Neither side disclosed details, but the Transport Workers Union published letters exchanged last month between its president and the airline's CEO on its Web site.

Union President James C. Little wrote that cooperation with the company was eroding because workers had not been rewarded for American's improved financial performance.

While a contract is not expected before next spring, Little wrote that American should consider immediate and nontraditional compensation to improve those relations.

Gerard Arpey, chief executive of American and parent AMR Corp., indicated interest in a reply letter. The union has appointed a commission to study the idea.

The letters posted on the union Web site were first reported by the Fort Worth Star-Telegram.

American is in the early stages of negotiations with pilots and expects to begin talks with flight attendants within the next several months. All the labor deals can be changed next spring. Extending the mechanics' current contract would let the carrier focus on the other two agreements.

Talks with the pilots have slowed to a crawl, with the company rebuffing union demands for a 30.5 percent pay increase on top of a 15 percent signing bonus.

The company warned pilots that such increases would worsen American's cost disadvantage to other carriers.

American laid off workers and cut benefits in 2003, but still wants to reduce labor costs that are higher than those at low-cost carriers. Union workers want raises to make up for the 2003 wage cuts.

Union workers were also angered by bonus payments of stock to hundreds of management employees, a reward for a 133 percent run-up in AMR's stock price between 2004 and the end of 2006.

The unions estimate that the payouts totaled about $160 million. The company said executives didn't get any payouts when AMR's stock did poorly.

American Airlines shares rose 19 cents in midday trading to $23.83.