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EXCERPTS FROM OPENING STATEMENT BY TOM MATTHEWS SENIOR VICE-PRESIDENT, HUMAN RESOURCES

The Shuttle Sale
... Eastern Airlines had entered into a sales transaction with Donald Trump to sell the Shuttle to the Trump Organization. There are a lot of hurdles for that transaction to go though, notably legal hurdles, approval by the FAA, approval by the DOT. The Justice Department will review it, the transaction is intended to be effective on December 15. The sales price for the Shuttle was $365 million in cash on the date the transaction is completed, paid up front. It includes the Shuttle operation itself, in La Guardia, Boston and Washington, D.C.
It includes 17 727s... I'd like to say at the outset that that's not our preferred way of doing business. The transaction is, in many ways, a sad transaction. Unfortunately, we are faced with a cash situation that, if we do not sell assets that have value in the marketplace, we would not have sufficient cash to maintain operations.
I don't say that to make anybody uneasy, because you shouldn't feel that way today. But, that there is a reason to take precautions with regards to our cash, and this $365 million infusion of cash is an insurance policy that allows us to continue to operate the reminder of our system while maintaining adequate cash balance to continue to operate.
If you look at 1987, had Eastern Airlines not sold assets then, this company would have run out of cash in 1987. Losses from continuing operations are a cash loss position and, therefore, we are having to sell assets to maintain an adequate level of cash.
... I know if I were a long-time employee- as I was a long -time Western employee- I know how I felt when Western Airlines got sold to Delta- it was a sad day. And, certainly it would be a sad day for an Eastern retiree to see the Shuttle sold. I personally believe it is a bad news/good news transation.
The bad news is we had to sell it. The good news is there's still an Eastern Airlines. It can be strong and survive and provide us a foundation for the future. 
And, we are not, by any means, despite anything you may hear to the contrary, giving up on trying to make Eastern Airlines a strong, viable company, one that you can continue to be proud of. So don't consider this the end of Eastern Airlines. It is not the end of Eastern Airlines at all. It certainly continues to give us the opportunity to fight for another day.
The SAS Transaction
... One other transaction that I think is important to you is the SAS Transaction. Now that SAS transaction, for those of us in management involved in that transaction, believe that it is the most significant statement we can make about our intent to change our reptation in the marketplace to be the quality, number one preferred airline in the United Stated. That's our goal.
SAS enjoys that reputation. SAS is known as the top-quality airlines in Europe and around the world, and we believe association with them will give us the opportunity to change an image that has been extremely tarnished over the last years and particularly in the most recent period of the time with our difficulties concerning our labor situation-
The accusations with regard to our safety have hurt our ability to attracts business travelers and other travelers.
We know we've lost market share. We know we do not have an enviable reputation. American and Delta are taking such a significant advantage of us as a result of our difficulties that even in the face of that we believe this SAS transaction should mean to you as a retiree- and we want to convey to you- is a commitment to excellence and quality...
 Several of us in my department will be working on the construction and building of a service institute, which will be available to train and to bring about the quality reputation that we desire to have. There is a future. In fact, I personally participate on a committee of five- it's called "The Airline of 1990." It is intended to design about build and plan for what this airline will look like in the next decade.
So, although we have our day-to-day difficulties, we are not forgetting to think about the future, and I believe the SAS transaction is clear demonstration of that...
Single Carrier Issue
Another transaction that's out there that may not be very visible to retirees but clearly has an impact on retirees is the "single carrier". Our three unions have made motions before the National