Pan Am’s pilots proposed a buy-out of the airline.

Pan American World Airways pilots made the proposal after labor negotiations between the New York-based carrier and the union broke down. The Pan Am Pilots Master Executive Council “authorized its representatives to the Pan Am Joint Labor Council . . . to present a proposal for a leveraged employee buy-out,” a statement by the pilots union said. The joint council includes representatives of all Pan Am unions. Under the plan proposed by the pilots union, the airline’s employees would pay $500 million for 51% of Pan Am’s stock.