United Airlines -UA Thread

[Isan]

United Airlines launches Historic US - Vietnam Service via Hong Kong

United Airlines today launched the first scheduled flight of a U.S. airline to Vietnam in almost 30 years.

“Today's launch of direct service to Vietnam marks an historic step in the relationship between the United States and Vietnam,” said Glenn Tilton, United’s chairman, president and chief executive officer. “The flight illustrates United's unsurpassed leadership in the Asia-Pacific market and comes at a time when Vietnam is experiencing robust economic growth and increased travel demand.”

“Decades of economic renovation have transformed Vietnam into a lively market of 80 million hard-working and talented people,” said Ambassador Chien Tam Nguyen, the Vietnamese ambassador to the United States. “Being one of the safest tourist destinations and fastest-growing economies in the world, Vietnam is an ideal place to visit and do business. On behalf of the Socialist Republic of Vietnam, I welcome direct air service and the closer economic and cultural ties between our two countries that will surely result, thus furthering the understanding, friendship and mutually beneficial cooperation between them.”

“Today's direct service marks a new beginning for a relationship that holds tremendous potential,” said the U.S. ambassador to Vietnam Michael Marine. “Vietnam is a dynamic emerging market for the United States, and United's service will enable us to enhance trade and tourism to the benefit of both nations.”

United now serves 12 Asia-Pacific destinations, with more on the way. Nonstop service from San Francisco to Nagoya, Japan, is scheduled to begin in March 2005, and United is seeking the right to provide daily service between Guangzhou, China, and San Francisco in spring 2005.

United Flight 869 departed San Francisco at 12:10 p.m. on Dec. 9 and arrives in Hong Kong at 7:00 p.m. on Dec. 10. The continuing flight will depart Hong Kong at 8:55 p.m. and arrive in Ho Chi Minh City at 10:25 p.m. Beginning Dec. 11, United Flight 862 will depart Ho Chi Minh City at 6:20 a.m. and arrive in Hong Kong at 9:45 a.m. The continuing flight will depart Hong Kong at 12:50 p.m. and arrive in San Francisco at 8:25 a.m. the same day.

[Isan]

Customers traveling on international trips that include both United Airlines and All Nippon Airways (ANA) operated flights will be able to use just one electronic ticket (e-ticket) for all trip segments. Individual ANA and United tickets for departure, return and multi-city segments will no longer be required.

"E-ticketing is essential for ensuring efficient customer service. E-ticketing is becoming the industry standard in ticket reservations and United remains at the forefront of the transition from paper tickets," said Mark Schwab, United vice president-Pacific.

United has already launched similar agreements with the Star Alliance carriers Air Canada and Lufthansa. ANA is the third step toward the completion of a global project which will soon enable customers to travel on the entire Star Alliance network with just one e-ticket.

[Isan]

December 15, 2004

UAL, parent of bankrupt United Airlines, will suffer a USD$725 million operating loss in 2005 unless it can wring additional savings from its labor force, according to documents the airline filed with federal regulators on Wednesday.

That loss contrasts with a USD$1.27 billion profit the carrier had projected earlier. United on Wednesday also forecast a USD$26 million operating profit in 2006, down from earlier projections for a profit of USD$1.72 billion.

United is negotiating with its unions to cut labor costs by USD$725 million beyond the USD$2.56 billion it already won in concessions early in its bankruptcy process. The carrier has asked a bankruptcy judge to consider canceling its union contracts to save money.

"United risks being unable to reorganize without additional labor cost reductions," the company said in the filing. "Failure to secure the proposed cost reductions would jeopardize United's future."

The documents United filed with the US Securities and Exchange Commission were also filed with the bankruptcy court before a hearing scheduled for Friday. The airline has been operating in bankruptcy for two years.

United said that without labor savings beginning in mid-January, its cash balance would fall below USD$900 million and remain below that level through most of the first and second quarters of 2005.

It projected its cash balance by May would fall below the USD$750 million minimum threshold outlined in the terms of its bankruptcy financing.

The outlook beyond early 2005 is no more promising, United said. Without canceling and replacing its pension plans and cutting labor costs by an additional USD$725 million per year, the carrier said it would burn through more than USD$1 billion in cash each year until it runs out of cash.

UAL linked its forecast for a 2005 operating loss to high jet fuel prices, low yields and increased competition from low-cost carriers. United said in October it expected jet fuel costs to be USD$1.2 billion more in 2004 than projected at the end of 2003.

From 2004 to 2010, United projects a USD$7.2 billion increase over its prior fuel cost estimations due to price increases.

(Reuters)

[Isan]

December 14, 2004

The pilots union at United Airlines on Tuesday said its negotiators have reached a tentative contract deal with the bankrupt airline.

Leaders of the Air Line Pilots Association will attend a special meeting in Chicago on Thursday to review the deal, spokesman Captain Herb Hunter said. He said the union would not disclose any details about the deal until its leaders meet to discuss it.

"The negotiating committee and the company have reached a tentative agreement," Hunter said. "The (union's Master Executive Council) will come into town and discuss that on Thursday, and we'll decide what we're going to do then."

If union leaders approve the deal, it would be put to the membership for a vote.

United has been seeking another round of big concessions from its unionized workers as part of its effort to emerge from bankruptcy after two years under court protection from creditors.

It won USD$2.56 billion in concessions from its unions earlier in the bankruptcy process, but has said it needs another USD$725 million from labor, including USD$191 million from pilots, to attract crucial financing it needs to exit Chapter 11.

A spokeswoman for United said the company was pleased to have reached the tentative agreement with ALPA but would not comment on the terms of the deal.

United said on Monday its salaried employees would take pay cuts of 4 percent, while pay of management employees would be reduced by 6 percent and that of officers by 8 percent. The company hopes the move, combined with benefit changes and productivity enhancements, will save it USD$112 million a year.

(Reuters)

[beijinggreg]

I've been a regular United customer for more than a decade now, and i must say the state of the airline is in poor shape these days. The service has never been stellar, and has actually declined considerably in the last 5 years. I've sent comments to them and have gotten the un-impressive "we'll try to do better" reply. The last decent flight i had was HK-Chicago, and that was only because the stewardesses were Asian. The service was considerably better than on the return trip. Am not sure it's possible, but if I were US airlines (and European ones for that matter), i would invert the current practice of using like 80% American steward staff and 20% the other countries staff, in that case Hong Kong. The cost savings alone would make it meaningful; add to that teh service improvement and you've got yourself a business plan. Look at Emirates and Qatar, most of their steward staff are from europe, NA and asia. And look at Dragon Airlines and Cathay, mostly british, OZ and NZ pilots. HK is a unique case, i know.

Next thing i'd do is turn the majority of my domestic flights into "Low Cost Carrier" class, with a small-ish business class. And i'd outsource most of the food, if i served it at all, to brand-known food companies like subway, et al. i imagine a lot of passengers are like me where they stigmatize airline food, reducing the degree of customer "perceived" satisfaction, even if the food is edible, which it often isn't. I rarely even try it nowadays. IF you outsource it with a recoknized brand as they are experimenting with now, it sort of ditributes the accountability for the airline. And if the food is well received, you get some kudos for that.

International flights can make money, but US carriers are not hacking it versus the asian carriers, or the European ones for that matter, on service. And domestic airlines can obviously succeed, but the LCC format seems to be the way to go. I know that there is scarcely any route i might fly in the continental US othe rthan maybe Seattle-East Coast where i'd pay more for anything other than a comfortable seat and a friendly stewardess. International flights are a different story where i'd trade my spleen for a business class seat on a 14 hour flight.

Anyway, head hunters aren't ringing my phone off the hook for airline CEO jobs, but just some ruminations i've had....

[Isan]

I agreed with U

The sv is really suck more than decade

SFO & ORD ground staffs were mostly hostile especially but don't know WHY :bash:

Might be it was the worst US based airlines in the world :D

[Isan]

December 17, 2004

Leaders of the United Airlines pilots' union have approved a tentative contract with the bankrupt carrier and agreed not to fight UAL's bid to scrap the group's pension plan, the Wall Street Journal reported on Friday.

As part of the agreement, once it emerges from bankruptcy protection, United parent UAL would issue USD$550 million in convertible notes to the union, Stephen Presser, the union's investment banker, told the newspaper.

The pilots could then sell the notes in the capital market to raise money that would make up some of the shortfall they would experience because of the termination of their defined-benefit pension plan, he added.

Negotiators for the Air Line Pilots Association (ALPA) reached the tentative contract deal earlier this week but did not disclose details at the time. Leaders of the union attended a meeting on Thursday to review the deal and approved it, the Journal reported.

The five year agreement -- which would save United about USD$180 million to USD$190 million more a year -- will go to ALPA's membership for a vote early next month, the Journal said.

The pilots' concession over the pension plan could become a model for the industry, the paper added, quoting Presser as saying that "it could be replicated for other work groups."

The agreement only applies to active pilots, not those who are retired, according to the Journal.

(Reuters)

[Qwertyuiop]

I agree with the other two opinions of United Airlines' current status.

I flew from Los Angeles to Hong Kong this past June, with a layover in Tokyo. Their fleet of 747-400s are unsanitary at best and haven't been updated since they were introduced in the 80s. Even business and first class looked antiquated. Not a single amenity is offered in Coach, and the crampt 3-4-3 seating configuration creates an atmosphere resembling more like a third-world refugee transport than a commercial airline.

On an American Airlines flight from Los Angeles to Chicago, (Also a deteriorating "legacy" carrier), I talked with other passengers of international flights who flew on non-US airlines. In coach on All Nippon Airways, individual TVs are standard, including closed circuit channels that display signals from external cameras mounted on the plane, including cockpit views. (Sorry, but I drool at that thought being such an aircraft fanatic :) ). And on Quantas, not only are individual tvs standard, but so are built-in video games and seat-to-seat text messaging!

When I fly internationally in the future, I'm flying foreign carriers.

[Nick in Atlanta]

US carriers are way behind many foreign carriers on international flights, especially in Coach. No personal entertainment equipment like movies and video games. In business class there are no seats that recline 180 degrees, etc. US airlines are lucky that most Americans fly them internationally because they want to stay with a name they're familiar with.

[Qwertyuiop]

I actually went with United on that trip because they were the cheapest by a couple hundred bucks. Now I know why...

[Isan]

United Airlines (UA) introduced a new livery on 18Feb04.

http://www.tw.united.com/images/fleet_photos/united_new_livery/2004_livery_d_1024x768.jpg http://www.tw.united.com/images/fleet_photos/united_new_livery/2004_livery_c_1024x768.jpg http://www.tw.united.com/images/fleet_photos/united_new_livery/2004_livery_h_1024x768.jpg

And some @ here UA on its 80~~90's (http://skyscrapercity.com/showthread.php?t=130729)

[Qwertyuiop]

Nice pics! I'm glad both United and Northwest are ditching the mostly gray-colored livery. And to think the old gray was a "step up" for United from their disco-era orange/red/blue paint scheme...

