AFA & Airline Related News

Tuesday September 26, 6:48 pm Eastern Time
Press Release

SOURCE: American Eagle Airlines

American Eagle Announces Order for New 44-Seat Embraer Regional Jet
Eagle Also Exercising More Options and Accelerating Delivery of Embraer Regional Jets

FORT WORTH, Texas, Sept. 26 /PRNewswire/ -- American Eagle, the regional affiliate of American Airlines, announced today that it will be the launch customer for a new 44-seat regional jet manufactured by Embraer of Brazil. The airline will convert its remaining orders for 37-seat ERJs to the new 44 seater beginning next summer.

ERJ-140

American Eagle also said it had secured earlier delivery positions from Embraer for up to 194 regional jets that will be delivered between 2001 and 2006. Along with the new delivery schedule American Eagle has also converted 66 options into firm orders for delivery between 2001 and 2005.

``We are proud to be Embraer's launch customer for this new airplane,'' said Peter Bowler, president of American Eagle. ``We are pleased to be able to grow our fleet with Embraer's new 44-seat regional jet which enjoys a very high degree of commonality with the other Embraer regional jets we operate. In addition, the new delivery schedule allows Eagle to accelerate its plan to grow with regional jets and to accelerate the replacement of much of Eagle's turboprop flying.''

American Eagle will have 83 ERJs in its fleet by the end of 2000, including 50 of the 50-seat ERJ-145 and 33 of the 37-seat ERJ-135. With the accelerated delivery schedule and the exercise of options, American Eagle has 146 firm orders for the Brazilian jets plus options to buy 48 more.

American Eagle placed its first order for Embraer regional jets in June 1997. The first ERJ-145 arrived in February 1998 and entered scheduled service at Chicago O'Hare International Airport the following May 15. American Eagle's first ERJ-135 arrived in August 1999 and entered scheduled service the following October 1.

In addition to the ERJs, American Eagle will receive its first 70-seat regional jet next August. Eagle has firm orders for 25 CRJ-700s and options to purchase an additional 25. The CRJ-700 is manufactured by Bombardier of Montreal.

With a combined fleet of more than 270 jet and turboprop aircraft, American Eagle and its wholly owned Business Express Airlines affiliate offer more than 1,700 daily flights to 140 cities throughout the United States, Canada, The Bahamas and the Caribbean. Members of American's AADVANTAGE frequent traveler program earn a minimum of 500 miles for every American Eagle or Business Express flight.

CRJ-700

Tuesday September 26, 5:48 pm Eastern Time

United To Reopen Attendant Talks
By DAVE CARPENTER

AP Business Writer
CHICAGO (AP) -- United Airlines is promising to reopen wage talks with flight attendants, who are demanding raises like those given United pilots and warning they will take steps to derail the company's merger with US Airways if ``significant progress'' is not made soon.

As United attempts to avoid labor strife while its proposed merger with US Airways is under government review, leaders of the union representing 25,000 United flight attendants called the move promising. United chief Jim Goodwin told Union leaders about the company's plans Monday and made an official announcement on Tuesday.

``United must change its position and actively work to address the issues of concern to the flight attendants, or there will be no operational merger,'' said Linda Farrow, president of the United flight attendants' Master Executive Council.

The flight attendants' demands reflect the dual effect of United's tentative contract settlement with pilots on Aug. 26.

Operations at the world's largest airline have returned largely to normal since that agreement, ending a disastrous summer of thousands of cancellations and countless flight delays.

But the industry-leading pay granted pilots has had ripples throughout the airline industry and within United, where 44,000 machinists, including mechanics and customer service agents, are seeking big raises in separate negotiations.

Pilots were given immediate pay raises of 21.5 percent to 28.5 percent, followed by four annual 4 percent pay hikes.

Flight attendants, already claiming they were the victims of contract violations and poor treatment during the chaotic summer, demanded the company renegotiate their 1997 contract, which sets wage increases through 2006.

``We are unwilling to continue to take second place when the company is willing to ensure that other employees are at the top of the industry,'' Farrow said in a letter to Goodwin last week -- a complaint she pressed Tuesday at a news conference at O'Hare International Airport.

United issued a statement saying it ``stands behind the integrity of the labor contract'' it negotiated with the Association of Flight Attendants three years ago.

But by expediting wage review talks that had been due to take place next year, the Elk Grove Village, Ill.-based airline showed it is taking their stance seriously.

Flight attendants' leaders said United had assured them it would give raises to put the group ``in line'' with increases provided to other employees.

Goodwin also granted other concessions.

The flight attendants said the chief executive officer told them United would rescind discipline meted out during this year's turmoil and would pay extra money to those who flew during particularly difficult periods. He also agreed to order an immediate end to scheduling violations, they said.

Federal regulators may not rule until next year on the proposed merger between United and Arlington, Va.-based US Airways, the nation's sixth-largest airline.

