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Northwest Airlines, ALPA Reach Tentative Agreement on Contract Improvements


Airline Also Implements Summer Reliability Program

Northwest Airlines (NYSE: NWA) and negotiators for the Air Line Pilots Association (ALPA) have reached a tentative agreement on a variety of contract issues and pilot work rules. The tentative agreement, the product of a collaborative process between the union and NWA, is subject to ratification by the Northwest ALPA Master Executive Council.

“This is an important part of our efforts to achieve operational reliability,” said Doug Steenland, Northwest Airlines president and CEO. “I’m pleased that we’ve been able to work collaboratively with ALPA on these contract improvements and that both parties share a commitment to caring for our customers.”

In broad outline, the airline obtained contractual changes on several work rules pertaining to international flying as well as the settlement of outstanding grievances in exchange for the reinstatement of premium pay of 50 percent for all pilots, for any flying over 80 hours, effective August 1, 2007.

The company also announced today that it is implementing a Summer Reliability Incentive Program under which all contract employees, including pilots if the proposal is ratified by the MEC, who achieve perfect attendance from August 4 through September 3, inclusive, will receive incentive pay equal to 15 percent of eligible earnings up to $1000.

“We are committed to delivering a reliable, convenient product for our customers,” Steenland said. “We believe these steps will provide additional support for our operation during the month of August and beyond.”


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