MOBILE, Ala. (AP) _ A federal judge Monday approved a settlement of a desegregation case that will use new attendance boundaries and ''magnet'' schools to promote integration, but does not include busing.

The plan also calls for immediate repairs to inner-city schools with predominately black enrollments.

''I see no legal objection to what has been submitted to the court. I wish the parties well. You don't know how I wish the parties well,'' said U.S. District Judge W. Brevard Hand in approving the proposal for the Mobile County school system.

With that, the judge ended a 15-minute hearing and set into motion a five- year program geared toward racial equality.

The Mobile County system, Alabama's largest, has about 65,000 students in the city of Mobile and Mobile County, which together have a population of 350,000. Enrollment in the school district is about 44 percent black.

The desegregation case, known as the Birdie Mae Davis lawsuit, was filed 25 years ago by a group of black parents. Miss Davis was a pupil at the time.

The agreement, worked out by the parties in the case, calls for strict adherence to new attendance zones and the creation of more magnet schools. Such schools offer courses in special fields such as the arts or sciences and are designed to draw students from throughout the district.

The plan does not include busing of students.

The Mobile County School Board last week unanimously approved the agreement.

''It's the beginning of the end of the case,'' James U. Blacksher, the attorney for the plaintiffs, said Monday. The school system remains under court jurisdiction, however, until the agreement is carried out.

Over the years, the school system had presented various desegregation proposals to the court, some of which were carried out, but none had received court approval.

''If we can carry out what's in the agreement we're going to have a beautiful school system,'' said Robert Gilliard, school board president and head of the local chapter of the National Association for the Advancement of Colored People.

Under the plan, buildings will be renovated, including immediate repairs to predominately black Blount High School, which would have been torn down under an earlier proposal. Blacks led a community drive to save the school.

School Superintendent Billy Salter said the school system has $10 million available to begin the renovations required by the court. Those funds were set aside for planned construction of a high school that is no longer required under the settlement.