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AMR, Alli ed Pilots Agre e to Rec ess in Talks

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Bloomberg News

AMR Corp., parent of American Airlines, and its pilots agreed to a temporary recess in their federally mediated talks on ways to integrate low-fare carrier Reno Air Inc., which the company bought last year. The talks will resume in early April in order to accommodate the schedule of mediator George Nicolau. The parties met for a third day Tuesday. AMR and the Allied Pilots Assn. are under a news blackout and didn’t discuss details, though their joint statement said “progress was made” in the first few days. Leaders of AMR’s pilots union have said they fear the airline will shift their jobs to the pilots of Reno Air, which AMR bought for $124 million in December. American pilots last month staged an 11-day protest over pay, training and other issues related to the purchase, forcing cancellation of 6,600 flights before a federal judge intervened. The Reno Air pilots union isn’t participating in the mediated talks, a union spokesman said. Although the Reno Air union has been trying to meet with the AMR pilots union, it’s made little progress, the spokesman said. Reno’s 300 pilots oppose losing seniority to their counterparts at American, which would result in them being assigned less favorable flight schedules. Reno’s pilots earn an average salary of $65,000, compared with American pilots’ average salary of $150,000. Separately, Reno Air said it will begin new service between Orange County’s John Wayne International Airport and San Francisco International Airport effective May 1.

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