United pilots contract, Section 8 — Staffing

8-A-1 Pilot assignments at a Base shall be classified in the Status of Captain and First Officer, as applicable, in one of the following Equipment types: A380, B777, B787, A350, A330, B767/B757, A321/A320/A319, B737, A220, CRJ900 and EMB190/195.

8-A-2 Should an Equipment type not listed in Section 8-A-1, or not delineated in Section 8-D-1-c, be introduced, the parties shall meet and agree to determine its classification for purposes of Section 8-D-1-c. If the parties are unable to agree, the dispute shall be resolved via arbitration as set forth in Section 3-J-1.

8-A-3 Each Bid Period the Company shall electronically post an up-to-date list of the staffed positions of all Pilot assignments.

8-B-1 Scheduled block hours (including AMC and CRAF hours) plus Flight Time credit divided by 87:00 = Pilots

8-B-2 Reserve - 14% of 8-B-1 for A380, B777, B787, A350, A330 and B767/B757 Captains, or 12% of 8-B-1 for A321/A320/A319, B737, A220, CRJ900 and EMB190/195 Captains and all First Officers = Pilots

8-B-3 Charter & extra lift hours divided by 87:00 = Pilots

8-B-4 Sick leave man months = Pilots

8-B-5 Vacation man months = Pilots

8-B-6 Training man months (including recurrent training) = Pilots

TOTAL SYSTEM PILOT REQUIREMENTS FOR 60 DAYS = total of above Nothing herein shall prevent the Company from awarding or maintaining additional positions for reserve coverage by Equipment type in excess of the percentage set forth in Section 8-B.

8-C-1 Vacancies

8-C-1-a Vacancies in Captain and First Officer Categories shall exist when, in accordance with Section 8-B, there is a need for additional positions for an anticipated period of sixty (60) days or more. Vacancies shall be advertised at all Bases as far in advance as possible, but not later than thirty (30) days after such vacancy exists.

8-C-1-b Vacancies which were not expected to exist more than sixty (60) days, if existing at the end of sixty (60) days, shall be reviewed with the System Schedule Committee (SSC). Such vacancies shall be advertised within five (5) days after such review unless mutually agreed otherwise.

8-C-2 Subject to the provisions of Section 8-D, Pilots shall be eligible to be awarded vacancies. Vacancy bulletins shall state the number and Category of primary vacancies to be filled; the effective date of the award; the anticipated dates training is to start; and the current minimum and maximum number of positions, as determined by the Company, for all Categories. All vacancies listed on the same bulletin shall share a common closing date and a common effective date. Vacancy bulletins shall be posted not later than noon local time on the date the bulletin is issued and shall close not sooner than noon local time on the tenth (10th) day following the date of issuance.

8-C-3 Bidding on Vacancies

8-C-3-a A Pilot desiring a change in Category may submit a bid for any Categories that he desires in preference order, which may remain on file indefinitely as a “standing vacancy bid” at the Pilot’s request. A Pilot may revise his standing vacancy bid at any time. His standing vacancy bid shall be the Pilot's official bid. Standing vacancy bids shall be cancelled upon request or upon the award of a vacancy as a result of a bid.

8-C-3-b A Pilot may use percentage bidding, selectable on a single-percentage-point basis, to bid a relative position within a Category. This percentage shall be applied at the time the Pilot’s bid is processed, and shall be calculated based upon the Pilot’s relative position (if given the award) compared to the final number of positions that exist when all awarding is complete.

8-C-4 Awarding of Vacancies

Upon closing of a vacancy bulletin, Pilots shall be awarded the number of advertised primary vacancies. At the same time, Pilots may be awarded secondary vacancies that have become available due to the awarding of the advertised primary vacancies. Further, awards may be made to fill the vacancies resulting from all subsequent awards. Secondary vacancies shall be awarded to ensure the published minimum number of positions are maintained for all Categories. These secondary vacancies shall not have been advertised, but shall share the same effective date as the primary vacancies. The number of awards made to fill the vacancies resulting from primary and all subsequent awards may exceed the published minimum number of positions.

8-C-4-a In addition, in a Category that has advertised primary vacancies, the Company may make secondary vacancy awards up to the point that the total number of awarded Pilots who are not lateral awards equals the number of advertised primary vacancies plus the number of awards out of the Category in the vacancy.

8-C-4-a-(1) For example, if ten (10) SFO B777 Captain primary vacancies are advertised and three (3) SFO B777 Captains are awarded out of the Category, the Company may make secondary vacancy awards up to the point that the total number of awarded Pilots who are not lateral awards totals thirteen (13).

8-C-4-a-(2) For example, if ten (10) SFO B737 First Officer primary vacancies are advertised, five (5) SFO 737 First Officers are awarded out of the Category, and two (2) B737 Pilots receive a lateral award to SFO, the Company may make secondary vacancy awards up to the point that the total number of awarded Pilots who are not lateral awards totals fifteen (15). In this case, there shall be fifteen (15) unfilled vacancies in the SFO B737 FO Category.

8-C-4-a-(3) The Categories that are potential candidates to use this process must be identified in the vacancy bulletin.

8-C-4-a-(4) The maximum number of positions listed on the vacancy bulletin for Categories using this provision may be exceeded by the number of secondary vacancies made under this provision.

8-C-4-a-(5) The SSC will be consulted on each use of this provision, and upon request will be provided a training plan that demonstrates the need for the provision.

8-C-4-a-(6) The intent of this provision is to efficiently utilize available training resources, and not to limit the number of vacancies.

8-C-5 Except as provided in Section 8-C-6, the most senior Pilot eligible (as defined by Section 8- D) for a vacancy shall be awarded such vacancy in accordance with his bid choices.

8-C-6 When a vacancy or vacancies occur in a Category from which a Pilot(s) has been displaced under the provisions of Section 8-E, the displaced Pilot(s) shall, notwithstanding any freezes outlined in Section 8-D and for a period of 120 days beyond the effective date of his displacement, be offered in order of seniority the vacancy prior to awarding that position under the provisions of Section 8-C-5. This 120 day period is measured from the effective date of the displacement to the date on which the vacancy bulletin is published.

8-C-7 All vacancies shall be advertised for bid not more than six (6) months prior to the effective date of the vacancy, except the Company may exceed this time limit with SSC concurrence. This time limit may also be exceeded for vacancies awarded on a new Equipment type if necessary to meet training requirements after review with the SSC. An Equipment type shall be considered “new” for any bid with an effective date within twenty-four (24) months of the Company’s first revenue flight using that Equipment type.

8-C-8 Bulletined but unfilled First Officer and unfilled narrowbody fleet Captain vacancies may be used by the Company for the assignment of new hire Pilots. This Section 8-C-8 shall not be applicable while any furloughed Pilot has not been offered recall. For the purpose of this Section 8, “narrowbody fleet” or “narrowbody fleet Captain vacancies” refers only to B737 or A320 or any other single-aisle non-supersonic aircraft that may be added to the Company fleet in the future.

8-C-8-a Any Captain vacancies offered must be tied to forecasted block hour needs in a Category.

8-C-8-b Pilots who do not meet the requirements of FAR Part 121.436 will not be eligible to be awarded or assigned Captain vacancies.

8-C-8-c New hire Pilots and probationary pilots under Section 8-I-1-b may only be assigned or awarded to Captain vacancies in narrowbody fleet Categories.

8-D-1 Equipment Training Freeze

8-D-1-a When a Pilot is awarded a vacancy that requires training, he may be ineligible to be awarded another vacancy for twenty-four (24) months if the number of training days (excluding days off) for the training is thirteen (13) days or greater, or for twelve (12) months if the required training is less than thirteen (13) days. There shall be no restriction on his eligibility to be awarded another vacancy if training is not required.