[Isan]

December 17, 2004

United Airlines has begun approaching potential lenders with its revamped business plan for financing to leave bankruptcy, the company said on Friday.

United said in an update to the US Bankruptcy Court for the Northern District of Illinois that it has established a framework for presenting its business plan to capital markets, but offered no additional details.

United said consulting firm Bridge Associates had completed its review of the airline's business plan and found it feasible. Chief Financial Officer Jake Brace added that cost cuts proposed by the carrier so far appear to be enough to attract the needed investors.

"Those (cuts) will be sufficient to produce a viable business plan, which will be able to be financed," Brace told reporters after a bankruptcy court hearing in Chicago.

The airline, operating under Chapter 11 protection from creditors since December 2002, has said it needs to cut union and non union labor costs by USD$725 million a year beyond the USD$2.56 billion in concessions it won from unions earlier in the bankruptcy process.

United said earlier this week that it will post a USD$725 million operating loss in 2005 unless it can wring additional labor savings.

The carrier has asked Judge Eugene Wedoff for permission to cancel union contracts if voluntary cost-cutting agreements cannot be achieved by mid-January. The company also wants to terminate union pension plans to save money.

The airline and the leaders of its pilots union represented by the Air Line Pilots Association reached a giveback deal this week worth an estimated USD$180 million yearly for five years.

The agreement, which includes pay and benefit reductions, must still be considered by the full membership of 6,400 pilots.

According to the agreement, the pilots will not fight the company's plan to scrap its pension plan and replace it with a cheaper one if the court determines removing the benefit is required to exit bankruptcy.

In exchange, pilots will receive USD$550 million in convertible notes that can be sold to make up some of the shortfall from a less generous pension, the agreement showed.

The company's 8,300 management and salaried nonunion workers are also taking pay cuts worth USD$112 million per year beginning in January.

United did not identify potential lenders it was approaching, but Brace said they include current investors both on and off Wall Street.

The airline plans to boost its international capacity by 15 percent next year and cut domestic capacity by 12 percent. To maintain domestic service after shrinking its mainline fleet, United plans to make greater use of express partners.

But Bridge raised certain conditions that were not publicized. Union groups sought an independent analysis of the company's business plan. Brace said an executive summary of the plan may be made public soon.

The company's biggest outstanding issue remains its drive to cut costs enough to operate domestically and internationally and satisfy potential investors.

(Reuters)

[Stamford Island]

I personally prefer United's old gray livery...the new one looks so low-cost...yes I knew they are trying to keep costs low, but why not just leave the planes in the old grey colour scheme, which looks more elegent...

[GLude]

to chime in on UA's poor amenities in their fleet of 747-400's, even JAL flights from HK to Tokyo had multiple MOvie channels, audio, forward/downward view cameras, videogame in coach. I fly the ORD-HKG all the time, I guess i'm used to it. My friend flies chicago/Beijing and said they use 777's and they get Individual tv's in coach.

[beijinggreg]

i agree about United's old gray livery...looked quite business class, whereas most airlines go for the "holiday" look and colors. the new one looks like a downgrade to me..maybe indicative of where this airline is going, or already is.

Regarding the BJS-ORD flight, it's the best i've flown with united. But the service is still lacking. Yes, they have the tvs, and it's a 777. But it's ALWAYS jammed. you've got to book months in advance to get on it, and you pay when you do. I'm flying BJS-ORD late january, and i cannot get a ticket as of today.

[Isan]

I prefered the old one, look elegence than the new livery although seems to that youngish & energetically in frankly ;)

http://www.imagestation.com/picture/sraid138/p58ce400ab00f5f55274e840d8e612bde/f72c725c.jpg

[hkskyline]

Carrier off course for restructuring:
UA blames high fuel costs, low yields and intense competition for its failure to meet its targets
By CAROLINE DANIEL
20 December 2004
Financial Times

When United Airlines entered bankruptcy protection in November 2002 it pledged to complete its restructuring and emerge leaner and fitter within 18 months.

Two years on, however, a regulatory filing last week highlighted how far it remains from that goal. The filing also showed how its restructuring achievements had been eroded by high fuel prices, low yields and intense competition.

There are signs that United's management has finally understood the scale of the task ahead. Restructuring efforts, cost-cutting targets, pace of change and willingness to tackle the pensions termination issue accelerated this summer after it was turned down for a government loan.

However, despite taking more aggressive action, the company has little room for manoeuvre if events such as fuel prices, labour unrest or court decisions turn against it.

The filing indicated why the Airline Transportation Stabilisation Board rejected United's request for a loan guarantee.

United's December 2003 business plan projected an operating loss in 2004 of Dollars 137m in the first quarter, operating profits of Dollars 278m in the second, and Dollars 515m of profits in the third.

Actual results have obliterated that optimism. United said earnings in the first nine months were Dollars 940m below those forecasts. Its ATSB application forecast fourth-quarter profits of Dollars 161m, against its current estimates of losses of Dollars 520m.

Its cash forecasts were also inaccurate. United had hoped to end the year with cash of Dollars 2bn. Now it expects liquidity of only half that amount come December 31, which will only decrease in the lean winter months.

United blamed its errors principally on fuel costs, which are Dollars 1.2bn higher than it expected. Revenues were also lower by Dollars 275m and earnings from United Express, a key subsidiary, Dollars 175m below expectations.

The poor state of the balance sheet has raised doubts over whether United can convince investors to provide what it says it needs: Dollars 2bn in exit financing to leave bankruptcy protection.

There are signs its management has become more conservative in its forecasting. Delta has pinned its hopes of avoiding bankruptcy on falling fuel prices. United has now ditched its old belief that oil would cost Dollars 30 a barrel and is assuming the fuel's current highs will drop to Dollars 38 a barrel by 2010.

If it can survive that long, and if oil prices fall, the upside for potential investors could be huge. Nevertheless, United must first address a more immediate liquidity crisis.

It has already breached several covenants on its debtor in possession (DIP) financing. New conditions require it not to fall below cash of Dollars 750m - a dangerously low level for a large airline, as United admits.

US Airways, which is half United's size, recently said that Dollars 400m-Dollars 500m was the minimum cash limit for comfortable liquidity.

To avoid a liquidity crisis, United argues, it must gain Dollars 725m of additional labour cuts by mid-January, or face breaching DIP covenants.

It has warned that without consensual deals it will impose the cuts by invoking section 1113c of the bankruptcy code. That threat has provoked labour unease. The flight attendants' union has threatened chaos if it tears up existing contracts. The pilots' union has been more conciliatory.

However, without significant cuts in labour costs, United has warned that its cash would fall below Dollars 900m in the first and second quarters, and in May would fall below the critical Dollars 750m level.

Union strikes would only accelerate, not avert, the inevitable cuts.

But even with the cuts, its future remains uncertain. For employees, that means pension terminations are increasingly likely.

United said maintaining them would burn more than Dollars 1bn a year until it ran out of cash. It warned that minimum cash funding would be Dollars 4.2bn between 2005 and 2008, which would pose impossible burdens on its hopes of exiting bankruptcy.

The filing suggests efforts by the Pension Benefit Guarantee Corporation, which last week called on the court to demand that United pay Dollars 900m in overdue pension liabilities, will go nowhere. Indeed, those payments would plunge United below its required cash levels, triggering its collapse.

It looks like United's chances of continuing in Chapter 11 bankruptcy protection, let alone exiting it, depend heavily on what happens in the bankruptcy court over the next few months.

[Isan]

December 20, 2004

United Airlines' business plan for exiting bankruptcy is feasible but not a sure thing even if the airline achieves its cost cutting goals, an independent analysis of the company's strategy showed on Monday.

An executive summary of the confidential six week review by Bridge Associates found, after reviewing internal company and other documents and proposed cost cuts, that the airline's plan for stepping out of court protection next year is doable under certain conditions.

United says it has begun shopping its updated business plan to its potential lenders.

But the analysis cautioned that a combination of risks, including failure by the carrier to obtain USD$725 million in new union and non-union cost cuts by mid-January, could hurt the airline's chances of executing its strategy.

United adopted the Bridge review after pressure from unions, specifically the International Association of Machinists and the Association of Flight Attendants.

Jean Medina, a UAL spokeswoman, said the report validated the company's business plan. But the flight attendants noted the plan was vulnerable.

"The report speaks to more than labor cost savings and states that every area of the plan's cost savings and revenue enhancements are subject to external and execution risks," said AFA spokeswoman Sara Nelson Dela Cruz.

The report noted that any spike in fuel prices or higher interest rates could adversely impact United's current plan for all-debt exit financing even if its cost cuts were in place.

"Lending institutions may be unable to attract sufficient participants to complete such a financing and permit the company to emerge from Chapter 11 by mid-2005," the analysis showed.

No details of the company's revamped business plan were provided in the summary briefly outlined by the airline in bankruptcy court on Friday.

The airline has said it plans to shrink its mainline fleet, boost capacity on international service and shift some domestic flying onto its express partners.

United has been in bankruptcy for two years. The entire industry has been buffeted by soaring fuel costs and soft revenue.

The biggest airlines, including United, have also faced stiff competition from low-cost rivals.

(Reuters)

[Isan]

December 21, 2004

UAL, parent of bankrupt United Airlines, on Tuesday reported a November net loss of USD$87 million, including a USD$158 million gain from the sale of Orbitz shares and USD$20 million of reorganization expenses.

United, which is required to file a monthly operating report with the bankruptcy court, said its operating loss for the month was USD$188 million.

"Due to harsh industry conditions, we must urgently implement additional cost reduction initiatives so that the durable, long-lasting savings required are in place by mid-January," said Chief Financial Officer Jake Brace.

UAL, operating under Chapter 11 protection from creditors since December 2002, has said it needs to cut union and non union labor costs by USD$725 million a year beyond the USD$2.56 billion in concessions it won from unions earlier in the bankruptcy process.

UAL ended the month with a cash balance of about USD$2.4 billion, which included USD$843 million in restricted cash. The cash balance increased approximately USD$97 million during the month of November.

(Reuters

[skynet126]

with the oil prices keep going up, steady above $40 dollar a barrel, and fierce competition from low cost airlines in Asia. Man all the big airlines in America are going to had a tough time. The bigger they are, the harder they fall. Look like the quote is true after all.

[Isan]

DENVER (AP) - United Airlines' flight attendants are offering wage and other concessions to help lift the carrier out of bankruptcy.

But officials of the Association of Flight Attendants say an agreement with United is not imminent, even though the carrier set a mid-January deadline for such concessions.

The union is proposing wage cuts of 8 percent. United last month proposed wage cuts of 10.2 percent with revisions to benefits and work rules. Union officials say they want to maintain work conditions and benefits while minimizing the wage concessions.

United Airlines -- the largest carrier serving Denver International Airport -- has declined to comment on the talks. The carrier says it's seeking about $138 million in annual pay and benefit cuts and productivity improvements from attendants. That would be part of the $725 million in labor concessions the airline says it needs to survive.

