
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SUNDAY, May 21, 1995                   TAG: 9505230036
SECTION: NATIONAL/INTERNATIONAL                    PAGE: A2   EDITION: METRO 
SOURCE: THE WASHINGTON POST
DATELINE: WASHINGTON                                LENGTH: Short

USAIR REACHES AGREEMENT WITH UNION

USAir announced Saturday it has reached an agreement with the Association of Flight Attendants to trim millions of dollars a year from the union's contract, clearing the way for the financially troubled airline to cut its labor costs by $2.5 billion over the next five years.

The AFA, with 8,300 members, was the last of the Arlington, Va.-based airline's three major unions to sign off on wage and work rule concessions. USAir had to reach agreement with its unions before it could seek shareholder concessions as part of a broad financial rescue package needed to assure the airline's survival.

USAir officials cautioned Saturday that all of the union agreements must still be approved by the membership - which could take weeks - and that the concessions are contingent upon approval by USAir's board of directors and company stockholders. The company has been waiting to nail down the union cuts before approaching shareholders.

by CNB