World Airways Pilots Union Negotiating Team Rejects Three-Year Contract Proposal

Proposal Included Pay Increases, Bonus, Improved Work Rules 


PEACHTREE CITY, Ga., Nov. 14  /PRNewswire-FirstCall/ -- World Airways, a wholly owned subsidiary of World Air Holdings, Inc. (NASDAQ:WLDAE) announced today that the International Brotherhood of Teamsters (IBT) negotiating team representing World Airways pilots has rejected the company's final contract proposal. Negotiations have been ongoing for more than two years since the contract became amendable in June 2003. The pilots rejected an earlier tentative agreement in March 2004.

The final proposal included a one-time signing bonus, annual pay increases over three years, profit sharing, major improvements in working conditions and further improvements in most of the sections of the contract under mediation. World Airways has asked the National Mediation Board (NMB) to release the company from mediation, but will continue to work under the auspices of the NMB until such time that the parties are released. If the NMB releases World Airways and the IBT from mediation, arbitration will be offered. If that offer is declined, it will trigger a 30-day cooling off period, during which time the parties may continue to talk.

"We believe this was a fair and equitable offer to bring a long negotiation process to conclusion," said Charlie McDonald, World Airways chief operating officer. "We regret their decision to turn down pay rates and working conditions that would be among the best in the non-scheduled airline industry. We remain committed to our objective of getting a fair agreement out to our pilots for a vote."

World Airways, a wholly owned subsidiary of World Air Holdings, Inc., is a U.S.-certificated air carrier providing customized transportation services for major international passenger and cargo carriers, the United States military, major freight forwarders and international leisure tour operators. Founded in 1948, World operates a fleet of 17 wide-body aircraft to meet the specialized needs of its customers. For information, visit http://www.worldairways.com/.

World Air Holdings has three wholly owned subsidiaries, World Airways, Inc., North American Airlines, Inc., and World Risk Solutions, Ltd. World Airways is a charter passenger and cargo airline founded in 1948, North American is a charter passenger airline founded in 1989, and World Risk Solutions is an insurance subsidiary established in 2004. For further information, go to http://www.worldairholdings.com/. 

DATASOURCE: World Air Holdings, Inc.



CONTACT: Steve Forsyth of World Air Holdings, Inc., [phone]



Web site:  http://www.worldairways.com/

http://www.worldairways.com/ 

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