American Airlines estimates its annual labor cost disadvantage versus United Airlines and Continental Airlines at roughly $600 million, Chairman and CEO Gerard Arpey said at AMR Corp.'s annual meeting. But he added that he expects the gap to close should those two complete their merger. "The history of airline mergers suggests…that in the process of merging, the labor costs of a combined United/Continental are likely to rise and move towards ours," he said. Moreover, ...

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