United reaches tentative agreement with flight attendants

CHICAGO -- United Airlines has reached a tentative cost-cutting agreement with its flight attendants union as part of an effort to avoid bankruptcy, the carrier announced Sunday.

Terms of the agreement were not released. United said it is in line with the airline's plan to achieve $5.8 billion in labor cutbacks with its flight attendants and machinists.

The reductions are key to its application for a $1.8 billion federal loan guarantee, which it says is needed to avoid a Chapter 11 bankruptcy filing.

"United continues to make great progress toward implementing its financial recovery program," United CEO and chairman Glenn Tilton said in a statement.

United spokesman Joe Hopkins would not discuss details of the agreement, other than to confirm it includes wage cuts. The deal still must be ratified by members of the Association of Flight Attendants and the company's board.

A spokesman for the flight attendants' union did not immediately return phone calls late Sunday.