8-D-1-b An Equipment training freeze shall also apply to a new hire Pilot, and to a Pilot recalled from furlough who requires training.

8-D-1-c An Equipment training freeze shall not restrict a Pilot in a lower–numbered Equipment/pay band from being awarded a vacancy in a higher-numbered Equipment/pay band, pursuant to the bands described below:

1) EMB FO, CRJ 900 FO 2) 320 FO, 737 FO, 220 FO, CRJ 900 CA 3) 756 FO, EMB CA 4) 777 FO, 787 FO, 330 FO, 350 FO 5) 320 CA, 737 CA, 220 CA 6) 756 CA, 380 FO 7) 777 CA, 787 CA, 330 CA, 350 CA 8) 380 CA

8-D-1-d An Equipment training freeze shall not restrict a Pilot from bidding to a “new” Category (a Category shall be considered “new” for all vacancies with advertised effective dates within six (6) months of the advertised effective date of the first vacancies bid in that new Category).

8-D-1-e Application of Freezes and Continued Vacancy Offering.

8-D-1-e-(1) New Hire Pilots or Probationary Pilots who have not yet reached Section 9-K- 1 qualifications on the date they receive the Captain vacancy award will be subject to an Equipment training freeze for twenty-five (25) months upon reaching the Section 9-K-1 qualifications. Probationary Pilots who have reached the Section 9-K-1 qualifications on the date they receive the Captain vacancy award will be subject to an Equipment training freeze for twenty-four (24) months starting on the award date pursuant to Section 8-D-5.

8-D-1-e-(2) A Pilot with an Equipment Training Freeze in Section 8-D-1-e-(1) who is subsequently awarded a vacancy that requires training will have an imputed effective date equal to the date in which the freeze in Section 8-D-1-e-(1) expires. However, the Pilot will

be pay protected in accordance with Section 8-F-5 based on the actual effective date of their new vacancy.

8-D-1-e-(3) Unless the 8-F-12 Pilot has elected to keep the Captain vacancy, the Company will continue to offer any Captain vacancy awarded or assigned to a 8-F-12 Pilot as a vacancy on any subsequent vacancy bid until such time as the 8-F-12 Pilot has been scheduled for Captain training.

8-D-1-e-(3)-(a) If a subsequent vacancy bid has more qualified Pilots bid for a Captain position than there are vacancies available in a given Category, additional vacancies will be awarded prior to the application of Section 8-C-4-a to substitute those Pilots for the 8-F-12 Pilot assigned to that Category.

8-D-1-e-(3)-(b) Such vacancy shall be the last vacancy awarded in the Category, if there are multiple vacancies in the Category. Any Pilot awarded the vacancy must already meet all criteria for upgrade contained in the UPA.

8-D-1-e-(3)-(c) If the 8-F-12 Pilot is awarded a Base trade or vacancy in a different Category in accordance with Section 8-F-12-b, the Company shall no longer be obligated to post the vacancy.

8-D-1-e-(3)-(d) If prior to being scheduled for Captain training there are no longer any unfilled Captain vacancies for the Equipment, the 8-F-12 Pilot shall be provided the opportunity to opt-out of the Captain award. In such case, the Pilot will be considered as staffed in the Category in which they are currently flying, will not be subject to any bidding freeze, and will no longer be paid at a Captain rate provided in Section 8-F-12- e.

8-D-2 Bidding Freeze

8-D-2-a When a Pilot is awarded an assignment through vacancy bidding and such award does not move him from a lower-numbered band to a higher-numbered band in accordance with Section 8-D-1-c, he may be ineligible to be awarded any other vacancy for (-1-) thirty-six (36) months, if the Pilot did not change Base as a result of the award; or (-2-) twenty-four (24) months if the Pilot did change Base as a result of the award. However, a Pilot shall be eligible to be awarded a vacancy for a “lateral” award (i.e., change in Base only; Equipment and Status remain the same, where ‘Equipment and Status’ is determined using the Pilot’s most-recent vacancy or displacement award) without incurring an additional bidding freeze.

8-D-2-b A bidding freeze shall not restrict a Pilot from bidding for a Captain vacancy in his current Equipment type, nor from bidding to a new Base (a Base shall be considered “new” for vacancies with effective dates within six (6) months of the effective date of the first vacancy bulletin for that new Base).

8-D-2-c A bidding freeze shall not restrict a Pilot from being awarded a vacancy to upgrade from First Officer to Captain for the first time. However, such Pilot shall retain the balance of any bidding freeze under Section 8-D-2-a which exists at the time of the award. For example, a Pilot with a Section 8-D-2-a bidding freeze of thirty-six (36) months who has completed twenty (20) months in the frozen Category at the time of award will carry forward the

remaining sixteen (16) months of the bidding freeze to the new Category. The portion which is carried forward will run concurrently with any new training freeze resulting from the award.

8-D-3 New Equipment Type Freeze

8-D-3-a When a Pilot receives an award through vacancy bidding to a “new” Equipment type as defined in Section 8-C-7, he shall be ineligible to be awarded any other vacancy until the “new” Equipment type has completed twenty-four (24) months of revenue service.

8-D-3-b The award restriction set forth in Section 8-D-3-a shall also apply to a Pilot who receives an award to a “new” Equipment type upon being hired as a Pilot or upon being recalled from furlough.

8-D-3-c A new Equipment type freeze shall not restrict a Pilot from being awarded a Captain vacancy if he has never held a Captain position before.

8-D-4 Any previously existing Equipment training freeze, bidding freeze, or new Equipment type freeze shall expire upon the earliest of (1) the date the freeze applicable to a subsequent vacancy bid award, if any, begins or (2) the date a Pilot receives a displacement award. However, freezes shall not expire if a vacancy bid award is a lateral vacancy bid award. A Pilot under a freeze may be awarded an unlimited number of lateral bid awards except he shall receive no new paid move nor travel time entitlement as a result of such an award.

8-D-5 All freezes shall begin on the award date of the vacancy award that causes the freeze (or, for a new-hire Pilot or a Pilot returning from furlough, on the day the Pilot begins indoctrination or re-indoctrination training), and shall apply to any vacancy bid whose closing date falls within the duration of the freeze.

8-D-6 Prior to utilizing Section 8-C-8 to assign an unfilled narrowbody fleet Captain vacancy to a New Hire, existing freezes will be lifted for Pilots bidding into those categories for that bid. When these existing freezes are lifted, Probationary Pilots will also be eligible to bid on such vacancies for that bid. In the event that the Company chooses not to lift existing freezes to fill unfilled narrowbody fleet Captain vacancies, those vacancies will be cancelled for that Category when the award is final.

8-E-1 If the Company determines that an excess of Captain or First Officer positions exist in a Category (including a Category that has un-activated assignments), the Company may issue a displacement bulletin, giving notice to the Pilots potentially affected that they are subject to displacement from their assignment on a specified date.

8-E-2 Displacement bulletins shall be published not less than thirty (30) days nor more than 125 days prior to the effective date of the displacement bulletin.

8-E-3 Displacement bulletins shall state the number of displacements that may occur in a Category; the effective date of the displacement bulletin; a seniority range of those subject to involuntary displacement, to indicate the displacement rights of any volunteer(s); and the current maximum number of positions for all Categories, as determined by the Company.

8-E-4 The displacement process shall not bring a Category below the published maximum number of positions for that Category, however, the Company is not required to displace in the event the number of positions in a Category exceeds the published maximum number of positions for that Category.

8-E-5 All Pilots in affected Categories shall be provided notice as outlined in Section 21-L-2 of displacement.

8-E-5-a Displacement bids shall be open for at least fourteen (14) days after the publication date of a displacement bulletin.

