NRLN y RETIREES CHAPTER ARCHIVES

NRLN Avaya Retirees Chapter Working to Protect What We’ve Earned

Hello Avaya Retirees,

I am Vern Larson the President of the Avaya Retirees Chapter of National Retiree Legislative Network (NRLN). We are chartered under the parent NRLN Organization with the support and help of NRLN President Bill Kadereit. The mission of the NRLN is to identify, develop and rally support for federal legislation that guarantees fair and equitable treatment of retirees and future retirees. We work to protect earned employer-sponsored pensions and benefit plans and Medicare and Social Security.

The NRLN Avaya Retirees Chapter was formed to provide a means for us to all stay connected during these challenging times of Avaya to work to ensure our pension and benefits will be protected.

Avaya has been exploring strategic alternatives to its problems for months as we as pensioners wait for the fateful news of what will be.

After speaking with others in the NRLN they believe this process will give us a chance to reinforce or justify Avaya retirees’ concerns regarding our pensions but also our earned benefits such as health care and life insurance along with dental and prescription drug coverage because we and other NRLN members issues such as DuPont, Nokia and other retiree restructuring concerns and even introduce the Delphi disaster. Doing this also provides a broader story opportunity for the reporter to write about in the future.

Avaya faces a $600 million debt maturity due in October 2017. In its preliminary quarterly results the company's revenue fell to between $945 million and $955 million from about $1 billion in the same time period last year.

Avaya has been generating strong cash flow, with adjusted earnings before interest, taxes, depreciation and amortization last year reaching $900 million.

But its interest expense of more than $400 million every year has been pushing it consistently into a loss. Much of that is the result of the debt the company took on in its $8.2 billion leveraged buyout in 2007 by private equity firms Silver Lake Partners LP and TPG Capital LP.

Avaya has already announced it is being advised by Goldman Sachs Group Inc on evaluating expressions of interest in its assets, and by Centerview Partners Holdings LLC on "potential transactional alternatives" to shore up its capital structure.


Another important release from August 25, 2016

Avaya Inc.: On August 25, 2016, Moody’s Investors Service downgraded Avaya Inc.’s corporate family rating to Caa2 from Caa1, probability of default rating to Caa3-PD from Caa1-PD and its second lien notes rating to Caa3 from Caa2. According to Moody’s, the downgrade was driven by continued declines in performance, weakened liquidity, as well as concerns about the sustainability of the current capital structure. Moody’s further states that the downgrade also reflects the likelihood of a near term restructuring given the upcoming $1.15 billion in debt maturities due between October 2017 and March 2018. Moody’s Senior Analyst Matthew Jones said, “despite the overall revenue challenges, Avaya’s assets have considerable value to restructure its balance sheet around”. Jones added, “Avaya also has several divestible assets which could be sold to repay a significant proportion of creditors and still leave considerable assets to restructure remaining debt around”.

Chapter leaders listed at the end of this message are reaching out to you for your help to grow our organization. Please share this message—an email or printed copy--with all current and future retirees that you know. If you use social media, post information about our Chapter on Facebook and send out a Twitter message.

PLEASE ASK OTHER AVAYA RETIREES AND FUTURE RETIREES TO SIGN UP TO RECEIVE CHAPTER EMAILS. THEY MAY SIGN UP BY GOING TO WWW.NRLN.ORG AND CLICK THE SIGN UP LINK AT THE TOP OF THE HOME PAGE. AFTER ENTERING CONTACT INFORMATION SCROLL DOWN AND SELECT THE “AVAYA RETIREES” DESIGNATION AT THE BOTTOM OF THE DROP DOWN MENU.


The NRLN Avaya Retirees Chapter has been working database

The NRLN Avaya Retirees Chapter has been working on our data base trying to build a comprehensive Avaya retirees email list to be able to send news releases and updates about Avaya pension and benefits to those that are retired.

Our Chapter is representing all Avaya Retirees, Management, Office Salaried employees and both Office and Hourly Union Represented employees. There are currently around 8,000 Management retirees and a little over 7,000 in the Union represented pension plans. You can understand how much we can grow with your help.

We recently were able to collect around 700 additional names and some contact information from the OneExchange Insurance meetings held in Denver, Shreveport. LA, Basking Ridge, NJ and Omaha. We are in the final stages of data entry for the all these names at this time. Trying to read and decipher some of the names and other data are difficult and very time consuming.

To help with the updated data collection I am attaching a hot link that will take you to a web form that you can fill out and will be mailed back to me so I can create a data base of former retirees from all the different locations around the country. The Avaya Chapter of the NLRN would appreciate for all Avaya retirees that have not already registered to click on the form and submitting it back to us: http://www.123contactform.com/form-2450889/Avaya-Contact-Registration-Form . It is easy as 123…

Also, check out our NRLN and the Avaya Retirees Chapter’s webpage often for new information. To learn more about the NRLN at www.nrln.org.

Thanks in advance for your support in creating a strong NRLN Avaya Retirees Chapter to serve as your voice on the protection of our pension and other retirement security issues.

Please email or call with your questions or concerns.

Regards and Thank you.
Respectfully submitted,
Vern Larson, President
NRLN Avaya Retirees Chapter 402-203-6899 or vernlarson@cox.net
Jeff Orley, Executive Member of Membership Committee
402-580-3743 - jorley@centurylink.net
Cory Aesoph-Mangiaruca, Executive Officer for Union Retirees
cmangiaruca@gmail.com
Rick Madej, Executive Officer for Union Retirees
rhome2048@yahoo.com
Tom Vierk, Executive Member of Accountancy
tvierk@cox.net