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PRO= Pension Benefit Guaranty Corporation 

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October 28, 2002 

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Re: Appeal 

Pan American World Airways, Inc. (%Pan Am") 

Cooperative Retirement Income Pension Plan ('TRIP") 

PBGC's letter also erroneously said "You will not receive an 

additional benefit under Section 4022 (c) of ERISA, because PBGC did 

not collect any money for these benefits' from the plan sponsor." 

We explain in this letter that PBGC is already paying your full 

CRIP benefit. 

Dear 71 

. The Appeals Board has reviewed your appeal of PBGC's 

August 14, 1998 determination that you were entitled to receive 

$288.00 per month, if you waited to retire with a Straight Life 

Annuity starting June 1, 2011 (age 65) .' Effective June 1; 2001, 

PBGC began paying you a $121.60 per-month Joint and 50% Survivor 

Annuity. 

Because part of your service was as a flight attendant, your 

benefit must be reduced for starting early using slightly more 

favorable factors than PBGC used. Therefore, we are applying a 

prior Appeals Board decision to increase your benefit to $123.63 

per month. However, you have not presented a basis for further 

changing PBGC's determination. -- 

Your ADDeal 

In your August 21, 1998 letter, you questioned the Pan Am 

employment period shown on PBGC's Benefit Statement, from 

September 16, 1983 until July 31, 1991. You noted that you instead 

worked from July 14, . 1968 until August 15, 1982, and from 

September 16, 1983 until December 1991. We explain below that 

correcting your employment dates does not change the service PBGC 

used to determine your benefit. 

Data Relevant to your ADD^^ 

PBGC's files contain the following data relevant to your 

appeal and to your Pan Am employment: 

(1) 

(2) 

Your date of birth: 

Date you were hired as a flight attendant: 

n 

7/14/1968. 
Date you transferred to full-time ground 1 2/01/1973 11 

employment in the Management Workforce: 

Date you transferred to a part time "45%" ( 8/01/197g 11 

position in the Management Workforce: 

- 

(4) Date you started contributing to CRIP: 

(5) Date you transferred to a quarter time "25%" 

position in the Management Workforce: 

(7) 1 Date you resigned: 1 8/15/1982 11 

12/01/1977' 

10/01/1978 

Effective date on which CRIP1s benefit 1 12/31/1983 11 

accruals were "frozen": 

Date you were rehired in a part time "45%" 

position in the Management Workforce: 9/16/1983 

(11) I CRIPrs termination date: 1 7/31/1991 11 

(10) Your total Years of ~enefit Service as of 

12/31/83: 

(12) 1 Date your Pan Am employment ended: 1 12/04/1991 )( 

12 years 

0 months 

(131 1 ' 

Date you started receiving your benefit 

(age 55) : 

1 6/01/2001 11 

Your Years of Benefit Service 

PBGC cannot count as benefit service all of your employment 

through December 1991: As noted above, CRIP froze Normal 

Retirement Benefit accruals using service through December 31, 

1983. See Enclosure 2. However, Pan Am's records confirm the 

employment dates you gave in your appeal. We used those dates to 

calculate you earned approximately3 12 Years of Benefit Service 

through the December 31, 1983 freeze, the same as PBGC used. See 

PBGC refunded to you $581.94 ($305.75 contributions plus 

$276.19 interest) on February 1, 1992. 

We could not calculate your pension service exactly because 

the benefit service you accrued as a part-time employee depends on 

exact hours worked. PBGC's records do not show your exact hours 

worked for any year, nor your total^ earnings for some relevant 

periods. 
Enclosure 3. The Appeals Board decided to calculate your benefit 

using 12 Years of Benefit Service. 

Corrected Adjustment for Startins Your Benefit Earlv 

Part of your $288.00 NO-1. Retirement Benefit was earned as 

a flight attendant, with Normal Retirement Age 60, while the 

balance of your benefit was earned as a ground employee with Normal 

Retirement Age 65. Because PBGC based all of your benefit on 

Normal Retirement Age 65, the Appeals Board increased your benefit 

slightly as follows. 

Your flight service benefit is based on the CRIP document in 

effect when you transferred to management in 1973. That document 

permitted an employee to become a CRIP participant only after 

attaining age 25 and working for one year. You became a 

participant on June 1, 1971 when you were age 25. Also, PBGC's 

files show you did not contribute to CRIP while a flight attendant. 

Therefore, we calculated c our non-contributorybenefit using CRIP's 

1973 formula, which provided $5.00 per month for each year of 

benefit service. Based. on the 1-8/12 years elapsed time from 

June 1, 1971 until February 1, 1973, your flight attendant benefit 

is $8.33 ($5.00 x 1-8/12) per month. 

The early retirement factor for your Flight Attendant benefit 

is :7130. The $279.67 ($288.00 - $8.33) balance of your Normal 

Retirement Benefit is reduced for starting early using a .4520 

factor. Also, 'you elected to receive your benefit as a Joint and 

50% Survivor annuity. Your reduced benefit is therefore also 

multiplied by .9341. Therefore your benefit is $123.63 (($8.33 x 

.7130 + $279.67 x .4520) x .9341) per month. 

Where to Submit Anv New Evidence 

PBGC will always - even after an appeal is closed - consider 

any new, s~ecific- evidence that you present showing that you may be 

entitled to a different benefit. For example, you may be entitled 

to a larger benefit if you have evidence (e.g. W-2's) for 1979 and 

1982 showing that you earned substantially more than the estimated 

pay shown in Enclosure 3 column (3) . Please send any such 

information to: 

PBGC Authorized Plan Representative 

1175 Peachtree Street, N.E. 

100 Colony Square, Suite 500 

Atlanta, GA 30361 

You may also contact PBGC's Authorized Plan Representative at 1- 

800-400-7242 extension 2000. 
Decision 

Having applied CRIP's provisions to the facts in your case, 

the Appeals Board increased your benefit to $123.63 per month, 

effective to June 1, 2001. PBGC's Authorized Representative will 

contact you about paying your underpayments plus interest. 

This decision concludes your administrative remedies with 

respect to PBGC's August 21, 1998 determination. You may, if you 

wish, seek court review of PBGC's determination with respect to the 

issues you raised. We appreciate your patience during this careful 

review of your appeal. 

Sincerely, 

William D. Ellis 

Appeals Board Member 

Enclosures: 

1) Pan Am's "Personnel Master" database record for you 

2) Explanation of Certain Appeals Board Rulings Involving 

the Pan Am "CRIP Plan" (8 pages) 

3) Worksheet showing the Computation of the Minimum Benefit 

and Benefit Service.