8-E-5-b If a Pilot is awarded a vacancy out of a Category affected by displacement during the period described in Section 8-E-5-a or during the one hundred twenty (120) days prior to the displacement bulletin’s publication date, he shall be entitled to a paid move in accordance with Section 10, and shall not be subject to a freeze pursuant to Section 8-D. If a Pilot is awarded a vacancy out of a Category affected by displacement during the period described in Section 8-E-5-a, the number of displacements within the affected Category shall be reduced by the number of such awarded Pilots.

8-E-5-c A Pilot who has displacement rights may 1) displace into any Category (except for a Category being phased out as set forth in Section 8-E-6-b) where a Pilot junior to him holds an assignment, whether activated or not, and excluding Pilots who remain subject to displacement after the application of Section 8-E-6 or Pilots exempt from displacement under the provisions of Section 7-I; or 2) be awarded any vacancy to which he is entitled by seniority.

8-E-5-d A Pilot may use percentage bidding, selectable on a single-percentage-point basis, to bid a relative position within a Category. This percentage shall be applied at the time the Pilot’s bid is processed, and shall be calculated based upon the Pilot’s relative position (if given the award) amongst the most senior Pilots holding the category at the time the Pilot’s bid is processed, up to the minimum number published per Section 8-E-3.

8-E-5-e Any Pilot, subject to displacement, who has not submitted a displacement bid at the time the bid closes shall be displaced to a Category defined by the Displacement Matrix, which shall be jointly developed and revised as necessary between the SSC and the Company.

8-E-5-f Notwithstanding Section 8-E-5-e, whenever a Pilot who is on a military leave of absence is displaced and does not submit a displacement bid, the Company shall automatically displace him to the highest paying Category to which he is entitled to by seniority. When the Pilot returns to active duty with the Company, he shall be permitted to displace to any assignment that his seniority entitles him.

8-E-6 Displacement of Pilots shall be made in inverse seniority order, unless exempted by the application of Section 7-I or as set forth below:

8-E-6-a Any Pilot holding an assignment in the same Category as a Pilot who has been given a displacement notice may, on a pilot-for-pilot basis, volunteer to replace the most senior Pilot subject to displacement. A volunteer shall submit a displacement bid, and he shall be accepted as a volunteer only if his bid can be granted based upon the seniority of the Pilot he replaced on the displacement notice. Volunteers shall be awarded in seniority order up to the number

of the published displacements as adjusted by the provisions of Section 8-E-5-b. The number of Pilots to be involuntarily displaced shall be reduced by one (1) for each volunteer awarded a displacement, and the list of Pilots subject to displacement shall be adjusted to account for the effect of volunteering Pilots.

8-E-6-b When the Company desires to completely phase-out a Category (i.e., the Equipment type is no longer flying in that Base), the provisions of Section 8-E shall apply except that a volunteer for displacement under Section 8-E-6-a may exercise his displacement rights using his seniority.

8-E-7 Should Pilots be displaced while junior Pilots remain in the same Category because of the exemption provided under Section 7-I, and should the anticipated furlough subsequently be cancelled, the displaced Pilots shall be protected as follows:

8-E-7-a All Pilots previously exempted under Section 7-I shall be immediately displaced, or

8-E-7-b Those Pilots who had been involuntarily displaced to another Category shall be immediately given the opportunity in seniority order to return to their prior Category, provided further that the number of Pilots exercising this option shall not exceed the number of Pilots previously exempted under Section 7-I in that Category. If the Pilot has exercised a paid move under the provisions of Section 10 as the result of his displacement and elected to return to his prior Category as the result of this Section 8-E-7-b, he shall again be entitled to a paid move under the provisions of Section 10 back to the Base of his prior Category.

8-E-8 All involuntary and voluntary displaced Pilots shall be entitled to a paid move in accordance with Section 10 and shall not be subject to a freeze pursuant to Section 8-D.

8-F-1 A Pilot’s date of “activation” shall be the date they begin in a new Category and is set by:

8-F-1-a completion of LOE in that Category; or

8-F-1-b the first day on which they begin a schedule in that new Category, when no training is required.

8-F-2 The order of activation of vacancy awards in a Category shall be in chronological order of the award bulletins.

8-F-3 Cancellation of Vacancy Awards

8-F-3-a A vacancy award may only be cancelled if: (1) the Pilot has not been activated; (2) the cancellation occurs prior to the effective date specified in the award bulletin; and (3) no junior Pilot on the same vacancy or any Pilot on a subsequent vacancy has been activated into the Category. Further, if a vacancy award is cancelled, the unactivated vacancy awards into the Category for all junior Pilots on the same vacancy and all Pilots on a subsequent vacancy must also be cancelled. When vacancy awards are cancelled, the order of cancellation shall be in reverse chronological order of the publication date of award bulletins, and then in reverse seniority order of Pilots awarded vacancies within the same bulletin.

8-F-3-b A Pilot whose vacancy award is cancelled shall retain their current assignment. Further, if on any intervening bulletin award (including the bulletin award that was cancelled)

a Pilot junior to them has been awarded a vacancy which the Pilot could have been awarded, the Pilot may, within twenty (20) days of notification of such cancellation, displace into the Category which the junior Pilot was awarded. The Pilot exercising such displacement rights shall be considered as though they had bid the vacancy awarded the junior Pilot.

8-F-3-c In the event a vacancy is not filled within one hundred twenty (120) days of the date the award bulletin was issued, the vacancy shall be cancelled.

8-F-4 Cancellation of Displacements

Should the number of displacements in a Category be reduced, the Company may cancel all or part of a displacement bid. Partial reductions in a displacement bid shall be made in the following manner:

8-F-4-a The Company shall contact all Pilots who volunteered to be displaced under Section 8-E-6-a and offer each Pilot the opportunity to withdraw as a displacement volunteer. If the Pilot does not withdraw within seven (7) days after notification, he shall still be considered a displacement volunteer as set forth in Section 8-E-6-a.

8-F-4-b Following the contact made in Section 8-F-4-a, the number of displacement cancellations determined by the Company shall occur in the following order:

8-F-4-b-(1) Seniority order of volunteers who have requested withdrawal;

8-F-4-b-(2) Seniority order of Pilots who have been involuntarily displaced; and

8-F-4-b-(3) Inverse seniority order of remaining displacement volunteers.

8-F-5 Pay Rate Protection

8-F-5-a For each Category, on a pilot-for-pilot basis, a Pilot who has an un-activated vacancy award shall be “pay rate protected” (based upon the blended rate of the Category, if applicable), on the date: (1) another Pilot begins a temporary duty assignment (“TDY”) in the subject Pilot’s Category if such date is on or after the subject Pilot’s vacancy bid effective date; or (2) the activation date of a junior Pilot in the same Category on the same vacancy bulletin; or (3) the activation date of any Pilot in the same Category on subsequent vacancy bulletins.

8-F-5-b Any Pilot who is pay rate protected under Section 8-F-5-a, and whose awarded vacancy involves a Base change, shall on the forty-sixth (46th) day of such protection be entitled to expenses and allowances in accordance with Section 4-E-1. Such expenses shall cease once the Pilot is no longer eligible for pay rate protection. However, should the Pilot again become eligible for pay rate protection to the same Category from the same bid award, these expenses shall resume immediately.

8-F-5-c A displaced Pilot who is activated in the Category of his displacement award shall be pay rate protected, on a pilot-for-pilot basis, if a junior Pilot displaced on the same displacement bulletin remains in the Category from which they are displaced.

8-F-6 Process of Activation

8-F-6-a Unless otherwise provided for in Section 8-F, a Pilot shall remain in his current assignment until his activation date in his awarded Category.

