Fri, Dec 07, 2007
Says It's A Bad Idea, But Falls Short Of Blunt Opposition
American Airlines' planned
divestiture of regional carrier American Eagle is a bad idea for
all concerned, especially for employees and passengers, according
to officials with the Air Line Pilots Association.
The Dallas Morning News notes the union, which represents pilots
at Eagle, stopped short of bluntly opposing the sale... but they do
believe spinning the carrier off wouldn't be good for the
As ANN reported, American
Airlines parent company AMR bowed to investor wishes last week, and
announced its intention to sell or spin off the regional carrier.
The airline is likely worth somewhere in the neighborhood of $1
billion, analysts say... big money at a time American is looking to
report all the profit it can.
ALPA Chairman Herb Mark also took AMR Chief Financial Officer
Thomas Horton to task, for suggesting an independent Eagle could
grow, and hire entry-level pilots at even lower wages.
Such a suggestion was "irresponsible and cavalier," Mark said.
"If managements try to take more from the labor groups, you will
see a lot of pilots begin to leave the profession because the pay
will be so low that working as an airline pilot will no longer be a
worthwhile career choice."
Many pilots at Eagle plan to look for new jobs, Mark added.
AMR Spokesman Andy Backover disputed some of ALPA's claims,
including the suggestion spinning off Eagle would hurt wages for
"Most employees' jobs at Eagle are expected to change very
little as a result of this announcement," he said.
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