch for our newsletters in your email inbox, make sure DP3 is white listed in your mail program, and make sure we always have your current email address.

DP3 Chairman's Update
Posted March 10, 2010

During the February 10, 2010 DP3 Trustee meeting, we discussed many issues of importance to the retired Delta pilots. Rather than providing a full recap of that meeting here, you can read the minutes posted on our web page by clicking the link here: Minutes of the DP3 Board Meeting February 10, 2010 Other issues covered in the Chairman's Update include 2010 DP3 Contribution Program, DP3 Honor Roll Members and the PBGC, The Importance of Supporting DP3 Now, and How Can DP3 Help You?

We distributed our Chairman's Update in two formats this time, our traditional business letter format and also a new newsletter style format. After reviewing both formats, please participate in a quick poll of which you like better by going to this link Newsletter Poll to register your opinion.

DP3 Letter to Delta CEO Richard Anderson Regarding Cancelled COBRA Option
November 12, 2009

Many retired Delta pilots received the recent announcement of a one-time COBRA enrollment opportunity from Delta with a great deal of joy and appreciation. Hundreds of retired Delta pilots were not eligible for the previous COBRA enrollment opportunity in 2007 because they were either not yet age 60 and/or they were not previously enrolled in either the Delta Family Care Medical Plan (DFCMP) or the Delta Pilots Medical Plan (DPMP). In either case, these retirees were shut out of the primary method of capturing the Health Care Tax Credit (HCTC) offered by the IRS.

But it was with an equal degree of sadness to find out that the COBRA plan as offered by Delta for 2010 did not receive approval from the IRS for the HCTC. The offer of COBRA insurance was therefore withdrawn by Mr. Rob Kight in his letter of November 5, 2009...Read the rest of Chairman Buergey's letter here...

New PBGC Director Nominated
November 10, 2009

The Administration has announced that it has nominated Joshua Gotbaum as the new PBGC Director. For details, please see the Press Release by clicking the following link: http://www.whitehouse.gov/the-press-office/president-obama-announces-more-key-administration-posts-11909.

New DP3 Healthcare Option
August 23, 2009

[from DP3 Chairman Will Buergey] DP3 is acutely aware that many members have suffered a loss of medical benefits as a result of the bankruptcy of Delta Air Lines. The post bankruptcy health care benefits we were left with were determined by Delta and the Pilot 1114 Committee - not by DP3.

Unfortunately the 1114 Committee was not able to protect many of our members, notably those who were under age 60 on January 1, 2007. Due to the age restriction imposed by Delta to qualify for the bankruptcy COBRA, many retired pilots were not eligible for the COBRA option, which was the only Delta sponsored plan eligible for the Health Coverage Tax Credit (HCTC).

Over the past several months I have asked Delta several times to reconsider the decision that prevents retired pilots and their spouses from joining the COBRA eligibility list once they pass their sixtieth birthday. These efforts have been futile, but I recently discussed this issue with an attorney who is familiar with the American Recovery and Reinvestment Act of 2009 (ARRA). The ARRA not only increased the HCTC contribution from 65% to 80% until the end of 2010, but also provided an accelerated methodology for the creation of a Voluntary Employee Benefit Association (VEBA) that can offer HCTC eligible healthcare insurance to its members. continue reading...

The Social Security Offset
June 20, 2009

As our retired pilot population ages, many of us are going to be affected by the Social Security offset of the PWA. Referencing page 9 of the July 2005 Delta MEC Retirement and Insurance Handbook: "Social Security Offset - Applies at the earlier of the date of your Social Security benefits or age 65. If you were on the DAL, WAL, or Pan Am seniority lists before February 9, 1982, your monthly offset is $94 at age 62 or $117 at age 65. Otherwise, your offset equals $259 monthly (at age 62) prorated for service less than 25 years. If you receive the Minimum Benefit, no offset applies."

Many of you have asked: what does all this mean? For a discussion and examples of the offset, read this briefing prepared by Trustee Bill Caiazza.

NRLN Task Force Working to Reform Bankruptcy and PBGC Rules
May 13, 2009

[From Bill Kadereit, NRLN President] In February, I sent letters to President Obama and the Senate Judiciary committee members to advocate the need for legislation to reform bankruptcy laws to better protect retirees' pensions and benefits in bankruptcy court proceedings. My letters were followed up with an NRLN Action Alert that saw Grassroots Network members email nearly 7,000 letters to Washington on this issue. In March, the NRLN presented to a Congressional staff member a white paper prepared by the Delta Pilots retiree organization on the need to reform bankruptcy laws and Pension Benefit Guaranty Corporation (PBGC) rules. Now, the NRLN is taking an additional step forward with the creation of a Task Force to not only address needed changes in bankruptcy laws but also in rules applied by the PBGC when it takes over a defined benefits pension plan. continue reading...

Synopsis of the Soaring Eagles Court Case against the PBGC
March 29, 2009

We have asked our attorneys at Miller and Martin to prepare a layman's explanation of the recent court decision in the Soaring Eagles case against the PBGC. For those not following closely, Soaring Eagles is the DP3 counterpart on the USAir property – the retired pilots of USAirways. They have already received their final benefit determinations and exhausted the administrative objection process, and are now litigating 11 parts of their benefit determinations in federal court.