Flight attendants maintain they can block it regardless, by refusing to provide United with a combined seniority list and by not giving their explicit agreement to it.

Industry analysts agree the merger would fail if employees actively resist it.

News Clips

(Hit your back button to return here after reading the clips)

http://biz.yahoo.com/prnews/000912/az_awa_dc_.html

America West To Launch New Single Connection Service Between
Washington National Airport and Eight West Coast Cities

http://biz.yahoo.com/prnews/000912/il_america.html

American Eagle Moves Ahead With Chicago 'All Jet' Plans;
Turboprop Replacement Will Be Complete Nov. 2

http://www.denver-rmn.com/business/0913ual2.shtml

Flight attendants rebel

http://biz.yahoo.com/prnews/000912/oh_trans_s.html

Trans States Airlines to Cease Delta Connection Operations
by March 31, 2001

http://biz.yahoo.com/rf/000912/n12690414.html

Mexican flight attendants warn of potential strike

http://www.usatoday.com/usatonline/20000913/2637078s.htm

Union future at stake in actor strike Talks resume today to
end bitter impasse over ad fees

Updated: Tuesday, Sep. 12, 2000 at 21:35 CDT

United deal may affect American, Carty says
By Dan Reed
Star-Telegram Staff Writer

NEW YORK -- AMR Corp. Chairman Don Carty acknowledged yesterday that American
Airlines' pilots may reject a one-year contract extension and instead push
for a richer deal to match a pact recently negotiated between United Airlines
and its pilots union.

"Until United reached its agreement with its pilots, I thought our contract
extension had a pretty good chance of passing," Carty said. "But now, I don't
know. It seems that some of our pilots, having seen or heard what is in the
United deal, want to have their cake and eat it too."

American's 10,500 pilots, represented by the Allied Pilots Association, are
scheduled to complete voting Thursday in an election to ratify a one-year
contract extension deal reached in late July. The results of that vote may be
known Sept. 20.

The contract extension agreement, reached in July, would wipe out the union's
$45.5 million debt to American that a judge imposed after about 2,600 pilots
staged an illegal 11-day sickout in February 1999. It would also remove
nearly all contractual limits on the number of regional jets operated by the
company's American Eagle affiliate.

In late August, United and its pilots union agreed to a new contract
including an immediate 28 percent pay raise and other enhancements that would
establish an industry standard.

Carty quickly offered to open early negotiations with American's pilots if
they ratify the one-year extension.

Although getting the one- year contract extension might demonstrate that the
rocky relationship between American and the Allied Pilots is improving,
getting the deal ratified is "not an economic essential for us," Carty said.

American, he said, will proceed with plans to order additional jets from
Boeing Co. whether the deal is ratified or not. However, Carty said that if
the deal is rejected, American will order fewer planes. The difference, he
said, is based on changes in pilot training rules contained in the one-year
extension.

"If we get the [training rules changes] contained in the one- year extension,
we'll be able to order a few more planes because we'll be able to train more
pilots to man those cockpits," he said.

Carty said management is also trying to improve the atmosphere of trust with
the Association of Professional Flight Attendants and the Transport Workers
Union, which represents ground workers.

American and the flight attendants union will begin federally mediated
contract talks this week. Flight attendants overwhelmingly rejected a
tentative contract agreement 12 months ago, and negotiations between the two
parties broke down about six weeks ago. American is scheduled to open talks
with the transport workers later this year.

Regarding labor relations in the industry, the American chairman predicted
that the federal government will change rules by which airlines and their
workers negotiate contracts.

"The labor laws that affect the airline industry ... were designed so the
traveling public would have 30 days' notice of a labor interruption," Carty
said. "In the last couple of years, the traveling public has been subjected
to four or five of these at various carriers and never had 30 days' notice.
So, in a way, between us and the labor unions, we're managing our
relationships in a way that is inconsistent with what Congress intended when
it passed the law.

"In my experience in society, that doesn't go on for very long before someone
does something, whether it's the courts or the Congress," Carty said. "The
economic pressure that is exerted on a region of the country when one of
these big airlines goes down is so substantial."

Airline shifts Chicago, Texas traffic
By Marilyn Adams, USA TODAY

NEW YORK — Predicting "ugly" flight delays for a few more years, American
Airlines CEO Don Carty Tuesday announced changes at the airline's busiest
hubs designed to keep more flights on time.

Starting this fall, American, the second-largest airline based on market
share, will reorganize operations at Chicago O'Hare and slightly spread out
schedules at Dallas/Fort Worth.

Carty, speaking to Wall Street analysts in New York, said the airline was
responding to the last two summers' delays and potential problems this
winter. "The next two summers are going to be pretty ugly," he said, in part
because new air traffic control technology won't be in place until at least
2003.

