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US Airways Group Inc said on Friday it reached a tentative agreement with its pilots union that would save $300 million annually and move the bankrupt airline closer to carrying out a transformation plan.
The company still has other unions to settle with. Details of the agreement with the Air Line Pilots Association were not disclosed.
The union said it would not give any statements until the deal was sent to the membership for ratification.
ALPA represents about 3,200 US Airways pilots. Shares rose 9 cents, or 11 percent, to 90 cents in early trading, though some still have doubts about the outlook for the struggling company.
"They still have some hurdles left," said Ray Neidl, an aviation analyst for Calyon Securities.

Copyright Reuters, 2004

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