We want our membership to know that the DP3 trustees and our lawyers are following the USAir case closely. While their pilot working agreement (PWA) and retirement programs are significantly different from our own PWA and retirements, and the outcome of much of their litigation will not apply to our situation, there are some similarities which may establish some precedents that will either help or harm our own potential case against the PBGC if we ultimately end up challenging our own final benefits.

Mr. Booth has reminded us that "virtually no legal principal is as clear as it appears when lawyers explain it to someone. The law, if one reads the several opinions in the Chevron case, is certainly not as clear as I have articulated it."

We will try to provide regular updates to the Soaring Eagles case as developments warrant. Click here to read the synopsis...

Good News from the HCTC Program

The American Recovery and Reinvestment Act of 2009, new economic stimulus legislation, was recently approved by Congress and signed by the President. Included in this legislation is the Trade Adjustment Assistance Health Coverage Improvement Act, which changes some of the requirements for the Health Coverage Tax Credit (HCTC). The new law, including the changes to the HCTC, expires on December 31, 2010.

A key change that is important to DP3 members is that the HCTC will pay a greater portion of your health insurance costs. The tax credit is increasing from 65% to 80% of qualified health insurance premiums. If you are a monthly HCTC participant, the 80% tax credit amount will be reflected on your HCTC invoice beginning in April 2009.

The changes will expire on December 31, 2010. For more information, call the HCTC at 1-866-628-HCTC (4282) or review the HCTC Latest News Page on the IRS.GOV web site.

Rumors, Questions, and Doubts

Recently we have seen a surge in rumors, apparently spurred by the widely publicized denial of the Soaring Eagle’s request for preliminary injunction.  The misinformation that is taking on a life of its own is not in the best interest of the retirees.  The following is an effort to bring facts into the discussion: continue reading...

Status of Bankruptcy Distributions
October 23, 2010

On October 15, Delta filed a motion with the Bankruptcy Court that asks the court to approve a final distribution to claimholders and close the bankruptcy cases for Delta and Comair. The motion is scheduled to be heard by the Bankruptcy Court in mid-December. If the motion is approved by the Bankruptcy Court, final distributions to claimholders would be completed by March 31, 2011.Read the post on the Delta Retiree Web Page...

DP3 joins the NRLN and Implements an Annual Contribution Program

I have some exciting news to share with you regarding a new direction the DP3 Trustees have decided to pursue that will hopefully benefit all retired Delta pilots.

First I want to thank all of you who have supported DP3 from its inception by paying all contributions and assessments.  These voluntary payments provided DP3 with the funding required to protect the interests of the retired Delta pilots both before and after the Delta bankruptcy proceedings.  For those of you who have not supported DP3 in the past, I want to say that I understand some of the reasons you have chosen to remain on the sidelines and promise to address those issues going forward.  Hopefully, for the other non-contributors it is simply a case that you have not heard about this organization and the tremendous efforts its volunteer trustees have made on your behalf over the past six years. continue reading...

DP3 Chairman's Update 12-17-08 - Medicare Part B Premium Adjustments

In a December 8, 2008 letter to all DP3 members, I discussed the issues surrounding the recent letter many retired pilots have received from the Social Security Administration advising these retirees that their Medicare premiums would increase in 2009.  These increases apply to anyone whose modified adjusted gross income (MAGI) exceeded $85,000 for singles or $170,000 for couples in 2007, the tax year used to compute income adjusted Medicare premiums for 2009.  Due to the bankruptcy related claims paid during the 2007 tax year, many Delta retirees had income that was much higher than normal that year.

While DP3 does not give tax or financial advice, due to the sheer volume of email messages we have received on this subject we have attempted to act as a clearing house to provide you with the latest available information on this issue. To that end we asked our accountant to contact the Social Security Administration to seek answers to the questions we have received to date.  During this process we asked if it would be possible for DP3 to handle this problem for our members, but due to the fact that each case is based on a retiree’s individual financial situation, it will be necessary for each person to deal with the Social Security Administration themselves. continue reading...

Worker, Retiree, and Employer Recovery Act of 2008 - March 23, 2009 Deadline for Statements

DP3 contacted Delta today, March 26, 2009, concerning the status of the ROTH IRA information required by the "Worker, Retiree, and Employer Recovery Act of 2008". The information was required to be sent to the retiree by March 23, 2009. Delta indicated the information has been mailed to all pilot retirees as of March 25, 2009. The delay was caused by late approval from the IRS of the form on which the information was printed. As a reminder, the retiree's contributions to the new ROTH IRA must be made within 90 days of March 23, 2009 or June 21, 2009. June 21, 2009 is a Sunday, so you may want to consider transferring the funds by the close of business on June 19, 2009.

2009 DP3 TRUSTEE ELECTION
April 15, 2009 (updated May 14)

We are pleased to announce the board approved slate of candidates for the 2009 Trustee Board of Trustee election. The nominees this year are Bill Caiazza (I), Dave Davis, Robert Herriott, George Leatherbury, Kenneth "Bud" Musser, Roger Ross (I), Barry Steiner, and Kenneth Ulrich. Our bylaws limit the number of candidates to a maximum of twice the number of open positions for the election, and interest in serving this year was very high. We thank all the nominees for their willingness to serve the DP3 membership.