"The accusation that airlines overschedule is absolutely right. Of course we
overschedule," as a result of competitive pressure, he said. Its plans:

Starting Oct. 1, American will add slightly to ground and connecting times at
Dallas/Fort Worth. That will help keep flights on schedule by allowing more
time for ground and air traffic control delays.
Starting Nov. 1, most American jets will fly from Chicago O'Hare to another
airport and then back, instead of going on to a third airport. That change
will build "a fire wall between our O'Hare operation and the rest of our
network," Carty said.
For example, today a flight from Chicago to New York might continue to DFW.
With the change, that jet will return to Chicago from New York.

"If there's a snowstorm in Chicago, it won't affect your flight from New York
to Dallas," Carty said.

This summer saw record flight delays because of a convergence of problems:
unusually large thunderstorms, record crowds, and labor tensions among pilots
and mechanics at United Airlines. O'Hare, United's home base, was
particularly hard hit.

In July, according to Transportation Department data, 62% of American's
flights into O'Hare arrived on time compared with 74% of its flights
nationwide.

Carty said the changes could help minimize snow- and ice-related delays this
winter. Although he would not be specific, he said the cost won't be
significant.

On the other hand, "running an unreliable operation is very expensive," he
said.

Airline consultant Morten Beyer said American's changes might improve its
O'Hare operations: "The amount of time airlines waste in their hubs is
extensive. Airlines need to face the necessity of dealing with the
limitations" on runways and air space.

Foreign Airline's Flight Attendants Request U.S. Union Representation; AFA Election to Set Precedent as Trend Toward Globalization Continues

WASHINGTON, Aug. 21 /PRNewswire/ -- The Association of Flight Attendants, AFL-CIO, is making history as the first flight attendant union to file for representation on behalf of a foreign carrier's U.S. based flight attendants.

The National Mediation Board, the government agency responsible for overseeing labor relations in the airline industry, has authorized an election for the U.S. based flight attendants at Iberia Airlines. Iberia is the Spanish national carrier and has approximately 40 flight attendants operating out of Miami, all of whom are U.S. citizens or green card holders.

"The number of foreign carriers basing flight attendants in the United States is likely to expand significantly as globalization continues," said AFA International President Patricia Friend. "It is essential that these hard working women and men get a voice in their workplace."

Miami based Iberian flight attendants only fly to points in Central and South America. The Spanish union that represents the bulk of the carrier's flight attendants does not represent the U.S. based workers since they do not fly in and out of Spain. Rather, AFA and the Spanish union have signed an agreement to cooperate in the representation of these flight attendants under U.S. law.

Iberia is the first foreign airline to base flight attendants in the United States and the result has been lower wages, reduced benefits and poorer working conditions compared with their unionized counterparts overseas at the same airline.

Ballots for the mail-in election will be distributed by the NMB on August 29 and the count will be held on September 27.

AFA is the largest flight attendant union in the world, representing 49,000 flight attendants at 27 airlines. Visit AFA's website at www.afanet.org.

SOURCE Association of Flight Attendants, AFL-CIO

CO: Association of Flight Attendants, AFL-CIO; Iberia Airlines

ST: Florida, District of Columbia

IN: AIR

SU: LBR

08/21/2000 10:10 EDT http://www.prnewswire.com

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Air Rage Puts Your Safety at Risk Take Action to Protect Yourself!

In recent years, there has been an alarming increase in the number of assaults by passengers against airline crew, airport personnel and other passengers aboard airplanes. Nearly every flight attendant has a story about air rage; if it hasn't yet happened to them, they know someone else who's experienced it. But all of the stories have one thing in common - air rage is a frightening, dangerous trend that must be stopped.

Industry statistics around the world show that incidents of air rage have risen between 400% and 700% in the past five years. Assault is always a serious matter, but when it happens aboard an aircraft traveling at 30,000 feet, the lives of everyone on board are at risk.

With the passage of the FAA reauthorization bill this April, crewmembers have some reassurance. The new law substantially increases the maximum penalty for assaulting a crewmember from $1,100 to $25,000, and allows the Attorney General to deputize local law enforcement officials. This step gives local officials the ability to detain violent, abusive or disruptive passengers when the flight arrives. In the past, these passengers have been able to simply leave the airport upon landing. These protections will help to deter the problem, but we need to do more.

On July 6, 2000, the International Transport Workers' Federation brought worldwide attention to the ever-growing problem of disruptive passengers by launching a campaign called "Zero Air Rage".

In support of the ITF campaign, AFA held actions at the following airports: SFO, ORD, BOS, FLL, LHR, TPE and CDG. AFA flight attendants joined their colleagues around the world and highlighted the need for governments and the air transport industry to take action against disruptive passengers.

Join other members of AFA as we continue to demand international solutions to the problem of air rage. Even one incident of air rage puts too many lives at risk. That's why we need Zero Air Rage. And we need your help to make it happen.

For more information, call toll free 800/424-2401 ext. 735, or visit www.afanet.org.