[Isan]

December 31, 2004

Flight attendants at United Airlines authorized their union to call for strike action if the carrier terminates their collective bargaining agreements, the union said on Thursday.

Of the eligible voters, 88 percent voted in favor of strikes, according to a statement from the Association of Flight Attendants. The move sets the stage for a work stoppage if the airline cancels a collective bargaining agreement with the union.

"United flight attendants have already made huge sacrifices to help our airline succeed," said Greg Davidowitch, president of the AFA Master Executive Council at United.

"But it's not just up to the employees to save United," he added. "It's time for United management to look at itself for a solution to the current situation it has created."

Bankruptcy Court Judge Eugene Wedoff has agreed to consider letting UAL end the agreements and has scheduled hearings on the matter beginning January 7. Talks on wage and benefit concessions between the AFA and UAL management have been ongoing.

The union has vowed to implement its strike plans if the flight attendants' contract is rejected, and has called on the company to reach a negotiated settlement instead. The plans known as Create Havoc Around Our System (CHAOS) call for surprise intermittent strikes.

The time and place of such strikes would be determined by the union and targeted for maximum impact. Action could take the form of a system-wide one-day strike, a strike targeted for one specific city or an individual flight at a remote location, the AFA said.

United flight attendants have not staged a strike since 1985, said AFA spokeswoman Sara Nelson Dela Cruz. On that occasion, the flight attendants were supporting a strike by United's pilots.

"We regret that the AFA continues to take actions which are simply not helpful to United, its tens of thousands of employees or its customers," United spokeswoman Jean Medina said.

Medina said, however, that United believes both the Railway Labor Act, which governs potential strikes in the airline industry, and the Bankruptcy Code prevent the actions contemplated by the AFA.

United, which has been under Chapter 11 protection since December 2002, wants to reject labor contracts with its six unions if it fails to extract an additional USD$725 million in annual savings from its employees by January.

Earlier on Thursday the US Pension Benefit Guarantee Corp. said it had filed a motion in court asking for permission to take over the retirement plans of United's pilots. If a judge approves the plan, United would no longer be required to contribute to the pilots' pension plans.

The airline has said, however, that it needs to terminate all four of its pension plans in favor of less expensive ones.

(Reuters)

[Isan]

A new settlement agreement that would cut United Airlines' obligation on USD$600 million of Chicago O'Hare Airport debt by 75 percent was expected to be approved by a bankruptcy court judge in February, according to attorneys.

Attorneys for the airline, bondholders and the city of Chicago agreed on wording for the deal in US Bankruptcy Court on Wednesday. However, the deal will be reviewed by bondholders over the next few weeks before Judge Eugene Wedoff will take it up for approval on February 15.

If there are no bondholder objections, Wedoff is expected to approve the deal on that date, said David Seligman, an attorney representing United.

Under the deal United would no longer have to pay off about USD$450 million of special facilities revenue bonds sold by O'Hare Airport to finance projects for the airline.

A previous settlement agreement that surfaced in October fizzled after some bondholders raised objections. The new agreement includes all the bondholders, unlike the previous deal that only included some of them, Seligman said.

Details of the new deal were not immediately available as attorneys revised some of the wording in court to accommodate concerns raised by Chicago's attorneys.

The airline has not made any debt service payments on the bonds since filing for bankruptcy protection in December 2002.

(Reuters)

[hkskyline]

United Air Dec Traffic Up 2.3%
4 January 2005

CHICAGO (Dow Jones)--UAL Corp. said December system-wide traffic, excluding charter flights, at its United Airlines unit rose 2.3%, but a 3.2% increase in available seat miles led to a dip in the percentage of seats filled.

In a press release Tuesday, the bankrupt airline said revenue passenger miles in the month climbed to 9.4 billion from 9.19 billion a year ago.

A revenue passenger mile is one paying passenger flown one mile.

North American traffic increased 1.2% to 5.75 billion from 5.69 billion a year ago, while Pacific traffic jumped 6.5% to 2.04 billion from 1.91 billion.

System-wide load factor, or percentage of seats filled, fell to 77.7% from a December record of 78.4% in the year-earlier period.

For the 11 months of the year to date, traffic rose 10.3% to 114.53 billion from 103.86 billion in the year-earlier period.

Load factor was up 2.8 points to 79.2% for the year-to-date from 76.4% a year earlier.

[Isan]

Wednesday, January 05, 2005


CHICAGO (AP) - United Airlines is embroiled in disputes with unions and creditors as it nears a key deadline in its 25-month-long bankruptcy restructuring, running the risk of labour actions that could endanger its future.

The confrontations reflect United's high-stakes manoeuvring to raise enough cash to exit Chapter 11 bankruptcy protection without alienating its work force - already disheartened by the need for two substantial pay and benefit cuts in two years.

"If you're United and you're trying to get people back in your planes, this is not the position you want to be in," said George Novak, an airline industry researcher at George Washington University's aviation institute.

The carrier's push to tear up employees' existing contracts, if necessary, in order to lop $750 million US off annual labour costs by mid-January is headed for a courtroom showdown starting Friday unless three of its biggest unions agree to new terms by then.

Negotiators for the mechanics' union were nearing a tentative contract agreement with the company on Wednesday, according to a union leader. But no formal negotiations were scheduled involving baggage handlers and public contact workers, and talks continued without an agreement with the flight attendants, who have promised periodic strikes if United breaks their contract.

Additionally, some unions have joined with creditors and banks to oppose the contract agreement crafted by United and its pilots, who agreed not to fight the company's elimination of traditional pensions after receiving extra financial considerations.

In objections to be aired in bankruptcy court Thursday, they have denounced that plan as an effort to short-circuit the pension deliberation process.

United, a unit of Elk Grove Village, Ill.-based UAL Corp., plans to have CEO Glenn Tilton testify in bankruptcy court Friday on the need to slash wages and benefits further and eliminate defined-benefit pensions after 4½ years of steep losses. It says record jet fuel costs, the glut of airline capacity and air fares at a 12-year low have forced its hand.

"The decisions we've made have been very hard, but they have been necessary," Tilton told employees in a recorded message Tuesday. "The fundamental economics of this business are inarguable. You have to cover your costs even when customers do not want to pay as much for air fares as they once did."

While most employees don't question the legitimacy of the industrywide financial crisis, whether they want to keep their jobs for sharply reduced pay remains an open question.

"Many mechanics are on the edge of financial distress" after the last pay cut, said Joe Prisco, president of Local 9 of the Aircraft Mechanics Fraternal Association. "A lot of people are saying 'I'm not going to vote for anything that has a pay cut."'

Prisco, an observer at Wednesday's bargaining session in suburban Rosemont, said negotiators appeared to be near a tentative agreement but there is no assurance that members will ratify it. The deal being discussed would slightly reduce United's initial demand for $101 million in annual concessions from the mechanics, through a combination including lowered wages and benefits.

[Isan]

January 6, 2005

Pilots at bankrupt United Airlines on Thursday overwhelmingly ratified a new contract which will allow the airline to cut wages and get rid of traditional pensions but will give the pilots future financial concessions.

The contract would provide United with USD$180 million in annual labor savings, according to a statement from the Air Line Pilots Association. It must still be approved by US Bankruptcy Court Judge Eugene Wedoff, who began hearing arguments on Thursday afternoon.

The deal is opposed by several groups including the Pension Benefit Guaranty Corporation, the US agency that insures traditional retirement plans.

United's unionized pilots approved the agreement by a vote of 76.8 percent to 23.1 percent, ALPA said.

UAL has been under bankruptcy protection for more than two years, and is seeking to cut USD$725 million in annual labor costs by mid-January.

ALPA declined to give additional details on the agreement, but the company said the bulk of the savings will come from changes to the labor agreement with the pilots.

The agreement specifies, among other provisions, that UAL would issue USD$550 million in convertible notes to the union once the airline emerges from bankruptcy.

UAL has asked Wedoff to let the carrier end its collective bargaining agreements with its labor unions if it fails to extract the additional USD$725 million in annual savings by this month.

UAL also has tentative deals with two smaller unions: the Professional Airline Flight Control Association and the Transport Workers Union.

Last week, United's flight attendants authorized their union to call intermittent strikes if the carrier terminates their collective bargaining agreement.

The pension issue could be key to the court debate over the pilots' agreement, an analyst said.

"It's going to come down to a face-off between the PBGC (the Pension Benefit Guaranty Corporation) and the company over the provision of a replacement pension plan," said Robert Mann, an airline industry analyst.

The PBGC has filed a motion in US District Court asking for permission to take over the pilots' retirement plan, which is underfunded by USD$2.9 billion.

In a separate filing, the PBGC said the letter of agreement between UAL and ALPA attempts to establish the framework for many details of the future plan of reorganization.

"In doing so, they seriously infringe the rights of creditors and employee groups who are not parties to the agreement," PBGC said in its court filing.

Wedoff will hear arguments on the need for scrapping the agreements with the unions starting on Friday.

United's witness list filed with the court includes Chief Executive Glenn Tilton, who may testify as early as Friday, according to a United spokeswoman.

Also on Thursday, Wedoff approved an uncontested motion by United asking for permission to cut temporarily the wages of the members of the International Association of Machinists and Aerospace Workers by 11.5 percent, while the union and UAL negotiate a permanent amendment to their contract.

(Reuters)

[Isan]

January 7, 2005

A federal bankruptcy judge on Friday rejected an agreement between United Airlines and its pilots union, saying it "unfairly tilted the bankruptcy process" in favor of the pilots.

The five year deal would have cut the pilots' wages by 14 percent, providing the bankrupt carrier with USD$180 million in annual labor savings. It also would have allowed UAL, parent of United, to toss out the pilots' traditional pension plans.

Members of the Air Line Pilots Association ratified the deal on Thursday by a vast majority. However, Judge Eugene Wedoff said certain caveats of the agreement gave the pilots undue leverage over the bankruptcy process.

"I come to this decision with extraordinary reluctance. I recognize the realities of give and take in the bargaining process," Wedoff said in court.

The rejected agreement had called for UAL to issue USD$550 million in convertible notes to the pilots once it emerged from bankruptcy.

Chief among Wedoff's concerns about the deal was a stipulation that the agreement may be terminated if United fails to end the pension plans of its other unions.

The deal also said that if the pilots' agreement was terminated, UAL must pay them about USD$28 million a month for the duration of its bankruptcy.

The ruling sends UAL and ALPA back to the bargaining table to hammer out a new deal.

"While we intend to meet with the company over the next few days to explore the consequences of the judge's decision, there can be no assurance that the parties will reach another settlement," the ALPA said in a statement.

Any further agreements with United on the matter must be approved by ALPA's full United Master Executive Council and, most likely, to an additional membership ratification vote, the statement said.

United has been under Chapter 11 protection for more than two years, clobbered recently by soaring fuel prices, weak revenue and competition from low-cost rivals.