The resumes and statements of the candidates are posted on the DP3 web site here: Candidate Resumes.  Reviewing this document is a prerequisite for voting.

The election has begun and will run from April 15, 2009 until May 31, 2009. Only fully paid Honor Roll members are allowed to vote in the Board of Trustees election. Four board members are being selected by the 2009 election. Email invitations to vote in the 2009 election are being sent to Honor Roll members by our mail service Constant Contact. The e-mail contains the link to the ballot and is the only way an Honor Roll member can vote in this year's election. Any member who brings his account up to Honor Roll status before the polls close will be sent a ballot as soon as practicable after the payment is received. Since balloting is by invitation only, members are urged not to wait until the last minute to pay their contributions and request a ballot.

The Honor Roll posted on the DP3 web page is current as of May 14, 2009. If you are an Honor Roll member and do not receive an invitation to vote, Contact Us to verify your status and update your e-mail address.

Thank you for supporting DP3 as a fully paid Honor Roll member and having a say in the future of DP3 by participating in the Trustee election.

John Mills
Chairman, DP3 Nominating Committee

Nominations Open for 2009 DP3 Trustee Election

I am writing this DP3 Chairman's Letter to announce two important events: the launch of the new DP3 web site and the opening of nominations for the election of four DP3 Trustees.

This will be an important year in the history of DP3 as we pursue our legislative agenda in an attempt to mitigate some of our pension losses from the Delta bankruptcy. We also expect the PBGC to issue its final benefit determination letters later this year, an event that will start the forty five day clock to appeal those decisions. We are looking for some talented volunteers to help us achieve our ambitious goals, so please consider making yourselves available for election to one of the Trustee positions. continue reading...

Updated ROTH IRA Rollover Q&A from the ALPA R&I Committee
May 22, 2009

The deadline for contributing your bankruptcy settlement dollars into a ROTH account under the provisions of Public Law 110-458, the Worker, Retiree, and Employer Recovery Act of 2008 is less than one month away. We have been asked a lot of questions about the provisions of this legislation, but DP3 is not chartered to provide tax or financial advice. However, ALPA has prepared a Q&A about this subject for their members, and we have posted it in the Documents section of our web site. While you may have previously reviewed this report, it has been recently updated. Remember, the last business day to make a contribution under the terms of this law is June 19, 2009. Read the ALPA ROTH Q&A...

CAPWIZ ACTION ALERT REQUEST FROM NRLN

The NRLN has issued an important Action Alert message. We urge you to utilize the (NRLN CapWiz Alert System) to send a message to Congress asking them to protect retirees in bankruptcy court. The pre-formatted letter is focused primarily on lost healthcare benefits; we have modified it to reflect the experiences of the Delta pilots in our bankruptcy and have provided suggested language (click "continue reading" below) to cut and paste into the text window of the CapWiz alert. Alternatively, you may write your own message. Please take the time to send your message now – the system is incredibly easy to use and only takes a few moments. continue reading...

Worker, Retiree, and Employer Recovery Act of 2008
Note: This information is provided courtesy of Retirement Advisors of America, A PHH Investments Company.
Remember that DP3 does not give tax or financial advice.

There has been some confusion regarding the eligibility for the new Roth IRAs as a result of the legislation in the title of this article, above, (P.L. 110-458 - "Worker, Retiree, and Employer Recovery Act of 2008", Formerly known as H.R. 7327.) This legislation created the opportunity for Roth IRAs for "airline settlement amounts" received in bankruptcy settlements for airline workers whose pension plans were terminated after 9/11/01. This article is a follow-up and update to our 12/18/08 email (that went to clients only) on this same subject, sent out before the Act was actually signed into law by President Bush on 12/23/08.

The Bill covers two items of particular interest to retired Delta pilots: First, in Section 125 of the Bill, it permits the "ROLLOVER OF AMOUNTS RECEIVED IN AIRLINE CARRIER BANKRUPTCIES TO ROTH IRAs." Secondly, it waives, for those already over 70 1/2, the RMD (Required Minimum Distribution) from your IRA Accounts – For 2009 ONLY. continue reading ...

Chairman's Report from Trustee Board Meeting 2-11-09

The DP3 Trustees recently met in Atlanta for our quarterly board meeting. Subjects discussed included our legal planning, the status of the Soaring Eagles case against the PBGC, Medicare and HCTC benefit issues, our new NRLN membership, and reports from the four DP3 committees.read full report... The minutes of this meeting are now posted in the documents section of our web page. Read the minutes...

Two Updates from Delta

We learned of two important items from Delta this weekend.

Item one: The Delta Air Lines annual meeting has been postponed. Originally scheduled for April 24, 2009, it has been moved to June 22, 2009 at 8am in New York. No reason was given for the postponement. DP3 is planning to send a board member representative to attend the meeting. If you would like us to act as your proxy at the annual meeting, please watch for instructions later this spring.

