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US Airways Flight Attendants Waiting for Airline's Financial Information

Date: June 17, 2004

No Decision on Further Concessions

WASHINGTON, DC – US Airways flight attendants, represented by the Association of Flight Attendants-CWA, AFL-CIO, received a preliminary report from Dan Akins, the union's financial consultant, concerning the US Airways' financial status and transition plan. The full report was put on hold because the airline has failed to provide key pieces of financial information to the union's expert.

"We were expecting US Airways to fully cooperate with our financial analyst and turn over all the necessary documents promptly," said AFA US Airways Master Executive Council President Perry Hayes. "Unfortunately, Mr. Akins was unable to give the flight attendant leadership the kind of detailed information we need to consider a third round of concessionary negotiations. We fully expect that US Airways management will immediately provide our analyst with the necessary documentation to complete his work."

Also during today's meeting, the flight attendant leadership unanimously passed a resolution to take immediate steps to complete the analysis of the airline's business plan and begin preparing an AFA term sheet analyzing cost items in the current flight attendant contract to prepare for possible negotiations with the company. The full text of the resolution appears at the end of this release.

"This resolution is not a decision on whether to engage in negotiations," Hayes said. "However, the flight attendant leadership recognizes the need to be prepared whether or not we ultimately decide to begin formal talks with the company."

At the end of May, US Airways presented the flight attendant leadership with pieces of the airline's transition plan. Following that meeting, AFA hired Akins to examine the company's financial documents and evaluate the legitimacy of the company's target of $116 million in concessions. In two rounds of concessionary negotiations in 2002, US Airways flight attendants contributed approximately $649 million in cost savings to the airline through 2008.

More than 45,000 flight attendants, including the 5,200 flight attendants at US Airways, join together to form AFA, the world's largest flight attendant union.  AFA is part of the 700,000 member strong Communications Workers of America, AFL-CIO.

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AFA US Airways MEC resolution:

Whereas, the AFA US Airways MEC recognizes the company's financial situation, and,

Whereas, the US Airways flight attendants have made major and difficult contributions to help put our airline on track for a return to profitability, and,

Whereas, we are committed to the successful transformation of our airline as a means to preserve and improve our careers, and,

Whereas, any transformation of our airline should address flight attendant issues such as reserve, sick leave, outstanding grievances, early retirement/buyout, and other priority items,

Therefore, be it resolved that AFA's Negotiating Committee, along with our legal and financial advisors, take immediate steps to complete the analysis of the company's business plan and financial data, and,

Be it further resolved that AFA's Negotiating Committee, along with our legal and financial advisors, commence preparation of a preliminary AFA term sheet by analyzing cost items in our current contract so that we are prepared for any negotiations that may take place, and,

Be it finally resolved, in any discussions in connection with the company's transformation plan, our Negotiating Committee will start any such discussions with solutions to flight attendant issues that would benefit the flight attendant group in connection with any possible agreement.

Let it be noted that should we engage in negotiations with the company, any resulting agreement would have to be ratified by the membership.

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