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Allied Pilots Association Expresses Disappointment over National Mediation Board's Response to Union's Request for Federal Mediation

FORT WORTH, Texas-(Business Wire)-January 30, 2008 - The Allied Pilots Association (APA), collective bargaining agent for the 12,000 pilots of American Airlines (NYSE: AMR), received written notice from the National Mediation Board (NMB) today that it had received the union's request for federal mediation services. The NMB informed APA that it has not yet docketed the case or assigned a mediator.

American Airlines management initiated negotiations with APA more than 18 months ago by triggering the "early-opener" provision in the pilots' contract, but has not provided any comprehensive proposals to the union throughout the talks.

"We are disappointed that the NMB has not assigned a federal mediator to our negotiations," said APA President Captain Lloyd Hill. "We have spent the past year and a half in negotiations and have been unable to resolve any contractual issues with management, despite APA's best efforts to do so."

Hill noted that APA presented management with a comprehensive set of contractual proposals late last year. Management then requested a recess in the negotiations of several weeks to study APA's proposals. Since the parties' return to the bargaining table weeks ago, Hill described management as being more interested in delaying the bargaining process than in moving forward.

"APA plans to continue negotiating with management in an effort to move beyond the current stalemate," Hill said. "If that proves unsuccessful during the next few bargaining sessions, we hope that the NMB will immediately docket our case and proffer mediation services.

"We respect the NMB's view, as stated in its response to APA, that 'mediation is most productive when the parties have narrowed the issues in direct negotiations.' However, it appears our negotiations are not following a typical pattern, considering the fact that management has been unresponsive throughout 18 months of bargaining—a process that they chose to initiate," he said.

Founded in 1963, the Allied Pilots Association—the largest independent pilot union in the U.S.—is headquartered in Fort Worth, Texas. APA represents the 12,000 pilots of American Airlines, including 2,287 pilots on furlough. The furloughs began shortly after the September 11, 2001 attacks. Also, several hundred American Airlines pilots are on full-time military leave of absence serving in the armed forces. The union's Web site address is www.alliedpilots.org.

American Airlines is the nation's largest passenger carrier and fifth-largest cargo carrier.

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