Item two: Delta has filed their fourth request for an extension to the deadline for settling the outstanding bankruptcy claims. The hearing for the request will be held April 8, 2009 if a hearing is necessary. The new deadline for settling claims will be October 19, 2009 if the motion is granted. The motion is posted on our web page in the Documents section for your viewing.

DP3 to Attend Delta Annual Meeting
posted June 11, 2009

Delta Air Lines' (NYSE: DAL) Board of Directors has set the airline's annual meeting of stockholders for June 22, 2009 in New York City. The meeting will be held at 8:00 a.m. EDT in the Auditorium at AXA Equitable Center, 787 Seventh Ave., New York.

The record date for determining stockholders entitled to notice of, and to vote at, the annual meeting will be the close of business on April 24, 2009. The proxy statement can be viewed at http://images.delta.com.edgesuite.net/delta/pdfs/annual_reports/Proxy09.pdf.

DP3 Trustees will be attending the annual meeting in person and will vote proxies according to the best interests of the retired pilots. If you would like DP3 to vote your proxies please contact us at www.dp3.org.

We have prepared an example for a proposed letter to the Delta Board of Directors, which includes a list of Directors and the address for any Board mail. We would ask that you consider sending the Directors your opinions regarding your retirement. Use the sample letter posted in our Documents section or compose your own letter and send that to each of the Directors. Your family or friends may wish to send a letter also.

Thanks again for your continued support.

Chairman's Update 4-5-09
posted April 7, 2009

It has come to our attention that some retirees who retired on or before January 1, 1997 (or after that date if you retired under the contract 96 early retirement program) were not aware of a special contractual provision that allows them to receive a reimbursement from Delta for their Medicare Part B Premiums (this provision was eliminated effective January 1 1997 for retirees who retired after that date.) Apparently some retired pilots were automatically enrolled in this program while others were not, and some retirees did not even know the reimbursement existed. If you are a pre-January 1997 retiree and are not currently receiving this benefit, please notify DP3 and the Delta Employee Service Center immediately. (1-800-MY-DELTA) read the full Chairman's update...

Trustee Update 3-26-09
posted April 4, 2009

This month's letter will be a departure from Will's usual excellent summaries of the current status of our efforts on your behalf. Will has undertaken so many tasks that I asked him to let me write this one rather than have him take time away from those responsibilities. The fact that he agreed shows how busy he is.

This is an opportunity to show you some of the inner workings of DP3. I'll summarize and provide links to some of our current efforts at the end of this. Additionally, the minutes of our March conference call are available on the web site. For those of you interested I hope you'll take the time to read the entire article before you scan to the bottom... read the full update...

Chairman's Report from May 2009 Trustee Board Meeting
May 15, 2009

The DP3 trustees held our quarterly face to face meeting on May 6, 2009 in Atlanta. During our meeting we discussed and took action on many items of interest to the DP3 members, including DP3's involvement in a new Bankruptcy Reform Team at the NRLN, the work of the R&I Committee regarding errors on the PBGC benefit estimates, the creation of a separate DP3 Insurance Committee headed by Jeff Pickett, an update on the 2009 Trustee Election, and an update on DP3's participation at the Delta Annual Meeting in June.  Read the full report...

The minutes of this meeting are posted in the documents section of our web page. Read the minutes...

2009 DP3 Trustee Election Results
June 4, 2009

The 2009 DP3 Trustee election is complete and the results have been certified by the Board of Trustees.

Before announcing the new board, DP3 would like to thank Jim Bomar and John Mills for their years of excellent service to the membership. We wish them well as they enjoy their future retirement years.

The four candidates elected to the DP3 Board of Directors for three year terms starting July 1, 2009 are:

Bill Caiazza    George Leatherbury    Bud Musser    Roger Ross

The Trustees would like to congratulate and thank each of these candidates for their willingness to serve their fellow retirees. DP3 would also like to thank all of the candidates for their willingness to be nominated for election. DP3 would like to recognize all of our Honor Roll members and especially those who have recently upgraded their status to Honor Roll. The Honor Roll is the backbone of our organization and their support is vital to our efforts. We encourage any member to become involved by volunteering to serve on one of our committees as we seek to maximize our pension benefits.

DP3 strives to be an organization driven by the wishes of our membership. The goal of all DP3 Trustees is to keep our members informed on issues that affect our retirement and benefits. DP3 maintains an informative web site at DP3.ORG detailing important information about retiree issues and our activities. In the coming months all retirees will receive the final determination letters from the PBGC. DP3 has already identified some errors that may be included by the PBGC in your final benefit calculations. DP3 intends to represent all Honor Roll members who disagree with their final determination to ensure that our earned benefits are calculated accurately.

DP3 is also actively involved in drafting legislative remedies for PBGC issues that reduce some of the benefits that we receive from the PBGC. In the coming months we will be asking our members to contact their representatives in support of these efforts. We encourage you to stay informed and communicate with us and your elected congressional representatives.

Thank you to our Honor Roll members for your participation in the voting process and your support.

