HR1171 93RD GENERAL ASSEMBLY

HR1171 LRB093 23336 LCB 53314 r

HOUSE RESOLUTION

WHEREAS, United Airlines has a rich history that goes back nearly 70 years; the company has provided many valuable services that have included: 1,600 daily departures, which service 66 million passengers annually; over 110 destinations worldwide in 26 different countries; and employment of 63,000 active employees and 58,000 retired employees; and

WHEREAS, United Airlines has been a major contributor to the pension plan of its employees; it contributed $725 million for 2004 and is estimated to owe $4.1 billion to pension plans by 2008; and

WHEREAS, United Airlines is threatening to stop the funding of its pension plans as part of its bankruptcy plan; already United Airlines has renegotiated an annual savings of $2.5 billion from a reduction of wages and benefits in its union contracts beginning in 2005; and the company has missed $72 million in pension contributions in the month of July 2004; and

WHEREAS, A default by United Airlines on its defined pension plan would be the largest pension failure in United States history and would severely impact a pension agency with a $9.7 billion deficit; therefore, be it

RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE NINETY-THIRD GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that the members of the House of Representatives urge United Airlines to continue to fund the company's defined benefit pension plan; and be it further

RESOLVED, That a suitable copy of this resolution be presented to the Board of Directors of United Airlines.