8-F-6-b If a Pilot’s current assignment is a Category that has been completely phased-out as defined in Section 8-E-6-b, the Pilot must, on a Bid Period basis, choose to be available for either TDY or Section 20-H-6 assignments until he begins training for his new assignment but in no case for more than two (2) Bid Periods, unless extended by the Pilot as set forth in Section 8-F-6-b-(3).

8-F-6-b-(1) TDY assignments are only available in Categories offered by the Company. At least one (1) Category must be offered for TDY if that option is elected by the Pilot.

8-F-6-b-(2) Pilots on a TDY assignment shall have all expenses and allowances, as provided in Section 4-E-1, discontinued during periods of unavailability. For purposes of Section 8, “periods of unavailability” do not include scheduled days off.

8-F-6-b-(3) If the Pilot has not begun training by the end of two (2) Bid Periods as set forth in Section 8-F-6-b, he shall be entitled to be released from work obligations and paid reserve guarantee until he starts training. Alternatively, he may choose to extend his TDY or Section 20-H-6 availability for up to two (2) additional Bid Periods. If the Pilot, however, causes a disruption in his training/advancement plan, as defined in Section 8-F-8-b, the Company may extend the TDY or Section 20-H-6 availability period for up to two (2) Bid Periods without his concurrence.

8-F-6-c If a Pilot’s vacancy or displacement award requires training, that training may begin at any time, subject to the training notification requirements of Section 9. However, for displacement awards, the Pilot may not be activated any earlier than fifteen (15) days prior to the effective date of the displacement listed in the displacement bulletin, unless the Pilot agrees otherwise.

8-F-6-d For lateral awards, activation must occur at the beginning of a Bid Period, unless the Pilot agrees otherwise.

8-F-6-e Should a Pilot with an un-activated award receive a subsequent award with a later effective date, the Company at its discretion may elect to activate the first award prior to activating the subsequent award.

8-F-7 Changes In Pay

8-F-7-a When a Pilot has a vacancy or displacement award to a higher pay rate (based upon the blended rate, if applicable, of the Category), he shall be paid the new rate upon the earliest of:

8-F-7-a-(1) His activation date; or

8-F-7-a-(2) If displaced, his date of displacement as published in the displacement bulletin issued under Section 8-E-3; or

8-F-7-a-(3) The first day of the second Bid Period following the Bid Period that contains his vacancy award effective date. For example, if his vacancy award effective date is January 10th, he shall be paid the new rate beginning on the first day of the March Bid Period; or

8-F-7-a-(4) The date he begins receiving pay rate protection, in accordance with the provisions of Section 8-F-5.

8-F-7-b When a Pilot has a vacancy or displacement award to a lower pay rate (based upon the blended rate, if applicable, of the Category), he shall be paid at the current rate until the later of:

8-F-7-b-(1) His activation date; or

8-F-7-b-(2) The bulletin effective date; or

8-F-7-b-(3) The date he is no longer entitled to pay rate protection, in accordance with the provisions of Section 8-F-5.

8-F-8 Pay Protection Cessation

8-F-8-a The provisions of Sections 8-F-5-a, 8-F-5-c, and 8-F-7, shall only apply to a Pilot’s most recent award, and except for a Pilot receiving pay rate protection under Section 8-F-7-b-(2), such protection shall cease upon any subsequent award. However, a Pilot pay rate protected under Section 8-F-5-a under conditions (2) or (3) shall have his protection cease upon activation to any subsequent award, provided that he was actually receiving pay protection when he received that subsequent award.

8-F-8-b When a Pilot causes a disruption to his training schedule or advancement, the provisions of Sections 8-F-5-a, 8-F-5-c, and 8-F-7, if applicable, shall not apply to his existing un-activated award. In such cases, the Pilot shall be paid the higher pay rate upon his activation date or be paid the lower pay rate upon the vacancy award effective date or date of displacement, as applicable. For purposes of this Section 8-F-8, “disruption” is defined as a Pilot who fails to report to training, who delays his training due to vacation, sick leave or leave of absence, or who requests and receives a delayed training assignment.

8-F-8-c Notwithstanding Section 8-F-8-b, a Pilot who causes a disruption to his training schedule or activation shall again be eligible for the provisions of Sections 8-F-5-a, 8-F-5-c, and 8-F-7 (if applicable) upon:

(1) the earlier of the start of training or activation, or forty-five (45) days after return from the disruption, in the case of a single disruption, or

(2) forty-five (45) days after return from the disruption, in the case of more than one (1) disruption.

8-F-8-d Pilot-for-pilot entitlements lost under this Section 8-F-8 are not transferable to another Pilot.

8-F-9 If a Pilot has not started training by the sixtieth (60th) day after the effective date specified in the bulletin advertising the vacancy the Pilot may exercise displacement rights, bid any vacancy, or continue to be pay rate protected in accordance with Section 8. The Pilot must express their intent to exercise rights contained in this Section 8-F-9 no later than the forty-fifth (45th) day after the effective date specified in the bulletin advertising the vacancy; if the Pilot does not exercise rights contained in this Section 8-F-9 they shall be considered displaced into their awarded Category if they do not start training by the sixtieth (60th) day after the effective date specified in the vacancy bulletin.

8-F-9-a A Pilot who bids or displaces into another Category shall continue to receive any pay rate protection for which he has previously qualified until his activation into that new Category.

8-F-9-b The provisions of Section 8-F-9 shall apply to a Pilot’s most recent vacancy award. However, the provisions shall also apply to any vacancy award for which the Company elects to apply Section 8-F-6-e.

8-F-9-c The time period specified in Section 8-F-9 shall be suspended during a disruption to a Pilot’s training schedule as defined in Section 8-F-8-b. The suspension shall be equal to the length of the disruption (e.g., the period of unavailability) plus the lesser of (1) fourteen (14) days or (2) the number of days between the end of the disruption and the start or re-start of his training.

8-F-9-d For Pilots eligible for displacement as set forth in this Section 8-F-9, the effective date of such displacement shall be:

8-F-9-d-(1) The first day of the Bid Period that follows the Bid Period containing the date determined by Section 8-F-9, above, provided the Pilot notified the Company of his intent to displace at least twenty-one (21) days prior to that date. For example, if the date determined by Section 8-F-9 is January 30 [first day of February Bid Period] and the Pilot notifies the Company of his intent to displace by January 9, the effective date of the displacement will be March 2 [first day of March Bid Period]; or

8-F-9-d-(2) The first day of the second Bid Period that follows the Bid Period containing the date determined by Section 8-F-9 above, in all other cases.

8-F-9-e A Pilot may not withdraw or change any notification or election made in accordance with this Section 8-F-9 unless mutually agreed to by the Company. A notification or election to displace must include the Category to which the Pilot is displacing. If a Pilot notifies the Company of his intent to displace prior to the date determined by Section 8-F-9, above, and if his vacancy award is not projected to be cancelled or activated by such date, the Company may make the displacement award prior to such date and adjust the Pilot’s training plan accordingly.

8-F-9-f A Pilot who elects to exercise displacement rights may displace into his most recent vacancy award.

8-F-10 A Pilot shall be released from work obligation and paid reserve guarantee if, after six (6) Bid Periods following the vacancy award effective date or date of displacement (as applicable), training (or activation in cases where training is not required) has not begun. However, the Pilot may elect, on a Bid Period basis, to continue receiving a schedule in his current Category. This six (6) Bid Period clock shall be suspended during a disruption to his training schedule as defined in Section 8-F-8-b.

8-F-11 A Pilot activated during a Bid Period shall have his compensation prorated as provided in Section 3.