"We are disappointed that United's agreement with ALPA was not approved by the court," UAL spokeswoman Jean Medina said. "We believe the agreement we forged with the union was fair and equitable and in the best interest of the estate."

The carrier has asked Wedoff for permission to end its collective bargaining agreements with its labor unions if it fails to achieve USD$725 million in annual savings from its work force by January. That amount is on top of USD$2.56 billion in concessions the unions have already provided.

United has yet to reach deals with all of its major unions, including the one representing its flight attendants. The flight attendants union has threatened intermittent strikes if their collective bargaining agreement is terminated.

The carrier has tentative agreements with two smaller unions: the Professional Airline Flight Control Association and the Transport Workers Union.

A trial on the matter was scheduled to begin later on Friday. United's witness list filed with the court includes Chief Executive Glenn Tilton, who may testify as early as Friday.

(Reuters)

[Isan]

January 9, 2005

United Airlines parent UAL said it has reached a tentative agreement with its flight attendants' union as the airline seeks additional cost cuts to dig itself out of bankruptcy.

However, the announcement of a tentative deal with the Association of Flight Attendants left pension issues unresolved, the airline said.

United said it will work with the Association of Flight Attendants to resolve pension issues over the next 90 days.

The flight attendants union said on Saturday it "continues to forcefully oppose the elimination of the flight attendants' pension plan."

The flight attendants union, which has 21,000 of its 46,000 members employed at United, said its master executive council will meet in Chicago on Tuesday to discuss the agreement with the airline.

United has been under bankruptcy protection since December 2002 and is seeking to cut USD$725 million in annual labor costs by mid-January.

A judge on Friday rejected a USD$180 million concession agreement between the airline and its pilots' union while United announced it had reach a tentative deal with its mechanics.

(Reuters)

[SkylineTurbo]

United Airlines is one of the worst hit airlines this centuary, with 9/11 being the threshold, we then see a huge fall in passenger numbers, they are losing even more money now because of the rising oil prices, also resulted in suspending a few airline routes and allowing codeshares with other partner airlines.

[Isan]

HANOI, Vietnam (Reuters) -- United Airlines, the first U.S. carrier to operate a service between the United States and Vietnam since the end of the war in 1975, said it expects annual passenger traffic growth of 12 percent.

"Business has been better than expected," Joe Mannix, United's Vietnam country manager, said a month after the carrier launched its service between San Francisco and Ho Chi Minh City.

"We expect growth in the realm of 12 percent per year in Vietnam," he told a news conference.

Mannix declined to say how many passengers United expected to carry on the route this year.

There are an estimated 1.5 million Vietnamese in the United States, most of whom live on the West coast and state media said on Wednesday around 120,000 overseas Vietnamese were expected to visit during the Lunar New Year festival in February.http://i.a.cnn.net/cnn/2005/TRAVEL/01/12/bt.united.vietnam.reut/story.united.ap.jpg

[Isan]

Ha Noi, Jan. 12 (VNA) - US carrier United Airlines officially opened its second representative office in Viet Nam on Wednesday since the first opened in Ho Chi Minh City last November.

United Airlines has resumed its direct air route to Viet Nam after a 30-year interruption with its first flight connecting San Francisco and Ho Chi Minh City on Dec. 9, 2004.

At the inauguration ceremony, Mark Russell, UA Executive Director for the south Pacific Region said the opening of the Ha Noi rep. office was part of UA's commitment to providing high-quality aviation services to Vietnamese customers and contributing to Viet Nam's economic growth.

UA Viet Nam Director Joe Mannix expressed his hope that travel demand from Viet Nam to the US will increase in the near future in proportion as Viet Nam is integrating into the global economy.

With this Ha Noi rep. office, UA can offer effective and varied services to passengers in the whole northern region, Joe said.

For this occasion, UA launched a special discount programme, offering Ha Noi-US return fares for 900 USD.-Enditem

[Isan]

United Airlines is nearly doubling the capacity of its nonstop flights between Austin and San Francisco.

Effective April 3, United will switch from 64-seat jets to 120-seat jets for the Austin-San Francisco flights.

United began the nonstop service last Feb. 27. Flights from Austin-Bergstrom International Airport to San Francisco International Airport leave at 8 a.m. and arrive at 9:58 a.m. The return flight leaves San Francisco at 10:39 a.m. and arrives in Austin at 4:05 p.m.

United Airlines, the world's second largest carrier, is the primary business of Elk Grove Township, Ill.-based UAL Corp. (OTC BB: UALAQ).

[Isan]

United Express, the regional jet brand of United Airlines, will introduce new daily nonstop service between San Antonio International Airport and San Francisco and Los Angeles.

Chicago-based United Airlines (OTCB: UALAQ) will offer the flights through SkyWest Airlines with two regional jets with six first class seats, 32 economy seats and 28 economy plus seats.

The new flights will begin on April 3. The San Antonio to San Francisco flight will depart Texas at 8 a.m. and arrive at 9:56 a.m. The return flight will leave California at 11:30 a.m. and touch back down at 4:58 p.m.

The San Antonio to Los Angeles flight will depart the Alamo City at 4:05 p.m. and arrive at 5:12 p.m. It will leave L.A. at 6:10 p.m. and reach San Antonio International at 11:01 p.m.

"Our new United Express service increases options for customers traveling from San Antonio to the West Coast, and both flights provide key access to all of our West Coast, Hawaii and Asia-Pacific destinations," says United Express Vice President Sean Donohue, "We currently offer our customers flights from San Antonio to Chicago O'Hare and Denver, and we are pleased to expand service between this popular destination city and our West Coast hubs."

[Isan]

United Airlines, which already flies to China more often than any other U.S. air carrier, says it will add three more weekly nonstops between Chicago and Hong Kong starting in June, for a total of 10 a week.

"As the only U.S. carrier with nonstop Chicago-Hong Kong service, we have seen increased customer demand for this service during the past 18 months," said Mark Schwab, vice president of United's Asia-Pacific operations.

The increased flight frequencies will add up to 50 tons of extra cargo space nonstop to Hong Kong. United will operate this combined passenger and cargo service using a Boeing 747-400.

UAL is also seeking approval to fly between San Francisco and Guangzhou beginning this spring. There are only a few spare flight slots to China, and both Hawaiian Airlines and North American Airlines have also filed to fly to China.

United in 2004 added new daily nonstop flights between Chicago and Osaka; Chicago and Shanghai; and San Francisco and Beijing, and in December resumed service to Vietnam, the first U.S. airline to fly scheduled service there in decades.

[Isan]

Jeff Foland has been named the new vice president of North America sales at United Airlines, UAL Corp. said Monday.

Foland's appointment will become effective Feb. 1. He is joining Los Angeles International Airport's largest carrier from sales and marketing consulting firm, ZS Associates.

At United, Foland will oversee United's sales transformation strategy along with leading the North America Sales organization. He will be based at the company's Chicago headquarters and report to Graham Atkinson, United's senior vice president of worldwide sales.

United Airlines, a unit of UAL (OTCBB: UALAQ), filed for bankruptcy protection in Dec. 2002. It was the largest Chapter 11 filing in aviation history.

[Isan]

January 18, 2005

Leaders of the union representing pilots at bankrupt United Airlines accepted a revised concession agreement with the airline on Tuesday, and unanimously recommended its ratification.

The Air Line Pilots Association said balloting among the carrier's 6,400 pilots will begin on Thursday and will end January 31.

Leaders of the union's executive committee decided to accept terms of a new deal rather than challenge a judge's decision in Chicago on January 7 to throw out the previous agreement worth USD$180 million in givebacks.

Bankruptcy Judge Eugene Wedoff objected to pension and other provisions in the old deal that he said gave pilots unfair leverage over the bankruptcy process.

Total savings and terms of the new agreement were not disclosed.

(Reuters)

[Isan]

WASHINGTON, Jan 19 (Reuters) - The revised contract agreement between bankrupt United Airlines (UALAQ.OB: Quote, Profile, Research) and its pilots calls for an 11.8 percent pay cut in 2005 and a guarantee the labor group will not object to the elimination of its pension plan under certain conditions.

But the Air Line Pilots Association threw out the most contentious pension provisions that prompted a Chicago bankruptcy judge to reject the original agreement nearly two weeks ago, according to a copy of the deal provided by the union.

The new agreement leaves unchanged the $180 million in annual savings the airline sought from the pilot group as part of its drive to cut labor costs by $725 million by the end of the month.

The airline's 6,400 pilots will begin voting on the proposed concession package on Thursday. The vote will run through Jan. 31. The union's executive board urged ratification.

The pilots will take an 11.8 percent pay cut, down from 14 percent in the original concession package.

For the first year of the new wage deal, the most senior pilot flying the biggest aircraft, a Boeing 747 or a 777, will make $178 per hour. The most junior officer on all aircraft types will make an hourly wage of $31.

Wages will increase by 1.5 percent yearly between 2006-2009.

On pensions, the union agreed that, under certain conditions, it would not oppose company plans to terminate its long-standing defined benefit plan and replace it with a less generous one. The new caveats mainly cover the timing of any plan termination.

The pilots dropped key pension provisions that prompted bankruptcy Judge Eugene Wedoff to throw out the concession deal on Jan. 7. Among other things, Wedoff opposed a provision that would have nullified the giveback agreement if the pilots' pension plan was eliminated and those covering other unions were not.

But the new deal retained a controversial enhancement that would require the company to issue $550 million in convertible notes to help offset pension losses.

[skynet126]

American airlines can't compete with asian airlines as long as the oil prices stay above 45 dollars a barrel.

[SkylineTurbo]

United Airlines new colours look great.

[Isan]

Air New Zealand is code-sharing on United Airlines’ new services from Hong Kong to Ho Chi Minh City.

The United flights will connect with Air NZ’s daily services between Auckland and Hong Kong.

The Star Alliance carriers said the code-sharing deal marked the first time Air NZ flight numbers have been available to and from the Vietnamese market.

United began serving Vietnam last month with Boeing 747-400s, making it the first US carrier to serve the country since the Vietnam war.

In 2003 New Zealand and Vietnam signed an air services agreement allowing their airlines to code-share on partner carriers’ flights to the other’s country.



25 January 2005

[Isan]

January 28, 2005

The union representing mechanics at United Airlines on Friday said its members overwhelmingly rejected proposed wage and benefit cuts and voted to call a strike if the court alters the current contract.

The Aircraft Mechanics Fraternal Association said in a statement that members rejected a tentative agreement that would have reduced their wages and benefits. The rejection puts a fresh obstacle in the carrier's plans to exit bankruptcy.

Its members also voted in favor of calling for a labor strike if the court changes the conditions of the existing labor agreement, reached in 2003, which already contains concessions. United said it would try to terminate the mechanics' current labor contract.

"We're disappointed that membership did not ratify the agreement," UAL spokeswoman Jean Medina said. "Regretfully, we will be seeking to reject the current contract to achieve the savings we need."