DP3 Attends Delta Annual Meeting
June 23, 2009

[from DP3 Chairman Will Buergey] Yesterday, I had the honor of representing the retired Delta pilots at Delta's annual shareholder's meeting held in New York City. Captain Wendell Lewis, DP3's Vice Chairman accompanied me to the meeting and DP3 Honor Roll member Denis Waldron was also in attendance. Each of us spoke to the Delta directors and shareholders on behalf of the retired pilots. Wendell and I would like to express our thanks for the opportunity to represent you with your proxies. They were voted as: Against - all Directors for failure to address our concerns, For - Ernst & Young as independent auditors, For - cumulative voting in the election of directors. Thank you for the confidence you have shown in your Trustees. Click this link to review the prepared statement I read to the board.

DP3 to Attend NRLN Fly-In to Washington in mid September
August 1, 2009

We invite you to join your DP3 Trustees in Washington, D.C. on September 15-17 for a fly-in meeting with key congressional leaders and staff members regarding bankruptcy reform and PBGC proposed reforms. The NRLN will be assisting us with briefings to effectively lobby members of congress to prevent the loss of pension benefits during bankruptcy and improve the way the PBGC calculates our benefits.

Note that the NRLN will provide $50 if you attend the briefing on the 15th or 16th and dinner for the member and spouse on September 15th. We will be joined by many members from all areas of the NRLN in a concentrated effort to get proposed legislation introduced by this congress. After the briefing by the NRLN we will be going to key congressional offices to talk to representatives. Many members of congress are much more receptive to their own constituents so you should also request to meet with your representative.

You do not have to be an expert on pension reform or PBGC procedures to attend. We will assist you in your efforts and will be attending many of the meetings with you. If you can attend please contact us through the web site or at contactus@dp3.org, a trustee will respond and provide you with all the necessary information. We may be able to assist you in securing rooms at a better rate. Priceline seems to be booking rooms in the $80-90 range. We look forward to you joining us in this effort to restore our earned benefits.

If you cannot attend the fly-in please review the information in the rest of this document and contact your representative during the August recess and voice your concerns. We will provide you with information about our PBGC initiatives. continue reading...

NRLN Fly-In Report
September 29, 2009

Last week many of your DP3 trustees and members Don Tibbs, Rhea Nichols, Ken Ulrich, Ron Jones, Denis Waldron, and Jim Webster met in Washington, D.C. to participate in a legislative "Fly-In" sponsored by the National Retiree Legislative Network (NRLN). Retired Delta pilot Valerie Walker also participated as a member of DDPSA.

Most of you will recall that DP3 affiliated with the NRLN in January of this year with the realization that over two million collective voices, acting through the NRLN, have more political influence than a few thousand retired Delta pilots acting independently.

This Fly-In was the culmination of an effort by DP3 to assist other retirees maintain their hard earned benefits during corporate bankruptcies. Based on our experiences in the Delta bankruptcy we helped craft background papers and legislative proposals for the NRLN designed to level the playing field for retirees when their former employers declare bankruptcy, while also protecting the pension benefits of those (including us) whose pension plans have been turned over to the PBGC.

An executive summary of our PBGC whitepaper is posted in our documents folder, and you can read the full report of the meeting here: Read the full report

Fact Sheet About the HCTC and the new Delta Cobra Option
October 19, 2009

As you probably know Delta has just announced they will have a one time opportunity for those retirees who were not eligible for COBRA under the 1114 bankruptcy agreement to enroll in an HCTC eligible lifetime COBRA program (see next article below.) If you are under 65 and receiving any payment from the PBGC, please review the following document that answers some HCTC questions:   HCTC Fact Sheet

DP3 Chairman's Update on Legislative, Legal, VEBA, and Membership Activities
October 14, 2009

To our Honor Roll members, thank you for your support, but we need more than your financial assistance!

In my last Chairman's Letter I mentioned that the DP3 trustees and several of our members had recently participated in a Fly-In sponsored by the NRLN in support of our combined legislative initiatives. These legislative proposals were crafted after several months of research and meetings with congressional staffers and lobbyists asking for their guidance on how we could best achieve our objectives.

Our proposals were developed after members of our Retirement Committee had reviewed scores of retirement worksheets submitted by DP3 members. Studying these PBGC calculations provided us with a better understanding of the various lookbacks currently imposed by the PBGC and the impact that those lookbacks have on our contractual retirement benefits, while our research into ERISA regulations convinced us that the PBGC was exceeding its legal authority in the manner it was imposing the lookbacks.

Currently the Federal Courts tend to give deference to federal agencies allowing them to interpret those regulations that govern their operations, and unfortunately the PBGC is currently using every gray area in ERISA regulations to shore up the agency's huge deficits at the expense of retirees whose benefits should be protected.

There are two ways to attack these PBGC procedures. One is through litigation, and the retired USAIR pilots are going this route as they have received their final benefit letters from the PBGC. The second method is to clarify the underlying PBGC regulations through a concerted legislative effort. Because we cannot legally sue the PBGC until our final benefit letters have been issued, the DP3 trustees have decided to pursue a legislative solution at this time.  continue reading...

