An officer of the Army or Air Force who on the day before the effective date of this Act [Sept. 15, 1981]—“(1) holds the regular grade of first lieutenant, captain, or major; and
“(2) has twice failed of selection for promotion to the next higher regular grade,
shall, unless continued on active duty under section 637 of title 10, United States Code, as added by this Act, be retired, if eligible to retire, be discharged, or be continued on active duty until eligible to retire and then be retired, under the laws in effect on the day before the effective date of this Act.
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