8-F-12 New Hire Captain Vacancy Awards. New Hire Pilots awarded or assigned to fill a Captain vacancy in narrowbody fleet Categories (hereafter an "8-F-12 Pilot”) will be initially trained as a

First Officer on the Equipment and in the Base where the Captain vacancy is awarded (regardless of whether there are any First Officer vacancies in that Category), subject to the following:

8-F-12-a While flying as a First Officer pending training for their awarded Captain vacancy, such Pilot may elect to fly in a different Base, provided they have sufficient seniority to hold the Category and a vacancy exists in the Category. The Pilot will fill that vacancy as if they had been awarded the Category as a bid. The Pilot will return to the Captain Category originally awarded or assigned upon completion of Captain Training.

8-F-12-b Notwithstanding Section 8-F-12-a, a Pilot with a 8-F-12 Captain award or assignment can Base trade and/or be awarded a lateral Captain vacancy on the same Equipment.

8-F-12-c Prior to the displacement of any Captain on the same Category in accordance with Section 8-D or cancellation of any Captain vacancy award on the same Category in accordance with Section 8-F-3, the Company shall cancel any award or assignment of a New Hire Pilot to a Captain vacancy on the same Category. If a New Hire Pilot’s Captain vacancy is cancelled in accordance with this paragraph, the Pilot will be considered as staffed in the Category in which they are currently flying and not be subject to any bidding freeze.

8-F-12-d Within seven (7) days of a New Hire being awarded or assigned a Captain position, the Company will inform the Pilot whether they will be trained using the Section 9-K-1 or Section 8-I-1-(a) minimums. For any purpose where an effective date is utilized in the UPA, a New Hire Pilot will be provided an imputed effective date of the later of: 1) reaching the Section 9-K-1 or Section 8-I-1-(a) minimums as applicable to the Company designation; or 2) the effective date associated with the Vacancy Bid that included their Captain vacancy. The imputed effective date does not need to be the same as the effective date of any particular vacancy award and 8-F-12 Pilots from the same new hire class can have different imputed effective dates. This Section 8-F-12-d also applies to probationary Pilots awarded the Captain position in accordance with Section 8-I-1-b.

8-F-12-d-(1) If the Pilot does not start training within the sixty (60) days from the imputed effective date, they may request displacement rights to any Category they can hold no later than forty-five (45) days after the imputed date. The remaining provisions of Section 8-F-9 shall apply based on the imputed effective date.

8-F-12-d-(2) If the Pilot does not start training within six (6) Bid Periods of the imputed effective date, the Pilot shall be released from work obligation and paid guarantee. The remaining provisions of Section 8-F-10 shall apply based on the imputed effective date.

8-F-12-e An 8-F-12 New Hire Pilot will be paid at their awarded or assigned Captain rate starting upon reaching the Section 9-K-1 minimums.

8-F-12-f An 8-F-12 New Hire Pilot filling an unfilled Captain position will be eligible for all contractual benefits provided to first time Captains in accordance with Section 10-B-1.

8-F-12-g An Accelerated Pilot under Section 9-K shall not be scheduled to start Captain training in a Bid Period earlier than any non-probationary Pilot starting Captain training on the same Equipment in the same Bid Period.

8-G-1 The Company shall provide a hotel room to any Pilot assigned a TDY for the duration of the TDY. For purposes of Section 8-G, a voluntary TDY begins one (1) day before the Pilot's first required day on duty and ends one (1) day after completion of his last Duty Period. Should the Pilot return to his home Base or residence during any period of days off, the Pilot shall inform the Company, and with his concurrence, the Company may cancel the hotel room at the TDY location. A Pilot who notifies the Company at least two (2) days prior to the date on which he wants to travel shall be entitled to NRPS round trip travel between the TDY assignment and his home.

8-G-2 A Pilot assigned a voluntary or involuntary TDY shall have all expenses and allowances, as provided in Section 4, discontinued during periods of unavailability or during days off at home.

8-G-3 Voluntary TDY Prior to Monthly Schedule Preferencing

8-G-3-a The Company shall advertise the number of TDY assignments it projects to award on a “From Category – To Category” basis.

8-G-3-b The Company shall first make TDY awards, in seniority order, to volunteers who are available for the full Bid Period (as defined in Section 20-D-1). The Company may then make TDY awards, in seniority order, to any number of volunteers (including zero) who are not available for the full Bid Period, but who have a minimum of fifteen (15) days of availability.

8-G-3-c A Pilot awarded TDY prior to the opening of Monthly Schedule Preferencing shall preference and be awarded a schedule in his TDY Category, using his seniority.

8-G-4 Voluntary TDY After Monthly Schedule Preferencing

8-G-4-a Pilots may volunteer and be assigned TDY after closing of Monthly Schedule Preferencing. The order of award shall be that described in Section 8-G-3-b.

8-G-4-b A volunteer Pilot awarded TDY shall be assigned a reserve line at the TDY Base, taking into consideration any day off request he may have submitted. Reserve day off requests shall be granted provided a Pilot receives the minimum days off required in Section 5-E-5 and reserve coverage at the TDY Base is not adversely affected. Time permitting, such volunteer Pilots may also be assigned any move-up lines which their seniority would entitle them to under the provisions of Section 20.

8-G-4-c Lines of flying which are opened because the Pilots awarded such lines have been sent TDY, shall be covered by moving up a Reserve under the provisions of Section 20-D-1, however, no further move-ups shall be incurred. No move-up shall be performed if the TDY volunteer is a Reserve at his Base. Should a TDY assignment be terminated early, the volunteer shall return to his awarded line at his Base.

8-G-5 Involuntary TDY

8-G-5-a The Company shall solicit volunteers for TDY before involuntary assigning TDY.

8-G-5-b Selection of Pilots for involuntary TDY assignments shall be from Pilots functioning as Reserves in the Status and Equipment type needed for the TDY assignment. TDY assignments shall not reduce reserve coverage at a Base below required levels in any Status or Equipment type. Assignment of eligible Reserves for involuntary TDY shall be in inverse order of their seniority at the Base regardless of the reserve days off schedule.

8-G-5-c The length of a TDY assignment shall be measured by the number of full calendar days so assigned, including days spent in traveling to and from the TDY Base but exclusive of days required for any necessary qualification.

8-G-5-d A Pilot assigned TDY shall be entitled to return to his Base during scheduled days off and shall deadhead to and from his TDY location only on his scheduled reserve days, not on his scheduled days off. The provisions of Section 5-F-5 shall apply. Such a Pilot shall not be entitled to the expenses and allowances as provided in Section 4-E-1 while in his home Base during scheduled days off.

8-G-5-e A Reserve who has accumulated a total of thirty (30) days of involuntary TDY during the previous twelve (12) month period shall not be required to remain on involuntary TDY without his consent until all qualified Pilots on reserve duty in his Category have each accumulated thirty (30) days of involuntary TDY during the previous twelve (12) months. However, in no case shall a Pilot be assigned more than a total of forty-five (45) days of involuntary TDY in such twelve (12) month period without his consent.

8-G-5-f A Pilot may not be required to be on involuntary TDY for more than fifteen (15) consecutive days for any one such assignment, except that a Pilot may volunteer to remain on involuntary TDY; provided that if a Pilot is the only Reserve in his Category who will not have accumulated thirty (30) days of involuntary TDY at the conclusion of fifteen (15) day assignment, he may be required to remain on involuntary TDY in excess of fifteen (15) days.

8-G-5-g In the event a Reserve is to be assigned involuntary TDY for a period of ten (10) days or more, he shall be given notice of such assignment as far in advance as possible but in no case less than three (3) calendar days (seven (7) if such assignment commences subsequent to the tenth (10th) of the month) prior to the time he is required to depart from his home Base for the involuntary TDY assignment.

8-G-5-h A Pilot who is a Reserve when given a temporary assignment under the provisions of this Section 8-G may be required to complete such temporary assignment regardless of any change in his status at his home Base.

