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US Airways ranked #1 in baggage handling for 2010 resulting in $24 million in employee bonuses for the year

US AirwaysFrom underdog to over achiever, US Airways (NYSE:LCC) ranked first in baggage handling for 2010 among the major network carriers according to the U.S. Department of Transportation’s (DOT) December 2010 Air Travel Consumer Report released today. The airline’s 2.6 mishandled bags per 1,000 passengers ratio for 2010 was US Airways’ best baggage handling performance in company history.

US Airways also ranked #1 in baggage handling among its peers (American, Continental, Delta and United) for December and the fourth quarter 2010. December’s top ranking was the airline’s sixth monthly #1 ranking in 2010 for baggage handling and 12th top ranking in 2010 among its peers in on-time arrivals, baggage performance and customer satisfaction. In 2010 US Airways achieved more DOT #1 rankings than any of its major network carrier competitors.

US Airways’ Chairman and Chief Executive Officer Doug Parker said, “Congratulations to our 32,000 employees on this outstanding achievement! Achieving first place in baggage handling among the other large network carriers for 2010, when only three years ago we were near the bottom, is a story about focus, hard work, and tenacity. We care deeply about getting our customers to their destinations safely, on-time, with their bags and without any hassles, and over the past three years we’ve focused on building an airline that can consistently deliver on those commitments. Over this same time, US Airways has consistently risen to the top among our network competitors and as our 2010 results show, we now consistently place among the top three in on-time, baggage delivery and customer complaints in any given month. That’s something none of our network peers can say and it’s something our employees should be extremely proud of achieving.

“Our employees will share another Triple Play payout, which gives $50 to each employee, and brings the total amount distributed among employees in 2010 to $24 million.”

US Airways’ operational turnaround is exemplified by significant improvements in on-time performance, baggage handling and customer satisfaction over the past three years. Since 2007, the airline’s DOT-reported performance in on-time arrival performance has improved by 21 percent, baggage handling has improved by 70 percent and customer satisfaction has improved 51 percent. As a part of US Airways’ Triple Play Bucks employee incentive program, US Airways employees will receive a $50 payout later this month. In all, US Airways employees each earned $650 in incentive payouts in 2010, or $24 million system-wide for achieving 12 first place rankings and one “Pinch Hitter” award for exceeding the company’s internal on-time departure goal.



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