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Tue, May 22, 2012

Judge Delays Ruling On AA Contract Negotiations

Deadline For Decision On Contract Rejections Extended By Two Weeks

American Airlines will have to wait an additional two weeks to learn of a bankruptcy judge's decision on its request to reject its union's contracts.

U.S. Bankruptcy Court Judge Sean Lane now says he will rule by June 6th on the airline's request to reject the contracts. The timeline is still within the 30-days required by the U.S. bankruptcy code. He said the case requires more time due to the complexity of the case and the lengthy testimony provided on the motions, according to a report in the Fort Worth Star-Telegram.

The change has been acknowledged by both AMR Corp. and the APA, which represents the airlines' pilots. On it's website, APA says it has agreed to begin mediation proceedings with the airline management and has "a full team prepared to engage with management." AA has also agreed to the mediation.

Other unions involved include the Association of Professional Flight Attendants and the Transportation Workers.

FMI: www.aa.com/i18n/amrcorp/newsroom/amr-corporation.jsp, www.alliedpilots.org

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