8-G-5-i TDY Days Off

8-G-5-i-(1) Reserves assigned to TDY for fifteen (15) days or less shall be provided with one (1) day off in each seven (7) days during the period of TDY.

8-G-5-i-(2) A Pilot assigned to TDY for a period of eleven (11) to fifteen (15) days shall have his days off while on TDY scheduled so as to provide one (1) period of two (2) consecutive days off. If necessary, one (1) additional day off shall be granted for this purpose; however, such additional day off, above the requirement for one (1) day off in seven (7), shall be subtracted from the days off owed to the Pilot and shall not be restored as provided below.

8-G-5-i-(3) Those days off lost by the Pilot while on TDY shall be restored to the Pilot either immediately before or immediately after the period of TDY, at the option of the Company, notwithstanding the possibility that such days off may be restored in the Bid Period following the Bid Period in which the TDY assignment took place.

8-G-5-i-(4) In the event that it is necessary to restore days off to a Pilot during a Bid Period when he is a Lineholder such days off shall be restored on the first available days of scheduled duty; provided that Trip sequences shall not be split apart as a result of this application. Restoration of days off shall in all cases be deferred if such restoration would conflict with or cause rescheduling of training. If restoration of all lost days off cannot be completed within one (1) Bid Period following the Bid Period in which the TDY was assigned, the remaining day off owed shall be added to the Pilot's vacation. The day(s) off granted to fulfill the one (1) day off in seven (7) requirement during the period of TDY shall not be used to offset the number of scheduled days off lost during the TDY assignment.

8-G-5-i-(5) If involuntarily assigned to TDY for more than fifteen (15) days, the Pilot shall retain the days off schedule assigned to him at his Base. However, with Pilot concurrence, the Pilot's days off may be rescheduled.

8-G-6 Foreign TDY Assignments

8-G-6-a The Company may designate TDY assignments at Tokyo, Osaka, Sydney, Auckland, Frankfurt, Paris, London, and Dublin. Prior to the Company implementing any TDY assignments in the above locations or at any other mutually agreed to location, the Company and the Association shall meet to discuss any problems associated with the filling of the vacancies required for the TDY Base, adequate lodging, expenses, and any other relevant issues.

8-G-6-b TDY assignments shall be filled by a preferencing procedure at the Base(s) designated by the Company. The number of TDY assignments available from each domestic Base shall be posted prior to preferencing. Volunteers from any Base may be considered, should insufficient Pilots preference at the designated Base(s).

8-G-6-c TDY assignments shall be posted, preferenced and awarded prior to the posting of monthly lines of flying for domestic Bases. All Pilots assigned to a TDY Base shall preference monthly schedules for that temporary Base.

8-G-6-d Should there be insufficient bidders for the TDY assignment, Pilots shall be assigned in inverse order of seniority from those Pilots at the designated Base who have spent the fewest number of Bid Periods in TDY assignments in the last twelve (12) Bid Periods. Under this provision, no Pilot shall be involuntarily assigned to a TDY assignment more than two (2) Bid Periods in any twelve (12) consecutive Bid Periods, nor shall a Pilot be involuntarily assigned to a TDY assignment in consecutive Bid Periods without his concurrence.

8-G-6-e Pilots who have been awarded or involuntarily assigned a TDY assignment shall have the option to remain at the TDY assignment for an additional one (1) or two (2) Bid Periods if the assignment is still available.

8-G-6-f Pilots who indicate a desire to remain at the assignment for two (2) Bid Periods or more shall be entitled to:

8-G-6-f-(1) have his eligible pass riders, as defined under Company Travel Policy, accompany him to the assignment. Dependents of college age who have limited pass travel eligibility shall be eligible for pass travel under this Section 8-G-6;

8-G-6-f-(2) positive space transportation to and from the assignment for his eligible pass riders; and

8-G-6-f-(3) when the Pilot remains at a TDY assignment in excess of two (2) Bid Periods, the Company shall provide one (1) additional NRPS pass for a Pilot's eligible pass riders.

8-G-6-g Pilots who have been awarded a TDY assignment shall receive expenses as provided in Section 4.

8-G-6-h A Pilot shall be provided suitable hotel accommodations as specified in Section 4. Additionally, if a Pilot qualifies for a spouse and/or dependents to be at the TDY location and he does transport two (2) or more members of his family to the TDY location, he shall be provided, at a cost to him not to exceed the rate paid by the Company, an additional bedroom.

8-G-6-i The following provisions shall be applicable to Pilots assigned to Foreign TDY:

8-G-6-i-(1) Pilots volunteering for and being awarded a full Bid Period or Bid Periods of TDY must position themselves to fly the first Trip or to be available for the first reserve availability day in their TDY line.

8-G-6-i-(2) To accomplish this, Lineholders may have to travel to and from the TDY assignment outside of their TDY Bid Period on days that have previously been scheduled as vacation days and/or regular days off and Reserves may have to travel on their vacation days. Further, if a Lineholder has a Trip in the Bid Period prior to the initial TDY Bid Period that would prevent him from positioning himself for his first scheduled assignment in his TDY line, he shall have his prior Bid Period’s line repaired in order to provide the necessary time. In that event, he shall be "pay protected" in that Bid Period if the repair would otherwise reduce his pay in that Bid Period. A Reserve who has days off in the prior Bid Period that would prevent him from traveling to and from the TDY assignment to be in position for his first TDY assignment shall have his days off moved so that the necessary travel day(s) shall be reserve work (available) days instead of days off, unless he volunteers to travel on his days off, in which case he shall have all such lost days off restored. Every reasonable effort shall be made to comply with the Reserve’s request regarding the rescheduling of his reserve days off.

8-G-6-i-(3) The Pilot's travel to and from the TDY assignment shall be subject to the following:

8-G-6-i-(3)-(a) In order to travel to an initial Bid Period’s TDY assignment, if the time is not already available in the Pilot's schedule, he shall be provided enough time so that he has the opportunity to schedule himself for 1) an off Duty Period between any duty at his domestic Base and the Departure time of his Flight from his Base to the TDY assignment equal to that required by Sections 5-E-3 and 5-F-3, 2) On-Line transportation from his Base to the TDY assignment and 3) at least eighteen (18) hours off between his scheduled Arrival at the TDY assignment and his first duty. In satisfying the requirements of this Section 8-G-6-i-(3)-(a) and Section 8-G-6-i-(3)-(b), below, the Pilot may be required to travel on a continuous multi-segment itinerary so long as the en route time of these flights is not scheduled to exceed eighteen and one-half (18.5) hours. If the Pilot schedules himself to arrive at the TDY assignment on a flight that

would provide at least eighteen (18) hours off; then, in the Actual Operation, sixteen (16) hours off shall be the applicable minimum.

8-G-6-i-(3)-(b) If the time is not already available in the Pilot's schedule to travel to his home Base from the final Bid Period of the TDY assignment, he shall have his following Bid Period’s schedule modified under the month-end conflict provisions of Section 20- F in order to have enough time to schedule himself for (1) an Off-Duty Period between his last TDY flight assignment and the start of his travel to his home domicile equal to that required by Section 5-E-3, (2) On-Line transportation to his domicile from the TDY assignment and 3) at least thirty-six (36) hours off between his scheduled Arrival at his Base and his first duty at his Base. If the Pilot has scheduled himself to arrive at his Base on a flight that is scheduled to provide him with at least thirty-six (36) hours off, twenty-four (24) hours off shall be the minimum requirement in the Actual Operation prior to any assignment at his home Base.

