American Airlines secures pilot contract after months of negotiation
An American Airlines passenger jet glides in under the moon as it lands at LaGuardia, August 28, 2012. Eduardo Munoz / Reuters
The contract brings AA one step closer to emerging from bankruptcy, leaving one looming issue at hand: AA eithers goes it alone, finds a strategic investor, or finds a merger partner like US Airways – a move that the pilots endorse.
Excerpt from New York Times
American Airlines pilots agreed to a new contract on Friday, their union said, paving the way for the carrier to come out of its yearlong bankruptcy.
The Allied Pilots Association said the new collective bargaining agreement was endorsed by 74 percent of pilots who cast a ballot. Last August, in a surprise move, American’s pilots overwhelmingly rejected a similar deal with the airline.
With a new contract, American Airlines has mostly completed its reorganization. This was the last big hurdle to clear before the carrier and its creditors could focus on the big strategic question looming ahead: should American pursue a merger with US Airways or remain independent for now?