UAL could ask for bankruptcy court permission at a hearing scheduled for Monday to end the contract.

The union's rejection of the deal, and especially the vote to call for a strike, augured poorly for the battered UAL, one analyst said.

"This harkens back to the demise of Eastern Airlines in the early '90s," said Stuart Klaskin of KKC Aviation Consulting, who called the AMFA's move "suicidal."

"A strike while in bankruptcy is an absolute death blow to a company," Klaskin said. "I just get the impression that the unions at UAL really do not grasp how tenuous the situation is."

United, which has been under Chapter 11 protection since December 2002, has said it needs an additional USD$725 million in annual labor savings to exit bankruptcy. Labor groups have already approved USD$2.56 billion in concessions to help the carrier restructure.

The airline industry has been hammered by soaring fuel costs, low revenue and competition from low-cost carriers.

The rejected five year deal would have cut overall wages and benefits by 18.3 percent annually, AMFA spokesman Dave Quinn said. Such a cut would put the mechanics' pay well below the national average for US workers with comparable skill sets, he added.

"AMFA is now preparing to go before Bankruptcy Judge Eugene Wedoff to present our proposals that we believe will provide significant saving for United without continuing to cut pay and benefits," AMFA National Director OV Delle-Femine said in a statement.

The union, which represents more than 7,000 UAL mechanics and related personnel, said its members have no faith in United's ability to return the company to profitability.

The AMFA rejection leaves United with tentative deals with only four of the six unions from whom it needs to win concessions. UAL's pilots and flight attendant unions are set to conclude votes on their agreements on Monday. United and the unions are negotiating pension issues separately.

United also has an agreement on a temporary 11.5 percent wage cut for members of the International Association of Machinists and Aerospace Workers.

Judge Wedoff said in open court last week that he likely would approve the deals upon union ratification.

If the company fails to reach permanent deals with its unions on concessions, the airline hopes to void their collective bargaining deals. Wedoff scheduled a trial on the matter for May. UAL narrowly avoided a January trial on the labor pacts when it reached last-minute tentative agreements with its flight attendants and mechanics.

(Reuters)

[Isan]

Created: 1/30/2005 7:05 PM MST - Updated: 1/30/2005 7:09 PM MST


DENVER - A mechanic for United Airlines was killed Sunday afternoon as he tried to depressurize a large fire extinguisher at Denver International Airport.

The accident happened in one of United's maintenance hangars. According to Denver Police Detective Virginia Lopez, the pressure released from the extinguisher very rapidly and the large metal cylinder shot into the air "like a cannon ball". The mechanic died from the impact.

United Spokesman Jeff Green says the mechanic had worked for United since 1984. "It is a tragic incident and our hearts and prayers are with the employee's family and friends," Green said.

The mechanic's name has not been released.

[hkskyline]

CEO: United Would Go to Trial Over Labor
Feb. 1, 2005

CHICAGO (AP) - United Airlines is prepared to go to trial if it cannot reach agreements with mechanics and baggage handlers so it can emerge from its long bankruptcy, CEO Glenn Tilton said Tuesday.

Tilton's comments in a recorded message to employees came after a bankruptcy court judge on Monday granted United's request to temporarily cut mechanics' pay by 10 percent while the two sides resume talks. Members of the Aircraft Mechanics Fraternal Association last week rejected a long-term deal agreed on by negotiators that would have reduced benefits and cut pay 5 percent.

The baggage handlers, ramp workers and reservation agents represented by the International Association of Machinists and Aerospace Workers are operating under a temporary 11.5 percent pay cut, while the union continues to talk with United. Their deal expires in April.

"If we cannot reach ratifiable agreements on permanent cost savings with AMFA and the IAM, we will then go to trial," Tilton said. "This is the hard work that we have to do."

AMFA and IAM spokesmen said they weren't surprised by Tilton's comments.

"That's pretty much been their position for some time," said AMFA spokesman Richard Turk. IAM spokesman Joseph Tiberi said his union feels that "our pension is our No. 1 priority."

United's flight attendants and pilots ratified new contracts Monday. The Air Line Pilots Association (news - web sites) contract includes an 11.8 percent pay cut. The Association of Flight Attendants agreed to have their wages reduced 9.5 percent.

United, a unit of Elk Grove Village, Ill.-based UAL Corp., is trying to rework labor contracts with each of its six unions in a bid to save an additional $725 million in annual operating expenses, which the carrier says is critical to its planned exit from Chapter 11 bankruptcy. The unions already agreed to a combined $2.5 billion in concessions two years ago.

United filed for court protection in December 2002.

[Isan]

United Airlines appoints Dennis Cary Senior Vice President-Marketing

5 February 2005


United Airlines has appointed Dennis Cary as Senior Vice President of Marketing. In his new role, Cary is responsible for the development of marketing strategies and the implementation of marketing programs, including United's award-winning Mileage Plus® program. In addition, Cary will lead United's product development, customer research and united.com efforts.

"Dennis has exceptional problem-solving skills, a strong grasp of the issues we face and, even more importantly, he has a relentless focus on the customer and on ensuring that we deliver the right products, at the right time, at the right price," said John Tague, United's executive vice president-Marketing, Sales and Revenue.

Most recently, Cary served as United's vice president of Revenue Management, where he was responsible for pricing, inventory management, Global Distribution System (GDS) management and revenue forecasting.

Prior to joining United, Cary was president of American Airlines' AAdvantage® Marketing Programs. He joined American in 1991 and held various positions in that airline's planning and marketing groups, including head of Marketing and Sales in Europe, the Middle East and Africa.

Cary succeeds Martin White, who is leaving United to pursue other opportunities.

"During Martin White's time at United, he made a significant contribution to our marketing efforts, and we wish him well in the next phase of his career," Tague said.

[Isan]

http://a56.g.akamai.net/7/56/7207/1726fc69ee7005/www.united.com/images/ual_logo_home.gif

Steamboat & United Airlines Extend Kids Fly Free to Include Feb. 23-Mar. 17

February 9, 2005 - 9:08 PM

STEAMBOAT SPRINGS, Colorado — With more than 12.5 feet of Champagne Powder® snow already on the slopes and Colorado's snowiest months still ahead, now is the time for friends and family to get away for a winter vacation to Steamboat while taking advantage of the resort's extended Kids Fly Free on United Airlines from February 23rd through March 17, 2005.

"Steamboat's continued commitment as a family resort is evident through the expanded Kids Fly Free program with United Airlines for this popular spring time frame," said Andy Wirth, vice president of sales & marketing for the Steamboat Ski & Resort Corporation. "This expanded Kids Fly Free program, along with the resort's other industry innovative programs such as Steamboat MountainWatch, Kids Ski Free, top-notch ski and snowboard school and nationally recognized Kids' Vacation Center; has truly established Steamboat as the leader in the industry for family programs and services and the leading destination for winter family vacations."

Steamboat's Kids Fly FREE Program, which is currently valid through Feb. 17th and now expanded to include Feb. 23-March 17th, allows one child (12 & under) to fly FREE when a parent purchases a minimum two nights lodging, lift tickets and round-trip air on United Airlines. The program is available for travel into Hayden/Steamboat Sunday-Thursday and out of Hayden/Steamboat from Monday-Friday. The Kids Fly Free offer can be combined with other Steamboat Central Reservations® special discounted packages such as Winter Escape Packages, Kids Ski Free™ and Snowsavers. The Kids Fly Free offer on United Airlines is currently available for booking through Steamboat Central Reservations® at 1-800-922-2722. Current package information may be found at www.steamboat.com/packages.

Steamboat/Hayden (HDN) Airport is just 22 miles/35kms from the ski area. First and last impressions of Steamboat, the most conveniently accessed ski resort in the Rocky Mountains, continues to be enhanced dramatically as significant improvements take place to the Yampa Valley Regional Airport during a multi-million, three-phase improvement project. Phase I, completed in 2003, included a 4,300-square-foot ticket counter expansion and a new and updated exterior appearance for the facility that tied all architectural elements together. Planned future improvements for Phase II, starting construction April 15, 2005, include: a new ticketing wing, expanded gate areas and curbside check-in, road realignment, new jet apron and de-icing pad. For Phase III, scheduled improvements are remodeled passenger and baggage claim areas and parking lot upgrades.

United Airlines, which has provided nonstop service into Steamboat since 1994, will operate one 737 nonstop daily jet, three BAE-146 jets and four Dash-8 turboprop flights from Denver into the Yampa Valley Regional Airport during Steamboat's extended Kid Fly Free Program.

United Airlines, the second largest air carrier in the world, and United Express operate more than 3,300 flights a day on a route network that spans the globe. With hubs in Chicago, Denver, Los Angeles, San Francisco and Washington, D.C., and key international gateways in Tokyo, London, Frankfurt, Miami and Toronto, United flies to 117 destinations in 26 countries. United's customers also enjoy access to more than 729 destinations around the world through Star Alliance, the leading global airline network.

Famous for its authentic western atmosphere, friendly locals, variety of terrain and Champagne Powder® snow, Steamboat-Ski Town USA® now encompasses 164 trails, 3,668 vertical feet, and nearly 3,000 skiable acres with six peaks filled with world-class groomed cruisers, bumps, steeps, open meadows, legendary trees, Mavericks-North America's longest superpipe in North America and the 11.8 acre SOBE Terrain Parkhttp://www.steamboat.com/images/int/mastheads/mastPhoto_vacationPlanning.jpg

[Isan]

United Airlines recalls 150 pilots

Thursday 10th February, 2005 (UPI)

Chicago-based United Airlines, the nation's second-largest air carrier, is recalling 150 furloughed pilots to replace pilots expected to retire this year.

United plans to bring back 75 pilots this spring and recall another 75 later in the year, the airline said in a statement.

We are pleased to welcome back these 150 pilots to the line, said Steve Forte, senior vice president of flight operations. This recall will allow us to maintain the strong on-time performance that we provided our customers in 2004.

United expects to exit from two years of federal Chapter 11 bankruptcy protection this summer and has increased the number of its profitable international routes, while seeking $725 million in labor cost savings.

United reached concessions contracts with the pilots union and flight attendants last month.

United's 6,400 pilots are represented by the Air Line Pilots Association.

[Isan]

United Offers Special Fares and Double Miles to Celebrate New Nagoya Service

Go to (http://www.skyscrapercity.com/showthread.php?p=3300418#post3300418)

[FM 2258]

The New Livery is perfect for United. The grey one was Ugly.

[Isan]

United Airlines expands Service to Munich
16 February 2005


United is to launch a daily nonstop flight between Chicago O’Hare and Munich, beginning June 7, 2005. This new service is in addition to United's existing daily Washington Dulles-Munich service. United's new flight, already open for sale, complements the Chicago-Munich code-share flight currently operated by Star Alliance partner Lufthansa.