URGENT! Delta Withdraws new COBRA option for 2010 Open Enrollment
November 7, 2009

DP3 has just received confirmation that Delta's recent COBRA offering to retirees, who were originally excluded from the lifetime COBRA option during the bankruptcy process, has been declared by the IRS as ineligible for the Health Care Tax Credit.

Because of this administrative ruling, the COBRA offering does not make economic sense and Delta is withdrawing it as an option during this year's enrollment period. You will soon receive a letter from Rob Kight explaining this in more detail, but we have posted a copy of Delta's letter here.

DP3 was grateful that Delta made this "COBRA" offering after we had repeatedly requested that they review the exclusion of so many retired pilots, and their dependents, from the original offer of lifetime COBRA benefits. It is unfortunate that Delta did not receive pre-approval for the HCTC eligibility from the IRS prior to posting this as one of the medical insurance options for 2010. This lack of approval has raised expectations unnecessarily and the manner in which the offering was initially communicated led to enormous confusion among the pilots who were trying to evaluate their options during this enrollment period.

For those who had already signed up for the COBRA coverage you must change your selection prior to the end of the annual enrollment period, November 17, 2009. If you do not make another selection prior to the deadline, then Delta currently plans to have you default into the Delta Family Care Medical Plan at 100 percent of the premium, even though those of you over age 60 probably qualify for the Delta Pilot Medical Plan with your share of the premium only 51% of the full premium. (35% if you are a retiree currently receiving zero in benefits from the PBGC.)

You should also notice that this is the first time pilot retirees have been offered the Delta Family Care Medical Plan as a post-bankruptcy insurance option, and it is not clear if that option will be made available in subsequent enrollment periods. There are also significant differences between the DPMP and the DFCMP and you should carefully evaluate how those differences fit the needs of you and your family prior to making a selection.

DP3 is still pursuing the establishment of a Voluntary Employee Benefit Association (VEBA) through an order of the Bankruptcy Court. It is unfortunate that last month's hearing was cancelled, but our request should be heard at the hearing scheduled for November 13. (Please note that this hearing date has been moved up from the previously scheduled November 17th date - Docket #7464 on the Bankruptcy Web Site.) If we receive court approval we hope to roll our VEBA plan out in early 2010 and we plan to have it approved by the IRS for HCTC eligibility prior to rollout.

Health Insurance FAQ for 2010 Open Enrollment
November 3, 2009

We have been receiving many questions from the DP3 membership regarding the 2010 Open Enrollment options and process, particularly about the new COBRA option and the HCTC benefit. Acknowledging that we are not trained in Delta's myriad Health Insurance options, and certainly not experts in the federal Health Coverage Tax Credit (HCTC) or the COBRA option, we are nonetheless trying to provide some basic information that you can use in making your 2010 choices for health coverage.

We have prepared a web page listing the questions we have been asked and the best answers we can obtain from the various sources available to the public. The Q&A is available through the link on the FAQ drop down menu or by clicking this direct link here: http://www.dp3.org/ns/2010oeFAQ.html.

Please remember that we are not experts, and as much as we'd like to, we can't make your decision for you. But we can share with you the process that some of the trustees have used to make their decisions.

First, you need to be sure that you are eligible for the HCTC. If you are not, you should consider the high cost of the COBRA coverage before choosing that option. We can tell you that for those not eligible for HCTC (see the Q&A for guidance) the COBRA coverage is based on the DFCMP and is more expensive than the DPMP and has less coverage. Second, if you are eligible for the HCTC, we suggest that you investigate your state HCTC eligible program. Not all states have them, and the costs and benefits vary widely. Third, in order to compare the DAL plans you need to look at the benefit brochures. We have included them at the top of the Q&A page. DAL has not made this easy. First look at the 2010 Retiree Benefits Highlights. The current deductibles and other limits of the plans are there. Copy those numbers down, and then go to the Benefits Handbook, which was published in 2008. The details of the plans are in that brochure, but the deductibles and limits are not correct. You must apply the limits you copied down from the Highlights brochure.

To find out details of the drug plan, you must go to the UHC web page and find the drug calculator to find out whether prescriptions you have are covered, and how much they will cost you under the Delta plans.

This is by no means all of the information you should be comparing, but it gets you past the more confusing parts of the process.

Finally, we are aware of two possible glitches in the enrollment process. Some retired pilots are not showing the COBRA option on their paperwork - if you think you are eligible and do not have the option, call the Delta ESC. Also, when switching from the HVO to the Age65 COBRA option, sometimes you cannot de-select the HVO option, and it appears you are signing up for both. Again, call the ESC to ensure you have completed the selections properly.

Some key points to remember. The DP3 VEBA will not be available during this year's open enrollment period. The HCTC rules are very specific and well documented on their web site. Premium payments must be made on time or you risk losing both the COBRA deal and the HCTC. The HCTC Customer Contact Center (1-866-628-4282) is staffed with very professional and helpful agents, but they are very busy with applications resulting from the ARRA act, and they are already about 6-8 weeks behind; so be prepared to make the full premium payments for at least 2 months before you start your HCTC benefit if you choose the new COBRA option. Read our Health Care FAQ

Delta Offers One-Time COBRA Option to Retirees
Plan is HCTC Eligible (for those receiving PBGC check)
UPDATE: THIS PROGRAM HAS BEEN WITHDRAWN
October 15, 2009

One of the issues DP3 has pursued vigorously since the bankruptcy is an HCTC eligible healthcare option for retired pilots previously excluded from Delta medical coverage during the bankruptcy. You may recall that back in August, DP3 began the process to create a VEBA for those retirees (see article here), a process which is still in work through our attorneys and insurance brokers. We do not have a timeline for when the VEBA may come to fruition, but since it involves Delta's cooperation and concurrence, bankruptcy court approval, and IRS approval, we are not confident that it will be completed in time for the 2010 open enrollment period.

