United Airlines to pay $8.9 million fine

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CHICAGO, May 6 (Reuters) - An arbitrator ruled UAL Corp.'s (UAL) United
Airlines must pay flight attendants $8.9 million over flight assignments at
its former subsidiary Air Wisconsin Airlines, the workers' union said on
Monday.

After a long legal battle, the Association of Flight Attendants said an
arbitrator ruled United must pay the fine because United's purchase of Air
Wisconsin in the early 1990s violated a scope sideletter in the United
flight attendant contract.

When United Airlines purchased Air Wisconsin in 1992, United chose to
operate the two carriers separately and use Air Wisconsin flight attendants.
A sideletter in the United flight attendant contract signed in 1986 requires
the No. 2 U.S. airline to use flight attendants from a seniority list.

Air Wisconsin, a small carrier that feeds traffic to United, is now
privately held.

Flight attendants said the final phase of the award was issued April 27
after a protracted battle in the courts and arbitration. A spokesman for
United, based in Elk Grove Village, had no comment on the ruling.


©2002 Reuters Limited.

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