NWA agrees to temporary deals with 2 unions

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NWA agrees to temporary deals with 2 unionsMark Reilly Staff Writer

Northwest Airlines Corp. has reached tentative deals with two of its unions to cut labor costs by $332 million, the company said Monday. 

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The Eagan-based airline, which had threatened to scuttle existing labor contracts and impose new, lower-cost ones while in Chapter 11 bankruptcy, said that the Air Lines Pilots Association agreed to temporary cuts in pay and other costs of $215 million a year, while the Professional Flight Attendants Association agreed to cuts of $117 million. 

The pilots' union cuts are subject to member ratification; the flight attendants' cuts are not. 

Northwest (Pink Sheets: NWACQ) was not able to win similar concessions from the International Association of Machinists and Aerospace Workers union, and asked a bankruptcy court to impose $114 million in cuts on that union's contract. 




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