We are therefore gratified that Delta has finally rectified the bankruptcy oversight by announcing that they are making available a one-time option for retired pilots to enroll in COBRA coverage, which by definition is HCTC eligible for those of you that meet the other HCTC requirements, such as receiving a check from the PBGC and not being on Medicare. This new COBRA opportunity is explained in their letter to retirees dated October 5, 2009. Please note that this is NOT the VEBA plan DP3 has proposed.

We urge each retired pilot to study the 2010 open enrollment material carefully when making your health insurance coverage selections this fall. Keep in mind that the HCTC currently pays 80% of your total insurance premium, which will last through the end of 2010 under the terms of the ARRA act. In 2011, that payment rate could drop back to the standard 65% of premiums, if the temporary ARRA benefit increase is not extended. We do not have information on the likelihood of that, but plan to lobby for that as part of our ongoing legislative efforts.

Information on this new program, as well as all the Delta medical options for 2010, is available on the Delta Extranet. Logon to https://dlnet.delta.com/, navigate to the Retiree Connection link on the Employee Info menu, and review the documents posted there.

For additional information on the HCTC, click here: http://www.irs.gov/individuals/article/0,,id=187948,00.html.

A reminder: Those of you that are still receiving zero dollars of qualified annuity from the PBGC are not eligible for the HCTC (from Delta COBRA, the DP3 VEBA, or any other health plan) at this time; however, we want you to know that we are pulling out all the stops to try to rectify that problem by using our contacts in the legislature and the PBGC to find a way to solve this problem.

Updated Important Alert for HCTC Participants
January 18, 2010

If you are receiving the Health Coverage Tax Credit (HCTC), regardless of your insurance provider, you must notify the HCTC when there is an increase in your premium. The HCTC will continue sending the old premium payment, and you could lose your insurance coverage if the new premium is not fully paid.

Delta increased the HCTC eligible COBRA premium effective January 1, 2010. If you did not inform the HCTC of the increase, you are at risk of losing your DAL COBRA coverage. You must act now to ensure your DAL COBRA premium is fully paid by January 31, 2010.

Please note that this does not apply to you if you are receiving Medicare; it does not apply to you if you are receiving Tricare; it does not apply to you if you are not already receiving HCTC assistance; and it does not apply to you if you claim the annual HCTC credit on your tax return. Additionally, please remember that DP3 does not have access to your Delta Insurance Billing records. The statement later in this article "our records show that you have a balance of $89.48" is provided only as an example similar to what would you might see when you check your account at Delta Benefits Direct if your account has a balance due.

Continue reading about action steps you need to take before January 31, 2010...

Chairman's Update
December 23, 2009

Your DP3 board members recently held their monthly trustee meeting at the offices of our Atlanta law firm, Miller and Martin. Attending this meeting in addition to the DP3 trustees and our attorney, Dean Booth, were Tony Shelley and his associate Tim O'Toole from the Miller and Chevalier law firm in Washington D.C. DP3 recently augmented our current legal team with this firm that is currently representing the retired USAIR pilots in their litigation against the PBGC. The minutes of the meeting are now posted.

Former ALPA communications specialist Karen Miller also addressed the board during our meeting and presented a communications strategy for 2010. One area that continues to cause us difficulty in communicating to the retired pilots is the fact that we only have contact information for approximately half of the group. We are currently looking for solutions to this problem and following her presentation, the board decided to hire Karen as a communications advisor to DP3.

The Board members of DP3 wish you and your family a joyous Christmas season and a Happy New Year. As Board members we hear many of the difficult stories that have resulted from the bankruptcy actions taken by the company we worked so hard to make successful. It is our hope that in spite of any hardships we can all take a moment to reflect on the many blessings in our lives and enjoy this holiday season with our family and friends.

Will, Wendell, Bill, Roger, Bill, George, Bud, Jeff, and Tom

Chairman's Update
November 21, 2009

Most of you already know that Delta abruptly cancelled the "onetime" COBRA offer made during this year's open enrollment period. The cancelled program was offered to those retired pilots who were excluded from the original Lifetime COBRA option made during the company's bankruptcy (a program that is still in effect). After receiving word of the new COBRA program's cancellation in the midst of open enrollment, I wrote a letter to Richard Anderson asking him to extend the benefit enrollment period and change the default option for those retired pilots who had initially selected the cancelled program and did not update their selection after the "onetime" COBRA program's cancellation.