"We are pleased to carry customers from Chicago directly to one of Germany's main business centers and top tourist destinations," said Michael Whitaker, United's vice president of Alliances, International and Regulatory Affairs. "In Munich, travelers experience a city with a unique blend of modern cosmopolitan style and historic Bavarian attractions. The new service is just in time for the busy summer travel season, offering our customers another convenient nonstop flight to Europe. It also further strengthens our alliance network with Lufthansa."

Customers who book summer travel on United between Chicago O'Hare and Munich can earn Mileage Plus® bonus miles when they purchase and fly a qualifying roundtrip on the route. Earn 10,000 bonus miles in United First®, 5,000 miles in United Business®, or 2,500 miles in United Economy® with purchase between Feb. 15 and Aug. 31, 2005, for travel between June 7 and Aug. 31, 2005. Customers must register for the special bonus miles offer online at United's website.

Flight 906 departs Chicago O’Hare at 5:50 p.m. and arrives in Munich at 9:50 a.m. the next day. Flight 907 departs from Munich at 3:20 p.m. with an arrival time in Chicago of 6:15 p.m. the same day. United will operate the flights with a Boeing 767 aircraft that seats 193 passengers - 10 in First, 32 in Business and 151 in Economy, including 71 in Economy Plus.

[Isan]

United Airlines CEO says carriers must consolidate

By Eric Torbenson
The Dallas Morning News


Bankrupt for two years, United Airlines has a new role in mind if it can reorganize: Industry consolidator.

Taking cues from the telecommunications industry, the money-bleeding airline business needs to consolidate to regain its health, Glenn Tilton, United chairman and chief executive, told investors in New York yesterday.

Look for his carrier to act, he said.

"For the industry to get to a position where it can genuinely make some progress through the current level of dysfunctionality, there need to be fewer network legacy carriers," he said at the JP Morgan Airline Conference. "Just as telecom is plagued with overcapacity and commoditization, so is the airline industry, which must follow and consolidate."

United lost $1.6 billion in 2004.

But it's primed to be an acquirer because it has the best assets and will have used the bankruptcy process to strengthen its finances for mergers, Tilton said.

"The perception of what's possible in the industry from two years ago has changed," he said. "Two years ago ... you would have not thought possible what we have already done."

For a carrier struggling to attract financing to exit bankruptcy, talk of buying out competitors may have seemed audacious. But for an industry in such peril, all kinds of different approaches are being broached.

Still, analysts such as Jamie Baker with the conference's host, JP Morgan, questioned whether the industry's problems would be solved through mergers.
Click to learn more...
He argued that previous deals haven't lowered costs or eliminated excess capacity. And United's previous attempt at buying US Airways in 2000 was a "massive distraction."

Federal regulators nixed that effort because of antitrust concerns.

Many barriers remain to airline mergers, according to other industry executives, including Gerard Arpey, chairman and chief executive officer of American Airlines.

"Given what industry has been through since 9/11, there is very little balance-sheet strength left and it takes a lot of money to successfully integrate two complex large organizations," he said.

"I think you could argue that the government barrier [to airline mergers] might be lower, but I think the financial barrier might be higher."

American was the last major carrier to merge with another airline, buying the assets of bankrupt Trans World Airlines in 2001 in a move that has paid few dividends in a deep industrywide slump.

"I can definitely comment to you that it's real hard," he added.

Still, regulatory hurdles may be lower because of the rise of low-cost, low-fare carriers, which have stripped traditional network carriers of their pricing power, Tilton said.

The bigger problem has been blending labor unions together, which causes fierce seniority wars and savages morale.

With United poised to terminate all of its pension plans, unions are becoming "more and more aware of the realities" of the industry's dire economics, Tilton said.

Analysts agree unions have lost their ability to dictate wages and working conditions.

"We think unions must acknowledge that there aren't any more golden eggs to squeeze out of the airlines," said Ray Neidl of Calyon Securities in a recent research report.

The last obstacle, integrating different computer systems, facilities and aircraft fleets, "is just work," said Tilton, whose background is in the oil industry. "I think there are synergies to be had."

Copyright © 2005 The Seattle Times Company

[Isan]

United extends bankruptcy exit again

February 19, 2005

BY DAVE CARPENTER



United Airlines has pushed back its targeted exit from bankruptcy from this summer until fall, ensuring that its complex restructuring will now last close to three years -- twice as long as anticipated.

The latest delay was formally acknowledged Friday when a U.S. bankruptcy court judge approved an agreement between United and its lenders that extends its temporary financing by three months until Sept. 30.

The new loan from JPMorgan Chase & Co., Citigroup, CIT Group and GE Capital eases some terms for United, including reducing interest rates, waiving the January monthly earnings benchmark that it missed and lowering its minimum cash requirement to $600 million from $750 million.

The improved terms represent a vote of confidence for United even though it continues to be unprofitable after 26 months in bankruptcy, reporting a widened fourth-quarter loss of $664 million and a $1.6 billion deficit for 2004.

''The changes to the financing agreement reflect our belief that United has made significant progress to date in lowering its costs and executing on its business plan,'' said Bill Repko, managing director at J.P.Morgan Chase.

But United still is confronted with daunting challenges to emerge from Chapter 11, which it entered in December 2002 with expectations of an 18-month restructuring.

A May 11 trial looms on its plan to eliminate traditional pensions unless consensual deals are worked out.

Chief financial officer Jake Brace cited the ongoing pension deliberations as the reason for pushing back the bankruptcy exit.

AP

[Isan]

Computer glitch at United slows all-star departures

By Kelly Yamanouchi
Denver Post Staff Writer

A computer glitch led to delays on 52 United Airlines flights Monday from Denver International Airport - as well as long lines at ticket counters.

The computer problem hit as some people were trying to get out of Denver after Sunday's NBA All-Star Game. Many flights from Denver were full, United spokesman Jeff Green said.

The problem, which was attributed to a failed server connection, delayed about 165 flights nationwide, Green said.

At DIA's United ticket counters, travelers encountered "considerable backups and long lines," airport spokesman Steve Snyder said. Lines were back to normal by about noon.

United's Apollo reservations and check-in system was out of service for 45 minutes Monday morning. The system was back up and running by about 9:30 a.m., Green said.

Grant W. Johnson, who came to Denver from Brooklyn, N.Y., for the basketball game, said he went to the airport early because he heard there were long lines.

By the time he got to the airport Monday afternoon, the lines were minimal and his flight appeared to be on schedule.

"It seems like they took care of the problem," Johnson said.

Green said no flights were canceled as a result of the problem and travelers were able to get out of Denver.

Flights delayed as a result of the computer problem were anywhere from a minute to 98 minutes late, with an average delay of 25 minutes, Green said. The 98-minute delay was on a Chicago-to-Minneapolis flight.

Except for the worst delays, much of the time could be made up in the air, Green said.

Heidi Carey, who flew into Denver from New York on Monday for a ski trip, said her flight was 45 minutes late, but she wasn't concerned because she initially was afraid she might not even be able to fly out of New York because of a snowstorm.

"We're not in a big hurry," Carey said. "As long as we can go skiing tomorrow."

Lynette Asperin, whose husband's flight from San Diego to Denver was an hour and 15 minutes late, said she's become accustomed to late flights.

"I mean, what are you going to do?" Asperin asked. "I fly a lot. Delays - oh, well."

United, the largest carrier at DIA, has about 215 flights out of Denver daily. The carrier first activated its Apollo "new- technology reservations system" in 1971, according to a company timeline.

[Isan]

United To Expand Service In Asia
February 23, 2005

United Airlines on Wednesday said it would expand its service in Asia, adding new flights between Nagoya and Taipei.

United said it also would expand service between Chicago and Hong Kong and upgrade to larger aircraft on its Chicago-Beijing summer service.

The carrier, which has been in bankruptcy since December 2002, said demand for passenger and cargo service to the region has increased significantly over the last few months.

The new and upgraded services will begin in April, the airline said in a statement. The added flights, new routes and bigger aircraft are part of United's strategy to expand its international service.

Major US airlines, facing intense competition from low-cost carriers within the United States, are shifting their focus to international routes in search of profits.

Continental Airlines and American Airlines on Tuesday won tentative US government approval to offer flights to China, the first such award for direct passenger service in two decades.

United and Northwest Airlines are the only other US passenger carriers offering service to China.

(Reuters)

[hkskyline]

United's Ted Expanding Its Fleet And Service
3 March 2005

CHICAGO (AP)--United Airlines' discount carrier Ted plans to expand its fleet by 20% this year and fly more often to leisure-travel markets, after what it says was a successful first year in operation.

Ted will increase its fleet of Airbus 320 aircraft from 47 to 56 and add flights later this year out of Denver, Washington-Dulles and Chicago to markets in Florida, Mexico and the Caribbean, the carrier told employees Wednesday.

The increased service represents a shift of resources within United and Ted, not an addition of new aircraft. The additional planes will be taken from United's mainline service and converted to Ted's configuration, the company said.

Both carriers are operated by parent UAL Corp. (UALAQ), which filed for bankruptcy protection in December 2002.

"Ted has met or exceeded all of our expectations," vice president Sean Donohue said in an employee newsletter. "Given Ted's consistently high customer satisfaction ratings and the strong margin improvement we've seen on Ted routes, now is the right time to increase our service into certain leisure markets that show strong customer demand."

Ted charges lower fares on certain routes where it goes head-to-head against other discount carriers. It began service out of its Denver hub on Feb. 12, 2004, in a challenge to low-fare carriers such as Denver-based Frontier Airlines Inc. (FRNT) that had been taking away United customers.

The company said Ted carried more than 7 million passengers in its first year, with planes averaging more than 80% full. It currently operates more than 200 flights a day to 16 destinations.

Besides lower fares and its own planes - all 156-seat Airbus 320s - Ted offers its own onboard entertainment, dubbed "Tedevision" and "Tedtunes."

[Isan]

March 24, 2005

Recent air fare increases by major US airlines to combat soaring fuel prices seem to have staying power despite faltering on Monday, the chief executive of United Airlines said on Thursday.

Glenn Tilton, in a phone message to employees, said United has had some success in improving unit revenue and increasing fares.

"It appears that after some tentativeness in the marketplace, the latest fare increase may well stick," Tilton said. "The pricing can, and certainly must, improve."

Several major airlines raised fares by USD$5 on one-way domestic flights last week, following the lead of Continental Airlines. Fares have been creeping higher since February.

Carriers, including Continental, rescinded the fare hikes on Monday, fearing that higher fares would scare off customers. The roll-back, however, proved temporary in most cases, when airlines began nudging fares up again.

A UAL spokeswoman said the airline raised fares on most domestic routes late last week, rescinded the hikes on Monday and reinstated them on Tuesday.

The airline industry has been battered by soaring fuel costs and weak revenue. Historically, airlines faced with high fuel prices could raise fares to pass the expense on to customers. But fierce competition from lower-cost rivals has kept ticket prices depressed, causing airlines to lose money.

United has been in bankruptcy since 2002, struggling to reorganize itself into a leaner company that is better equipped to deal with industry challenges such as fuel prices and low-cost rivals.

