Meeting daily, even through the weekend, American Airlines and its pilots are making progress towards a new contract.
The Allied Pilots Association told members Sunday that bargaining is a "frustrating process" but added that American management has made "encouraging changes" to its positions.The Fort Worth-based carrier, which filed for bankruptcy last November, has agreed to a moratorium on closing pilot bases for at least a year and will move the Boeing 737-700 and Airbus A319 into the same pay category as the MD-80s and Boeing 737-800s."Our realistic assessment is that neither side is 'kicking the can,' and we are both struggling through an enormously frustrating process," the message said. "We continue to make progress in contract-language writing. There are many difficult issues to work through in the days ahead, but each of the past several days has proven productive at the table."It also appears that American's management is willing to offer the pilots a 13.5 percent equity stake in the newly restructured company -- a proposal included in the offer that rank-and-file pilots rejected in August, with 61 percent voting against.The APA said its advisers are talking to various third parties that are interested in purchasing the 13.5 percent stake, which could translate into an "average six-figure payout per pilot." Analysts had previously estimated that the equity stake could be worth as much as $1 billion. American has about 10,000 pilots.American spokesman Bruce Hicks said the airline could not confirm specifics.The pilots are the only unionized workforce at American that does not have a new contract in place while the company is restructuring in bankruptcy. The pilots voted down an offer in August and the bankruptcy judge ruled in September that American could reject its existing contract and impose new work rules. American has delayed implementing several proposed contract changes.Andrea Ahles, 817-390-7631Twitter: @Sky_TalkHave more to add? News tip? Tell us