8-G-6-i-(3)-(c) It is understood that Section 8-G-6-i-(3)-(a) and Section 8-G-6-i-(3)-(b), when applied in conjunction with the Company's current passenger timetable, shall produce a schedule of Off-Duty Periods and flight itineraries which may not reflect the actual arrangements that the Pilot elects to use; nonetheless these rests and flight itineraries shall be used (1) to determine what, if any, adjustments are required to the Pilot's line or reserve days off in the Bid Periods adjoining his TDY assignment and (2) to determine how many, if any, vacation days or regular days off need to be restored under Section 8-G-6-i-(4). In determining the number of days lost due to positioning, the Departure time of the flight established in Section 8-G-6-i-(3)-(a), and the Arrival time of the flight established in Section 8-G-6-i-(3)-(b), shall be used to define which days have been lost.

8-G-6-i-(3)-(d) It is further understood that each Pilot is required to make his own travel arrangements and is free to travel during any time that is available to him without impacting his schedule, after any adjustments that are required above. If the Pilot chooses to travel from or return to a U.S. point other than his Base, he shall be responsible for his own domestic transportation to and from the gateway city.

8-G-6-i-(3)-(e) The Pilot shall be entitled to expense reimbursement for the period of TDY under Section 4, and for the travel time necessary between the Pilot’s Base and the TDY assignment and any required en route stopover during positioning travel between his Base and the TDY assignment. Further, if the Pilot actually arrives at the TDY assignment early, the Company shall reimburse expenses for up to two (2) calendar days prior to his first flight assignment or from the first day of the TDY Bid Period, whichever is earlier.

8-G-6-i-(4) Restoration of days off and vacation days lost due to positioning shall be subject to the following:

8-G-6-i-(4)-(a) Should the Pilot lose a vacation day or days outside his TDY period as a result of positioning himself, the Company shall restore the lost vacation day(s) to the Pilot.

8-G-6-i-(4)-(b) If a Lineholder loses no more than one (1) day off outside the TDY Bid Period due to outbound positioning and/or one day off outside the TDY Bid Period due to return positioning, there shall be no restoration of that (those) lost day(s) off. Any additional days off lost due to positioning shall be restored to the Pilot, as described below.

8-G-6-i-(4)-(c) Lost vacation and regular days off shall be available for bidding in the monthly vacation bidding process as outlined in Section 11-F-7.

8-G-6-i-(4)-(d) If a Pilot volunteers for the TDY assignment for two (2) or more consecutive Bid Periods, restoration of any lost vacation days or regular days off shall be provided only for those days necessarily lost as a result of positioning immediately prior to the first Bid Period of the TDY period and immediately subsequent to the last Bid Period of the TDY period.

8-G-6-i-(4)-(e) The Pilot shall be required to advise the Company within forty-eight (48) hours of the publication of any schedule which generates days owed if he has a preference regarding when those days owed shall be restored.

8-G-6-i-(5) Pilots who are involuntarily assigned to a TDY assignment shall not be required to position themselves on either regular days off or on vacation days outside of the Bid Period of the TDY, but may do so voluntarily. If they lose vacation days or days off as a result of volunteering, they shall be entitled to schedule adjustments and/or to restoration of lost days as provided above for volunteers.

8-G-6-i-(6) Should a Pilot incur any foreign income tax liability as a result of an involuntary TDY assignment, that liability shall be assumed by the Company.

8-H-1 In the event the Company desires to open a new Category or close a Base, the Master Executive Council Chairman shall be advised by the Company and shall be afforded the opportunity to consult with and make recommendations to the Company regarding staffing of the new Category or closing of the Base.

8-H-2 New Category

8-H-2-a A new Category shall not open until Lineholder schedules can be constructed during Monthly Schedule Preferencing using a Line Credit range in accordance with Section 5-B-1-b. If revenue flying begins in a Bid Period before that requirement is met, such revenue flying may be assigned to Pilots in the Category who have selected the “Section 20-H-6 assignments” option, in accordance with Section 8-H-2-b.

8-H-2-a-(1) This limitation shall not apply to the first Category of a new Equipment type.

8-H-2-b A Pilot who has completed training and is waiting for a new Category to open shall be available for either TDY or Section 20-H-6 assignments, at his option, for a period of up to two (2) Bid Periods following the Bid Period he completes training or until the new Category opens, whichever is less. The Pilot must choose either option on a Bid Period basis.

8-H-2-b-(1) TDY assignments are only available in Categories designated by the Company, and at least one (1) Category must be offered for TDY.

8-H-2-b-(2) If the Category has not opened after two (2) Bid Periods, a Pilot shall be entitled to be released from work obligations and paid reserve guarantee until the Category opens. Alternatively, he may choose to extend his TDY or Section 20-H-6 availability for up to two (2) additional Bid Periods.

8-H-2-c Notwithstanding Section 8-H-2-b, if a Pilot has completed training on a “new” Equipment type as defined in Section 8-C-7, at its option the Company may re-qualify and staff the Pilot into his previous Category, provided that:

8-H-2-c-(1) If his assignment on the “new” Equipment type has a higher rate of pay than of his previous Category, he shall receive that higher rate of pay when returning to his previous Category, including for all training assignments. However, if the Pilot causes a disruption to such training, as defined in Section 8-F-8-b, he shall return to the lower rate of pay. This pay rate protection shall be restored in accordance with Section 8-F-8-c.

8-H-2-c-(2) When returning to his previous Equipment, and when subsequently returning to the “new” Equipment type, the Pilot shall receive the required requalification training and any additional training he deems necessary, but never less than maneuvers validation.

8-H-2-d A Pilot awarded a “new” Category shall be eligible for a paid move in accordance with Section 10 provided he changes Bases with the award.

8-H-3 Closing a Base

8-H-3-a In the event the Company desires to close a Base, the following procedures shall apply:

8-H-3-a-(1) The displacement process described in Section 8-E above shall be utilized.

8-H-3-a-(2) A Pilot who bids and is awarded a vacancy out of the affected Base during the period commencing with the announced Base closing and ending with the Base closing effective date, shall be entitled to a paid move pursuant to Section 10 and shall not be subject to any freeze described in Section 8-D.

8-H-3-a-(3) In lieu of the transportation benefits set forth in Section 10, an affected Pilot shall be allowed NRPS transportation between his former Base and his new Base until such time that he moves his residence to the new location not to exceed one (1) year after the effective date of the Base closing. In addition, if such Pilot has not moved his residence to the new location within one (1) year, he shall be allowed the highest priority NRSA transportation until he moves, not to exceed an additional one (1) year.

8-I-1 In order to displace, be awarded or assigned (as a new hire Pilot) into Captain Categories, a Pilot must have met the basic prerequisite piloting requirements for Air Line Transport Pilot Certificate, including successful completion of the ATP written examination and notification to the Company of such completion, the requirements of FAR 121.436 and either:

8-I-1-a Have at least five hundred (500) hours of Flight Time at United Airlines and have completed the period of probation, in accordance with Section 6-C, or

8-I-1-b Have less than five hundred (500) hours of Flight Time at United Airlines or have not completed the period of probation. After the criteria in 8-D-6 are satisfied, such Pilots will be subject to Section 9-K; in addition, New Hire and Probationary Pilots will be subject to Section 8-F-12.

8-I-2 In the event a Pilot is awarded or displaces into a new Category and fails to satisfactorily complete the training required to qualify him for the new Category, or fails to qualify on his new Category after completing the training required, he shall be considered as not having vacated his previous assignment, and if his previous assignment no longer exists, he shall have displacement rights in accordance with Section 8-E unless action has been taken by the Company under Section 6-A-2.

8-I-3 When a First Officer who has been out of Active Service for thirty-six (36) months or more returns to a Captain assignment, the Company may require him to serve as First Officer in the Base and Equipment type of his Captain assignment for the remainder of the Bid Period in which he was activated into his Captain assignment and the three (3) Bid Periods thereafter. When a Captain who has been out of Active Service for thirty-six (36) months or more returns to a Captain assignment, the Company may offer him the opportunity to serve as First Officer in the Base and Equipment type of his Captain assignment for the remainder of the Bid Period in which he was activated into his Captain assignment and the three (3) Bid Periods thereafter. During this time, under either circumstance, the Pilot shall receive the rate of pay of his Captain assignment.