Also on Thursday, United reported an operating loss of USD$179 million for the month of February, and a net loss of USD$291 million, as high fuel costs continued to batter the carrier.

The airline said mainline passenger revenue fell 3 percent from a year earlier. Unit costs rose 3 percent overall, while costs excluding fuel fell 4 percent, it said.

UAL ended the month with a cash balance of USD$2.2 billion, including USD$870 million in restricted cash. The cash balance increased USD$183 million in February, driven by strong bookings and was ahead of plan.

United is trying to achieve USD$725 million in annual labor savings in its effort to exit Chapter 11 protection.

Chief Financial officer Jake Brace said in a statement that the carrier still needs to terminate and replace its defined benefit pension plans. "Our goal remains to reach agreement with our unions on this issue and avoid a costly, time-consuming trial currently set to begin May 11, but there is much work left to do," Brace said.

(Reuters)

[Isan]

United begins Nonstop Service between San Francisco and Nagoya, Japan
24 March 2005


United Airlines is to begin nonstop daily service on Saturday, March 26, from San Francisco International Airport to the new Central Japan International Airport near Nagoya, Japan.

“United’s new Nagoya service begins just in time to bring travelers to the 2005 World Exposition Aichi, near Nagoya,” said Graham Atkinson, United’s senior vice president of Worldwide Sales and Alliances. “It also is the most efficient service for business travelers to move between the western half of the United States and the industrial center of Japan. For travelers in Nagoya bound for points throughout the United States, the new and efficient San Francisco international terminal is the ideal U.S. starting point for connections.”

The Consul General of Japan in San Francisco Mr. Makoto Yamanaka said, “I am delighted to witness the inauguration of direct trans-Pacific flights on United Airlines between San Francisco and Nagoya, located in the heart of Japan. I hope many people will take advantage of this new route to visit Japan and enjoy the 2005 World Expo in Aichi Prefecture.”

United Flight 831 will depart San Francisco at 11:55 a.m. on March 26, 2005, and arrive in Nagoya the following day at 4:40 p.m. From Nagoya, Flight 830 will depart at 3:55 p.m. on March 28, and arrive in San Francisco the same day at 8:25 a.m. (flight times are subject to change). United will operate the combined passenger and cargo flights with a Boeing 777 aircraft that seats 258 passengers: 12 in United First, 49 in United Business and 197 in United Economy, including more than 80 Economy Plus seats.

[Isan]

United CEO Sees Big Opportunities In Asia
April 1, 2005

United Airlines, struggling to regain financial stability, is setting its sights on new Asian routes where economic growth is fueling passenger demand, United's chief executive said on Friday.

United must continue to bolster its position as a global airline, shifting US domestic capacity to international routes, said Glenn Tilton, in a recorded message to employees.

United has been focusing on international expansion as a means to exit Chapter 11 bankruptcy protection. The carrier has four daily nonstop flights from the United States to China and is eager to establish more.

"In particular, we see great opportunities for United in the Asia Pacific market," Tilton said, noting growth in foreign investment and the number of affluent consumers in the region.

"As the middle class and their disposable income continue to grow in Asia, more and more people in this market are traveling to the United States," Tilton said.

In March, Continental Airlines won US government approval to offer flights to China. America Airlines said on Friday that it too has final government approval to establish routes to China. Northwest Airlines is the only other US passenger carriers offering service to China.

American and Delta Air Lines code-share with Chinese carriers on trans-Pacific flights.

Mark Schwab, UAL's vice president for the Pacific region, said in the recorded message that United is the largest US carrier in China and a major player in Hong Kong and Japan.

Visitors to the United States from China alone are forecast to grow at almost 10 percent this year, after growing 15 percent in 2004, Schwab said.

United, battered with the rest of the airline industry by soaring fuel costs and low-fare competition, has been in bankruptcy since December 2002.

That low-fare competition has caused major US airlines to shift their focus to international routes where competition is less intense.

International flights are largely the domain of the largest carriers that tend to shoulder higher operating costs than their smaller discount rivals, like JetBlue Airways and ATA, which fly mostly within the United States.

While long-haul flights use more fuel, they are more efficient as planes have fewer take-off and landing cycles that require maintenance. They also offer more perks for which travelers are still willing to pay a premium.

(Reuters)

[Isan]

United Airlines engine catches fire at Denver airport
April 2, 2005, 3:56 AM EST

DENVER -- An engine caught fire on a United Airlines flight that was getting ready to leave Denver for New York late Friday.

The flames forced the evacuation of 131 passengers and five crew members on the emergency slides. Several people reported minor injuries, including sprained ankles.


The fire on Flight 408 from Denver to La Guardia Airport was spotted by a crew on another plane.

There was no word on what caused the fire on the Airbus A-320. The passengers were expected to catch a later flight.

[KarachiHero]

even though I live in America but i am not from this origin) I say There most of all carriers suck big time .. I hear America is very powerfull everday on cnn and shit.. wiht big economy its a big country wiht alot of potential but its air transport sucks i think the American goverment should support directly to the carriers if the National Carrier of the united state is going in to short of money* bankrupt..
LIke I heard about United airline from others they said 2 things that made this airline suck..
They have Tons of aircraft.. but not many people fly them most of them are empty..Whats the point of getting soo many aircrafts when you cant get any PAxs.
And yea there Air stewards.. are very grouchy too .
But In Asia over here smallest island countries like Sri Lanka's National carrier is in much better position and ranked one of the best airlines..
Prob the best carrier in the USa right now would be Delta with there 777 and song thats it.. others total garbage (I advise if you are leaving out of united states use Delta or other forgiegn carriers from Asia
As in theres many some like.. Sq Tg Jal ..AI..PIA..Air china..china airlines..SIA
and more..

[hkskyline]

Main line to Asia / United hopes to cash in on new flock of Pacific Rim flights
David Armstrong
6 April 2005
The San Francisco Chronicle

Like most carriers, bankrupt United Airlines is plagued by sky- high fuel prices, low fares that don't allow the carrier to make money on most tickets, plus heavy pension obligations.

But the airline has a long-term plan to fly out of Chapter 11, centered on aggressively expanding its Asia Pacific routes, United's chairman, president and chief executive officer, Glenn Tilton, said Tuesday in an interview with The Chronicle after addressing the Asia Society of Northern California.

In the short term, the airline is trying to get its fuel costs under control. United recently hedged 18 percent of its jet fuel supplies at $43 per barrel, said Tilton, who was a senior executive in the oil industry before joining United in 2002 from ChevronTexaco in San Ramon.

"Where it will go is anybody's guess," Tilton said of the price of fuel. "All we can do is optimize the revenue-generating opportunities where we can and rationalize the fare structure. The yields need to come up."

United employs 11,000 people in Northern California. It is the dominant carrier at San Francisco International Airport, with about half of all flights and passengers, and operates one of its five hubs at SFO.

The world's airlines are forecast to lose a collective $5.5 billion in 2005, according to the International Air Transport Association, in large part due to stubbornly high fuel costs. The association's forecast was predicated on oil averaging $46 per barrel. On Tuesday, it closed at $58 per barrel.

Tilton did not acknowledge canceling any flights directly due to fuel costs but did say United will continue to look for expansion on long-haul Asia Pacific flights, which utilize newer, more efficient aircraft and are generally more fuel efficient than smaller, older domestic aircraft.

In February, United began shifting its aircraft from domestic service -- in which it, like other legacy carriers, has lost market share to low-cost airlines -- to international routes, where its global network provides an edge, Tilton said.

When that process, which involves 14 percent of United's fleet of 455 aircraft, is complete in autumn, "We will draw 55 percent of our revenue from international routes, compared to 40 percent before the shift," Tilton said.

Autumn exit expected

United has been in Chapter 11 bankruptcy protection since December 2002. It has missed several self-imposed exit dates but now expects to come out of Chapter 11 in autumn, according to Tilton.

United is banking heavily on its Asia Pacific routes to lift it out of bankruptcy. It uses SFO as a prime gateway to the Pacific, along with Los Angeles International Airport. "Asia Pacific is really the story for SFO, and so much of your (Bay Area) business is with Asia Pacific," Tilton said.

"According to the U.S. Department of Commerce, between 2002 and 2007, Japan's economy is forecast to grow by 8 percent, Australia/ New Zealand by 19 percent, China by 33 percent and India by 49 percent," Tilton said in his speech to the Asia Society.

Analysts said the emphasis on international business -- especially the burgeoning Asia Pacific, for which passenger traffic grew by 15.6 percent last year, ahead of the worldwide average of 13.5 percent -- could help the airline.

"It's part of the solution," said Michael Boyd, principal of the Boyd Aviation Group, of Evergreen, Colo. "We call it the Shanghai- Shreveport solution. You funnel people from, say, Shanghai to hubs like San Francisco and then feed them on your domestic routes to little places like Shreveport or Bangor, Maine."

That helps a legacy carrier like United leverage its extensive route system -- something a domestic low-fare carrier such as Southwest can't do, because it has no transpacific or transatlantic routes, Boyd said.

Nonstop to Nagoya

In line with this, United started daily nonstop service to Nagoya, the Detroit of Japan, from SFO last month. United started daily service via Hong Kong from SFO to Ho Chi Minh City, the largest city in Vietnam, last December. In June, it started daily nonstop service between SFO and Beijing.

United also flies to Tokyo and Osaka, Japan, offering connecting flights to other Japanese cities through a code-sharing and ticketing arrangement with All Nippon Airways, a fellow member of the Star Alliance.

United flies nonstop between SFO and the boomtown of Shanghai. It hopes to add flights to the Chinese industrial center of Guangzhou, Tilton said, although earlier requests to U.S. aviation authorities to begin service have been rebuffed.

"We're definitely going after that," he said. "It's important to the Asian community in San Francisco, and the business community in Guangzhou seems to want it as much or even more."

Tilton said that the sprawling United Services maintenance plant at SFO, which employs 5,000 people and does maintenance work for Air China, Singapore Airlines and Qantas Airways, is also part of UAL's plans to boost United's revenue.

On domestic routes, United will continue to expand Ted, its low- fare unit, growing to 56 aircraft from the current 45 in the coming months, Tilton said.

Tilton gave a generally upbeat assessment of the prospects for United, which recorded a net loss of $617 million in the first two months of this year, even though it filled more than 80 percent of the seats on United and Ted.

UAL has extracted about $2.5 billion a year in wage and benefit concessions from its 60,000 employees and has told the federal government it cannot afford to fund its pension plans.

The airline's Asia Pacific expansion plan, while logical, is no panacea for the troubles at United, which lost $1.6 billion last year and $9.7 billion since the nation's economy started to go south in 2000, analyst Boyd said.

"You've probably hit labor as hard as you can," he said, but costs can still be cut other ways. "There are a lot of systems they can cut back on. Do they really need four staffers at the gate at SFO to board the plane?"

