NATIONAL BRIEFING
A software glitch crippled the baggage system at an American Airlines terminal at Kennedy Airport.
(By Rick Maiman -- Associated Press)
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AIRLINES
Baggage Problem Delays Flights
American Airlines said about 25 departures were delayed as much as 90 minutes by a baggage-system problem at New York's John F. Kennedy International Airport.
A malfunction in software that controls a baggage-sorting conveyor belt is forcing the airline to sort bags manually. The problem affected more than a third of American's departures yesterday from the airport, a spokesman for the airline said.
Merger Sparks Pension Worries
Officials of unions representing Northwest Airlines flight attendants, ramp workers and reservation agents told Congress that they are worried Delta Air Lines's plan to combine the two carriers could lead to lost pension benefits for employees. The officials said at a House hearing that they have not received assurances that benefits would be protected if Delta's buyout of Northwest is completed.
"If this merger continues and is consummated, they will surely lose benefits going forward," said Robert Roach Jr., general vice president of the International Association of Machinists.
Rob Kight, Delta vice president for compensation, benefits, and services, said at the hearing that Delta intends to maintain pension plans of both carriers that were frozen while in bankruptcy.
ENERGY
Offshore Leasing Under Review
The Interior Department said that it would revise its five-year plan for offshore oil leases, but the process would take two years and no change would take effect before 2010. The current five-year Minerals Management Service plan for offshore leases expires in 2012, but Interior Secretary Dirk Kempthorne said that an early review was needed because of higher oil prices and President Bush's lifting of an executive ban on drilling off Pacific, Atlantic and west Gulf of Mexico coasts.
LEGISLATION
GOP Blocks Tax Credits
Senate Republicans blocked consideration of a measure that would revive or extend tax credits for renewable energy and research and development, as well as an array of other business tax breaks. It also would revive tax credits that let individuals deduct state and local sales taxes, and it would prevent the alternative minimum tax from expanding to ensnare more than 25 million taxpayers.
It was the fourth time in two months that the GOP has refused to let the measure move forward, reasoning that it would permanently raise taxes on some financial players -- including hedge-fund managers and multinational corporations -- to pay for a temporary extension of tax breaks for others.
Murtha Steps Into Tanker Debate
Rep. John P. Murtha (D-Penn.) added wording to the defense appropriations bill that would make the Air Force's request for funding for new aerial refueling tankers contingent upon compliance with eight recommendations from the Government Accountability Office regarding the contract. The GAO found that the Air Force service unfairly awarded the contract to Northrop Grumman and its partner, European Aeronautic Defence & Space, over Boeing. Defense Secretary Robert M. Gates has said a new winner will be named by the end of the year through a new bidding process.