8-I-4 Base Trades

Active Pilots, except for full-time Instructors/Evaluators, in the same Equipment type and Status may trade Bases. A Pilot with an un-activated assignment may only trade his most recently awarded Category. The following provisions shall also apply:

8-I-4-a Bidding for Base trades will be open for a period of ten (10) days, once per Bid Period. When the bid window closes, Base trades, if any, shall be awarded to the most senior Pilot who satisfies the trade request in accordance with the following restrictions:

8-I-4-a-(1) A Pilot who receives a lateral vacancy award is not eligible to receive a Base trade award back to the Category the Pilot lateraled out of (regardless of the Category the Pilot currently holds) for six (6) Bid Periods after the first Bid Period in which the Pilot was activated in a Category subsequent to the Pilot’s lateral vacancy award.

8-I-4-a-(1)-(a) For example, if a EWR 737 CA is awarded SFO 737 CA and is activated in the February Bid Period, the Pilot is not eligible to receive a Base trade award back to EWR 737 CA until the Base trade award process conducted in the June Bid Period, since the default activation date of that Base trade is the August Bid Period.

8-I-4-a-(1)-(b) For example, if a EWR 737 CA is awarded SFO 737 CA, Base trades to LAX 737 CA before being activated at SFO 737 CA, and is activated at LAX 737 CA in the April Bid Period, the Pilot is not eligible to receive a Base trade award back to EWR 737

CA until the Base trade award process conducted in the August Bid Period, since the default activation date of that Base trade is the October Bid Period.

8-I-4-a-(2) A Pilot is prohibited from participating in a Base trade to a Category in which no Pilot junior to the Pilot holds an award. This prohibition shall not apply to a Base trade to a Category that had unfilled vacancies in the most recent vacancy award (regardless of how long ago the vacancy award occurred, or whether those unfilled vacancies have been cancelled in accordance with Section 8-F-3-c, or assigned to new-hire Pilots).

8-I-4-b The provisions of Section 11-F-4 apply to Base trades.

8-I-4-c Without Company concurrence on an earlier date, the activation date of the Base trade shall be the start of the second Bid Period following the Bid Period in which the Base trade is finalized. In addition, if a Pilot is trading an un-activated assignment, without Company concurrence on an earlier date, the activation date of the Base trade shall be the start of the Bid Period on or after the Pilot’s assignment activation date, as projected at the time training begins.

8-I-4-d A Pilot participating in a Base trade shall not be eligible for a paid move as provided in Section 10 based solely on the trade.

8-I-4-e Pilots executing a Base trade shall receive no new entitlements as a result of the Base trade; e.g., transfer days, relocation passes.

8-I-4-f A Base trade will trigger the pro-rata repayment requirement in Section 10-B-2-a (Career Moves). However, if the Pilot’s residence, as a result of the career move, is within 200 miles of any airport serving his new Base, then the repayment will not be triggered.

8-I-4-g Entitlements that have neither expired nor been executed will stay with the Pilot when making a Base trade, except that the Pilot will lose the entitlements if the Base trade results in the Pilot being returned to his original Base. No timelines or deadlines will be reset as a result of the Base trade. Examples of such entitlements include transfer days, commuter passes, and paid moves.

8-I-4-h Base trades involving Guam shall be subject to the following:

8-I-4-h-(1) A Base trade to Guam will not create new LOA 12-01 entitlements. However, Guam entitlements that have neither expired nor been executed may be passed on as part of a Base trade. If the Pilot trading from Guam is required by Paragraph H-2 to repay a paid move, the Pilot trading to Guam shall receive a Paragraph H-2 paid move entitlement. If the Pilot trading from Guam executes any part of his Paragraph H-3 entitlement, no Paragraph H-3 entitlement shall be available to the Pilot trading to Guam. Except for Paragraph H-3, a Pilot trading from Guam shall lose all LOA 12-01 entitlements.

8-I-4-h-(2) A senior Pilot shall be allowed to replace the Pilot trading from Guam only if he has equal or greater entitlements to pass on.

8-I-5 The daily projections of the bid awards for each business day a vacancy or displacement bulletin is open shall be available online. Each daily projection shall be processed using actual bids available at the time the projection is processed.

8-I-6 Although the Company makes the final decision on allocation of flying issues, the Company also recognizes its responsibility to give the Association the opportunity to provide meaningful input on issues involving opening new or closing existing Bases or Categories, and changing the size of Bases in accordance with the standards agreed upon by the parties. The following protocol establishes the rights and obligations of each party with respect to this process.

8-I-6-a When the need for a decision on an allocation of flying issue is identified, the Managing Director of Flight Ops Crew Resources (“the Director”) has the responsibility to give the Association notice that it shall be given the opportunity to be consulted and to make recommendations prior to the time the Company makes its decision. The Director shall give this notice by issuing to the SSC a Notice of Proposed Decision Making (“NPDM”). The Director has a good faith responsibility to issue the NPDM as soon as he perceives a need to make a reallocation decision to allow the Association as much time as possible to respond.

8-I-6-b The NPDM shall contain:

8-I-6-b-(1) a statement of the issue the Company needs to decide;

8-I-6-b-(2) an estimate of the time frame within which the Company must make a decision;

8-I-6-b-(3) specific information, if any, the Company may require from the Association; and

8-I-6-b-(4) the date by which the Association’s recommendations are required to be submitted to the Director.

8-I-6-c The SSC shall respond to the NPDM as quickly as possible given the timeframe within which a decision must be made. The response to the Director shall indicate the following:

8-I-6-c-(1) whether the SSC wishes to be consulted and given the opportunity to make a recommendation on the issue, and if it does, its initial impression about how and when it wants to address the issue, such as by conference call, at an immediate meeting or at the next SSC meeting;

8-I-6-c-(2) any preliminary information it desires for its preparation and evaluation of the issue prior to discussions with the Company; and

8-I-6-c-(3) an initial estimate of the time period the SSC believes shall be required before it can make recommendations.

8-I-6-d The Director shall provide all requested pertinent information in accordance with Section 20-E-2. If the Director is unable to provide the requested information, the Director shall inform the Association of the reasons therefore.

8-I-6-e When the Company and the Association discuss the issue, they shall endeavor to identify the options available to them at each stage of the decision-making process and whether additional information or time is required to evaluate the options. The Company and the Association shall consider, evaluate and apply the human, contractual and economic factors applicable to allocation of flying issues as appropriate to each stage of the decision- making process. When the SSC is satisfied that the Company and the Association have fully explored their reasonable options, the SSC shall advise the Director when the SSC shall be able

to make its recommendations to the Company. The SSC acknowledges that its recommendations must be submitted within the Company’s time frame for decision.

8-I-6-f The SSC shall submit its recommendation(s) in writing to the Director within the time limits specified in the NPDM, unless the Company and the Association have mutually agreed to a different deadline.

8-I-6-g If the SSC is unable to comply with the time limits, it may request additional time from the Director. The Director shall advise the SSC whether additional time can be granted, and if not, the reasons therefore. If additional time cannot be granted, the Director shall advise the SSC when the decision will be made and when it will be announced.

8-I-6-h Before making his decision, the Director shall consider and evaluate the recommendations made by the SSC, if any, and shall communicate in writing to the SSC the reasons for accepting or rejecting their recommendations.

8-I-6-i The SSC and the Director shall provide feedback to each other on how well the consultative process worked on each issue covered by a NPDM and the improvements, if an, which they believe should be made to the process before the next NPDM is issued.