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Tue, Aug 24, 2004

US Airways Pilot Talks Collapse

Sparks New Fears Of Another Bankruptcy

Talks between financially-troubled US Airways and its pilots over a new round of concessions broke down on Monday, increasing odds that the airline might again have to file for bankruptcy.

"Since the beginning of these talks, we have witnessed a disturbing trend by the company to seemingly dismiss several significant proposals from our pilot negotiators," Stephan said, as quoted by Reuters. "Instead, management has responded by 'piling on' additional demands to their counterproposals."

The latest round of talks was to have ended on Friday, but was extended until Sunday. Still, both sides said they were far apart when the negotiations broke down.

No new talks are scheduled.

US Airways wants its pilots to give back another $300 million, including a 16-percent pay cut. That would be almost half of what the airline wants in concessions from all its unions. But like the pilots, US Airways' flight attendants, mechanics, baggage handlers and ticket agents have yet to settle with the company on a new round of give-backs.

FMI: www.usairways.com

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