Friday, January 4, 2013

American flight attendants approve merger framework

The Association of Professional Flight Attendants said late Thursday that they've signed a memorandum of understanding, a framework outlining terms for a merger with US Airways.

The move follows American's pilots, who signed their own MOU last weekend. Both the American flight attendants and pilots are part of confidential talks trying to hammer out merger terms with airline management and their counterparts at US Airways.

So far, US Airways pilots and flight attendants have yet to approve their own MOUs, and are presumably still negotiating. The MOUs also must be approved by management at American and US Airways.

Every MOU that's approved helps push the merger, which US Airways has been pushing for more than a year now, closer to fruition. American remains in bankruptcy protection, and some analysts expect a decision on whether to merge with US Airways or emerge as a standalone company as early as next week. The more defined merger terms are in place, the clearer any advantages of a merger over a standalone company would be.

Here's the message from APFA,  which ends with an exhortation:

APFA has agreed to a Memorandum of Understanding (MOU), clarifying several points contained within the Bridge Agreement the union signed with US Airways last Spring. This MOU further illuminates the financial benefits of a merger to AMR’s creditors. APFA is currently operating under a judicially-enforceable non-disclosure agreement (NDA) with regards to merger discussions, which means that as long as this restriction is in place, we are not able to divulge specific details of the MOU.
AmericanAirlines US Airways 
"Our Future Depends On It"