AA Attendants Join In Concessions To Avert Bankruptcy

American Airlines yesterday averted bankruptcy after its flight attendants union narrowly voted in favor of the carrier's concession agreement.

Fifty three percent of American's flight attendants conceded with the proposal, which will ultimately slash $1.8 billion dollars annually through job cuts, as well as pay and benefit reductions. American said that if any of its unions had declined the proposal, the world's largest carrier would be forced into bankruptcy.

"We're not out of the woods yet," said AMR chairman Don Carty in a press statement yesterday. "This is a tough economy and the travel industry has been hit particularly hard. Many of the factors that affect our business are beyond our control. But with the structural changes we have, and the unique qualities of our employees, we're now in a much better position to survive the tough times and to take on our toughest competitors."