LETTER OF UNDERSTANDING 16:
OVERLAP CREDIT APPLICATION
L16.01 OVERLAP CREDITS: Where a block overlap exists, flying time, duty period and trip hour guarantee will be credited as follows:
L16.01.01 Duty period begins and ends in the first block month: For blocking purposes, only the scheduled flying time to the end of the duty period will be shown in the block. Duty period guarantee, if applicable, will be credited in the first month.
L16.01.02 Duty period containing flight or flights which begin in one month and end in the next month: For blocking purposes, only the scheduled flying time of the flight(s) which begin in the first month will be shown in the block. Duty period and/or trip hour guarantee, if applicable, will be credited in the first month.
L16.01.03 Duty period begins in one month and extends into the next month with a flight scheduled to originate in the next month: For blocking purposes, only the scheduled flying time of flights which originate in the first month will be shown in the block. Flights in the same duty period which originate in the next month will be shown as an overlap and flight time credits and duty period or trip hour guarantees, if applicable, will be paid in the next month.
L16.02 BLOCK OVERLAPS CREATED BY REASSIGNMENT OR DRAFT: Where an overlap is involved in a reassignment or draft, either caused by the assignment or initially scheduled in a regular block, the credit application is based on the principle of the greater of the scheduled credits or the actual credits earned through the assignment, and will be credited as follows:
L16.02.01 Scheduled block credits greater than actual credits earned: Credited in the same manner as a scheduled block overlap.
L16.02.02 Actual credits earned greater than scheduled block credits: The credits in the first block month will be the scheduled flight time in that month. The balance will be applied in the next block month.
L16.02.03 Scheduled block credits and actual credits earned, equal: The procedures outlined in L16.02.02 are applicable.
L16.02.04 Actual credits earned greater in earnings than scheduled block credits but lesser in actual flight time credits: The credit to be applied in the first block month will be the actual flight time with the balance credited in the next block month.
L16.02.05 General: In all cases, the calculation will be based on the total period involved in the overlap.
L16.03 General: The general principle, applicable as outlined above, is that in an overlap situation where the scheduled block credits are the greater, they are paid as scheduled in the block; where the actual credits earned are greater, they are paid to the extent of the scheduled block credits in the first month and the balance being credited in the following month.