American OKs Mediator’s Plan; Pilots to Vote

AMR Corp.’s American Airlines accepted a mediator’s plan to end a dispute with pilots that led to a job action and the cancellation of 6,600 flights. Allied Pilots Assn. negotiators forwarded the plan to its 18-member board for a vote, union spokesman Gregg Overman said. The vote is likely to take place in the next several weeks, he said. The proposal moved the sides closer to ending a dispute that prompted pilots to stay away from work in February because they feared that AMR’s purchase of low-fare carrier Reno Air would force them to lose work to lesser-paid pilots. A judge fined the union $45.5 million for the disruption, which AMR said cost the Fort Worth-based airline $225 million. AMR spokesman John Hotard and Overman declined to comment on the terms, saying the plan is pending. AMR shares fell 31 cents to close at $67.88 on the NYSE.