NYTimes.com Article: Delta and Pilots to Resume Talks

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Delta and Pilots to Resume Talks

October 25, 2004
 By THE ASSOCIATED PRESS





ATLANTA, Oct. 24 (AP) - Delta Air Lines Inc. and its
pilots' union recessed talks Sunday without reaching an
agreement on pay cuts that the company says are crucial to
its effort to avoid bankruptcy.

A spokeswoman for the union, Karen Miller, said the two
sides would resume talks Monday in the Washington area.

Delta, which is based in Atlanta, says it needs $1 billion
in concessions from its pilots - roughly two-thirds of
which would come from pay cuts - to avoid bankruptcy. The
pilots have publicly offered up to $705 million in savings.


On Oct. 8, the pilots' union made a new proposal to
management. It has not said if the offer includes a higher
amount of concessions. However, in a regulatory filing a
week later, Delta said that to date the union's
"counterproposals have been for substantially less than $1
billion." The company also said in the filing that the
union is seeking a stock option program for pilots that
involves "substantially more equity" than management's
proposal.

The company and pilots had been negotiating the last
several days in south Florida.

http://www.nytimes.com/2004/10/25/business/25delta.html?ex=1099709665&ei=1&en=90fd752dfa62323a


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