As reported last week, negotiations with Continental Airlines resumed on June 20, 2005 in Houston, TX.  No progress was made.   Continental has advised the IAM they intend to apply for assistance from federal mediators.  Under the Railway Labor Act, when the parties are unable to reach an agreement in direct negotiations, an application to the National Mediation Board is made and negotiations will resume under the auspices of this federal agency. We will advise the membership when a mediator is assigned and when negotiations are scheduled to resume.  Please keep in mind that the negotiations process will continue on the government’s schedule.  Also be aware that the Company has not applied for arbitration but rather mediation as proscribe under the Railway Labor Act (RLA).  More information will be forthcoming.  Your negotiating committee continues to work hard to ensure a favorable outcome.  With your help, we will do whatever is necessary to ensure a fair contract and secure retirement.  Thank you for your continued support. 

Negotiations resumed with ExpressJet on Monday June 27, 2005.  Your negotiating team made progress toward reaching an agreement.  The negotiating team and the Company recessed on Friday for the July 4^th weekend.  We will update you with information as it becomes available. 

With soaring oil prices recently topping $60 a barrel, Northwest Airlines is trying to offset the cost by raising its prices $50 each way on fares previously capped at $499. Continental matched the boost and Delta Air Lines matched it on some routes.