I am sorry to report that Delta did not respond to my letter, nor to several phone calls I made in the days leading up to the open enrollment deadline. Hopefully those of you who had selected the cancelled program received additional communications from Delta thoroughly explaining your new enrollment options and the consequences of not making another selection after the COBRA offer was rescinded.    Continue reading the full update...

DP3 Looking for Retired Delta Pilots who are Receiving ZERO benefits from the PBGC
January 20, 2010

First, this article applies only to pilot retirees who are not receiving any money from the PBGC.

Your DP3 trustees are still searching for a way to make more retired pilots eligible for the HCTC (Health Coverage Tax Credit - a subsidy available to help pay health insurance premiums for some PBGC participants.) Current regulations do not provide this benefit to retirees who are not receiving a check from the PBGC.

In an attempt to ascertain how many retired Delta pilots are in this situation, we are asking everyone who is not currently receiving a benefit from the PBGC to contact our Retirement Committee Chairman Tom Seever at tom.seever9@dp3.org, particularly if you were receiving a qualified benefit prior to the pension termination.

To see the information we need and how you can help, please continue reading the entire article...

DP3 Chairman's Update
January 19, 2010

On January 6, 2010, the DP3 Trustees held their monthly board meeting and discussed several important topics affecting retired Delta pilots. The minutes of that meeting are now posted on the DP3 web site.

Other issues covered in the Chairman's Update include our announcement of the 2010 contributions ($100), a discussion of our partnership with the NRLN, an update on the DP3 VEBA effort, a new initiative by the DP3 board to make more retired pilots eligible for the HCTC, and an alert to the membership about an HCTC billing issue that may affect some of our members and their health insurance coverage.   Click here to read the full update...

DP3 Database Update Project
February 8, 2010

DP3 maintains membership records manually, and we depend on each member to keep us informed of their current contact information. As we approach the PBGC's release of Final Determination Benefit Letters*, we want to ensure we have everyone's correct contact information, as this data will be essential to our efforts to maintain contact with as many retired Delta pilots as possible when that phase of the pension termination occurs.

Last week we sent an email to everyone for whom we have an email address that listed the following basic contact information that is in our records – asking for verification of the data or completion of missing info. We also asked for verification/completion of the three listed dates, information which is vital to our understanding of the benefit calculation process for individual retirees.

Address,   City,   State,   Zip
Primary Phone,   Cell Phone
Date of Birth,   Date of Hire,   Date of Retirement
Preferred Email Address

If you are a DP3 member and did not receive an email from us this week, we probably do not have your current email address – please update it for us. If you are not a DP3 member, we urge you to consider becoming a member by completing a membership application form. At the very least, sign up for our mailing list by providing your name and email address. You can either send us a contact message from our web page using the link on the main menu above, or use the email sign up link from the SIGN UP menu above.

All of your contact information will be held in the strictest of confidence. Note that for DP3 members who have signed a proxy, the information may be shared with our legal counsel if and when legal action is taken.

DP3 thanks you for your continued support. We urge all retired pilots to check our Web site and BLOG often for updates and to learn more about our efforts to help recoup our lost pension and health benefits.

*We do not know when the Final Determination letters will be issued. The last "guess" by the PBGC was Summer of 2010, but that is neither a promise nor a deadline.

Pat "Mother" Malone to be Inducted Into the Georgia Aviation Hall of Fame
Posted March 12, 2010

Delta legend Pat "Mother" Malone will be posthumously inducted into the Georgia Aviation Hall of Fame at Warner Robins Air Force Base on April 24, 2010. Tickets for the dinner and ceremony are $75 per person, and the museum will receive all proceeds. To attend the ceremony or make a donation in honor of Mother Malone, visit the Delta Net web site. More information is available in this Delta News Network Story

Information on 2010 Medical Insurance Options and an Update on the DP3 VEBA
October 25, 2009

This is a reminder that the open enrollment period for Delta benefits opens for retirees on October 28 and closes on November 17. It is important to note that some of this year's default options have changed, so even if you plan to maintain your current selections, you should check the Delta Benefits Direct section of Delta Net to ensure that your choices are what best suits you and your family for the next year.

It is unlikely that our proposed VEBA will be established before the end of the year due to the cancellation of last month's scheduled bankruptcy court omnibus hearing date. The next court hearing date is not until November 17 which coincidently is also the last day of the open enrollment period for next year's Delta benefit selections. We are, however, thankful that Delta has decided to offer HCTC eligible COBRA coverage to our members--it is, and has been, the right thing to do for those who have been excluded from Lifetime COBRA.    Read the full details here...

Some Good News from the PBGC
Posted 4-14-2010

In recent months, DP3 has appealed to the PBGC (see our Chairman's letter to the Secretary Of Labor) to find a way to minimize the hardship several hundred of our members suffered as a result of receiving zero benefit from the PBGC - they were ineligible for the valuable Health Coverage Tax Credit which offsets the cost of certain qualified insurance expenses as much as 80%. We are pleased to announce that we have finally received a positive response from the PBGC, indicating that not only will the zero's be first in line for Final Benefit Determination Letters, but some HCTC payments may be retroactively paid back to these members who will begin receiving a monthly check from the PBGC as early as June 1, 2010. Read the PBGC's letter to DP3 here.