Delta tries to block bonus pay vote

March 7, 2012 at 1:54 PM   |   0 comments

ATLANTA, March 7 (UPI) -- U.S. carrier Delta Air Lines is trying to block a vote that would suspend executive bonuses until it funds retired pilots pensions, a letter says.

The letter to the Securities and Exchange Commission says the shareholder vote should not take place, because the proposal to hold the vote was submitted to the company board by an individual, meaning it involved a vote for one person's personal gain, The Atlanta Journal-Constitution reported Wednesday.

The airline also says the proposal, which was submitted by retired pilot Kenneth Lewis, asks the airline to alter its regular business operations, an area that is generally exempted from shareholder votes.

The pilots' pension fund was taken over by the Pension Benefit Guaranty Corp. when Delta was in bankruptcy in 2006.

The airline would hold a vote if the SEC recommends it, the newspaper said.

Lewis, the vice chairman of the Delta Pilots Pension Preservation Organization, said he would not comment on the proposal until the SEC responded to it.

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