Continental reaches labor pact

Continental Micronesia, the Asia-Pacific subsidiary of Houston-based Continental Airlines, and the union representing its 350 flight attendants said Friday they have reached a new collective bargaining agreement.

If ratified, the proposed contract will run until June 2005 and improve wages, benefits and work rules, Continental Micronesia and the International Association of Machinists and Aerospace Workers said.

“The terms allow Continental Micronesia to continue to be a competitive force in its markets, while delivering to our flight attendants the rewards they deserve,” said Bill Meehan, president of Continental Micronesia.

William O’Driscoll, the union’s chief negotiator, said he will recommend ratification of the tentative agreement.

Specific terms of the contract were not released. (The Associated Press)