Union accuses UAL Corp of leading employees on

Airline Industry Information, July 3, 2000

AIRLINE INDUSTRY INFORMATION-(C)1997-2000 M2 COMMUNICATIONS LTD

James Goodwin, the CEO of UAL Corp, has apparently refused to sign an agreement with United Airlines` pilots` union in relation to acquisition talks with US Airways.

Goodwin has been accused by Rick Dubinsky, the head of the pilots` union, of leading the pilots on during negotiations about the proposed merger deal in a report sent to union members last week.

Dubinsky claims that he repeatedly asked Goodwin to sign an agreement `for the purpose of assuring that Mr. Goodwin would make every effort possible to protect the interests of the United pilots before consummating the deal` according to the report. Goodwin has already agreed however to acquire US Airways without any provisions in the deal that would protect United Airlines` pilots according to Reuters.

Dubinsky was the sole member of the UAL board who voted against the proposal.

UAL Corp has rejected parts of Dubinsky`s report and refuses to discuss it, stating `We see no point in a detailed discussion of the document and don't agree with some of the statements of fact put forward in it.`

Meanwhile, the Association of Flight Attendants (AFA) has stated that it will withhold support for the proposed deal until a new contract for flight attendants is agreed upon. A contract was signed by the AFA in May that runs through until 2005, however the union says that the merger requires a new contract to be negotiated.

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