Update 11/4: –Sunday afternoon the Allied Pilots Association sent out a letter to members saying in part they had reached partial agreements on many of the points –

Over the past four days, we have finalized contract language to the point that there are only a handful of open paragraphs still being worked.  The remaining points which have not been agreed to by the parties involve final language for an industry pay-parity adjustment, furlough protection, and parameters for regional feed aircraft.  Our goal is to reach an agreement on these points and present a final product to the APA Board of Directors at some point this week.

FORT WORTH (CBSDFW.COM) – The Allied Pilots Association sent its board of directors home Friday with negotiations on a new labor agreement with American Airlines at an impasse. Sources with knowledge of the negotiations said both sides were locked on the issue of what pilots call outsourcing.

The lack of a deal came after American had publicly expressed optimism that a tentative agreement the board could pass on to members might be reached by November 1.

In a letter to members Friday night, the APA said its negotiating committee is “burning the midnight oil” having met with the company for 26 of the past 28 days. It said progress continued and the pace has not slowed. Sources said there had been headway on issues of pay and contract length. The APA was seeking pay scales similar to pilots at Delta and United, and a deal shorter than 6 years.

>>Click Here to read the letter<<

Sources however said both sides had dug their heels in on the issue of outsourcing. The company has been consistent throughout the bankruptcy process in its position that increased codesharing with other airlines would allow it to expand its available routes, attracting more passengers. Pilots have argued that the company is expanding its regional flying without using its mainline operation to do any of the work.

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