Shutdown averted with new contract

Monday, March 27, 2000 | 11:12 a.m.

THE ASSOCIATED PRESS

ARLINGTON, Va. -- US Airways flights are running on schedule after the airline and its Association of Flight Attendants union reached a contract agreement Saturday, averting a shutdown.

Although the union was exultant over its victory and the airline said it was pleased, US Airways still faces challenges in reaching its goal of breaking out of the ranks of big regional airlines to become a key national and international player.

The airline, the nation's sixth largest, had vowed it would shut down if it could not reach an acceptable contract with its chapter of the flight attendants union. The airline is expected to lure passengers back this week with a sale or frequent-flier points promotion. The contract agreement came more than three hours after the shutdown deadline of 12:01 a.m. Saturday, when the airline and the union agreed to keep talking.

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