[Isan]

United Airlines cutting 400 jobs in Kent

United Airlines announced it will close a reservation center in Kent, eliminating 400 jobs there beginning June 4.

The employees and managers have been offered relocation to reservation centers in Chicago; Washington, D.C.; Detroit and Honolulu. The work now done in Kent will be spread around to other centers, officials said.

The company said increased cost for jet fuel, depressed passenger revenues and mounting competition from low-cost carriers were factors in deciding to close the center.

Last month, United posted a $819 million loss for the fourth quarter and a $2 billion loss for all of 2004.

The annual loss is smaller than the previous year, but the quarterly deficit is deeper than year-before levels. Its fourth-quarter operating loss ballooned to $655 million, several times the $231 million it lost on operations a year earlier.

The widening losses were created by bankruptcy costs and pension expenses, offset slightly by the sale of United's stake in the online ticket seller Orbitz.

United is owned by Chicago-based UAL Corp. (OTC BB: UALAQ.OB), which filed for bankruptcy protection in December 2002. It was the largest Chapter 11 filing in aviation history.

[Chibcha2k]

will it ever come to colombia?

[Isan]

United Express Contract Ends With Air Wis.
04.07.2005, 04:24 PM

UAL Corp. is ending its agreement with Air Wisconsin Airlines Corp. to fly regional jets for its United Express unit, transitioning the service to other carriers over a year's time, according to court papers filed Thursday.

The company is trying to cut costs in an effort to emerge from Chapter 11 bankruptcy and is considering various proposals from regional airlines to fly United Express routes.

Papers filed in the U.S. Bankruptcy Court in Chicago said the company wasn't able to reach a deal to reprice its existing contract with privately held AWAC, and decided on a transition away from AWAC's services, rather than simply rejecting the agreement.

United spokeswoman Jean Medina Thursday said the agreement allows a "smooth transition for our customers, and Air Wisconsin's customers as well."

SkyWest Airlines Inc. and GoJet Airlines will take over some of the routes, but United is still looking at the rest.

Those carriers announced Monday they reached a deal to provide about 30 aircraft for United Express by early 2006. Court papers said the carriers will fly 70-seat regional jets on the routes, rather than the 50-seat jets Air Wisconsin now flies.

Air Wisconsin representatives weren't immediately available for comment.

Air Wisconsin flies about 70 planes for United, Medina said.

The transition period will be about a year, if the court approves United's motion at a hearing scheduled for April 22.

The Appleton, Wis.-based company got approval in March to provide a $125 million loan to help finance US Airways Group, and in exchange got the right to fly up to 70 regional jets for US Airways Express. People involved in US Airways' bankruptcy called the deal a hedge by Air Wisconsin against losing the United contract - ensuring it had a place for its aircraft.

US Airways representatives weren't immediately available.

Because it is in bankruptcy protection, United can reject unwanted contracts, though it must pay a penalty to do so. In court papers, the company said it is trying to take advantage of downward price pressure in the regional airline business to cut the cost of its United Express contracts.

Medina said the company has been successful thus far in negotiating lower prices for regional jet service.

The phase-out agreement with Air Wisconsin and United also provides for the refund of certain "additional payments" made under the Air Wisconsin contract that United creditors complained about, amends a ground service agreement and resolves other claims between the airlines.

Separately, Medina said an 11.5 percent interim pay cut for United employees represented by the International Association of Machinists was extended through May 31 by the court at a hearing Wednesday. The order also continues a reduced sick pay provision.

The court ordered the pay cuts to provide United with immediate savings, while the company attempts to negotiate long-term pay reductions and pension changes with the union.

United, which is based in suburban Chicago, filed for Chapter 11 bankruptcy law protection in 2002.

[Isan]

Singapore Airlines and United Airlines launch Interline E-Ticketing
7 April 2005


From April 2005, passengers whose travel plans involve flights on Singapore Airlines and United Airlines will enjoy the convenience of only requiring an electronic-ticket (e-ticket) for the entire journey.

"Singapore Airlines is very excited about the launch of interline e-ticketing with United Airlines. With the streamlining of automated check-in processes and the use of e-tickets, passengers will spend less time standing in line at the airport, and more time relaxing before their journey," said Singapore Airlines Executive Vice-President, Marketing and the Regions, Mr Huang Cheng Eng.

Singapore Airlines will be gradually introducing similar programmes with its other partner carriers. The airline along with its 15 Star Alliance partners that includes Lufthansa, ANA and Thai Airways aim to offer a global e-ticketing service to its passengers by the third quarter of 2005.

The Singapore Airlines-United Airlines e-ticket facility will be available at all Singapore Airlines sales offices and for online bookings at www.singaporeair.com. The e-ticket will also be available at travel agents from May 2005.

In addition, Singapore Airlines' KrisFlyer members and United Airlines' Mileage Plus members will be able to redeem their frequent flier miles towards e-ticketed interline travel.

Singapore Airlines first offered e-tickets to passengers in 1997. The Airline targets to issue only e-tickets by mid-2007, ahead of the IATA guideline of end 2007.

[Isan]

United Airlines adds daily nonstop flights to Munich
Posted on Friday, April 08, 2005 @ 12:55 PM CEST by sn26567


United Airlines SN30952 writes "United Airlines announced its daily nonstop flight between Chicago O'Hare and Munich, beginning June 7.

United Airlines flies already daily Washington Dulles/Munich in codeshare with Star Alliance partner Lufthansa.

United also serves Frankfurt with 2 daily nonstop flights from Chicago and from Washington Dulles.
United Airlines flies one daily nonstop from San Francisco to Frankfurt"

[Isan]

United to switch Aspen carrier
By Naomi Havlen
April 9, 2005

United Airlines has tentatively decided to end its relationship with the regional carrier that flies between Denver and Aspen.

Air Wisconsin Airlines flies as United Express out of the Denver, Washington, D.C., and Chicago airports. According to an announcement Thursday from United Airlines, a new group of regional air carriers will take over the United Express flights out of those airports, while Air Wisconsin will continue to perform ground handling at a number of locations.

United put all of its regional carriers out to bid last fall in an attempt to cut costs. The airline declared bankruptcy more than two years ago.

Business will go on as usual through the 2005-06 ski season, according to Bill Tomcich, president of Stay Aspen Snowmass. The tentative agreement assures it will take about a year to transition to a new carrier.

"I've been assured that they will maintain a large enough fleet to service us through the next ski season," Tomcich said. "There are no short-term issues with this - our summer schedule is the strongest ever, and the winter schedule will be the same as this last one."

United's corporate headquarters released the following statement:

"Aspen is important to us. We are fully committed to continue to serve Aspen now and moving forward," said Sean Donohue, vice president of United Express and Ted. "We have a long transition timeline, giving us plenty of time to secure replacement aircraft for the long-term."

A new carrier has not been announced.

SkyWest and GoJet were announced in April as two of the carriers that will take over some of the United Express routes. But a United announcement also said discussions with other carriers are ongoing and the company may award additional flying and ground-handling based on bids from other regional airlines.

Robin Urbanski, a spokesperson for United, said it's too soon to say anything about who might handle the Denver-to-Aspen route. She did, however, assure that service wouldn't be affected by the switch.

"What the customers are getting now is what we plan to give them in the future," she said. "We did announce our agreements with SkyWest and GoJet, but it's too premature to say anything else."

The biggest challenge to the Aspen airport, Tomcich notes, is the type of aircraft a new carrier would bring here. Small jets - rather than turboprops - best serve Sardy Field, he said.

An airport employee, who did not want to be identified by name, said the question of jets versus turboprops is the biggest question for the community.

"That could really have an impact on the local economy," he said. "It's difficult to envision a [turboprop] providing as many seats to Aspen on a daily basis in the winter as the jets provide."

He said he estimates it would take 50 to 60 of the turboprops each day to make up for a loss of jets.

"United needs to find an operator who can acquire the appropriate equipment to work here," Tomcich said. It's a tall order, he acknowledges, but they're starting to work on that problem now, hoping to solve it by the spring of '06.

In addition, the Aspen airport will close to all air traffic from April 2006 until June to replace the entire aging runway. That gives United closer to 14 months to figure out the aircraft problem.

"There are a number of different scenarios they're looking into, but it's their intention to replace Air Wisconsin's capacity seat for seat with no reduction in service," Tomcich said. "Aspen is a valuable route for United, and one they intend to preserve."

The reason for the change

United Airlines announced it was putting all of its regional service out to big in November, to cut costs after declaring bankruptcy.

"Since Sept. 11 the entire industry has gone through a major upheaval with the loss of passenger traffic and higher fuel costs," said the airport employee who did not want to be named. "It's been the perfect storm for the airline industry."

He said he and other airport employees were notified about United putting its regional service out to bid.

"It looks like we didn't fair too well overall," he said. "It's fine in the marketplace, but United tends to play express carriers against each other."

Tomcich said he would characterize the split from Air Wisconsin as a mutual agreement, noting that Air Wisconsin has announced an upcoming partnership with US Airways.

A letter faxed to The Aspen Times on Thursday night quotes Air Wisconsin President and CEO Geoff Crowley saying, "We were asked to continue our business at rates that would not cover our costs and would have ultimately put [Air Wisconsin] out of business. That was the reality."

The letter was sent to the airline's employees, including management, mechanics, pilots and flight attendants. Crowley wrote that United was "able to attract new or existing partners with equipment better suited for their network ... or partners with extremely low cost structures."

He said Air Wisconsin's aircraft will be used with US Airways, "although at the cost of a significant investment" that they're willing to make to protect the long-term viability of Air Wisconsin.

"We believe that the future of US Airways holds great promise and will give us a chance to revitalize under their banner," he wrote.

Air Wisconsin representatives didn't respond to calls seeking comment. But Tomcich speculated that local employees will be retained if the company continues to operate ground handling at the Aspen airport. Otherwise, he said, a new carrier might hire the same locals to do the job.

The anonymous airport employee echoed those sentiments.

"If United does keep certain ground-handling stations, we expect to be one of those because we are very cost effective and provide a very good product," he said. That would include everyone from ticketing agents to baggage and de-icing services. A number of staff members have been at the airport for many years, he said, and already have taken 15 percent cuts in pay and benefits after Sept. 11, 2001.

[Isan]

CHICAGO — United Airlines said yesterday that it would fire any flight attendants who take part in a threatened strike, launching an early salvo as the carrier and its unions prepare for their battle in bankruptcy court next week.

A strike would "force the company to take steps to preserve the airline," United said in a letter sent to the attorney for the Association of Flight Attendants. The letter is the first public acknowledgement by United, based in Elk Grove Township, Ill., that a strike could severely damage its efforts to emerge from Chapter 11 bankruptcy protection.

A union spokeswoman called United's threats "laughable."

"It's ... just more of the same from United," said Sara Nelson Dela Cruz.

United is scheduled to go before a U.S. Bankruptcy Court judge in Chicago next week to seek to invalidate the contracts of three of its largest unions. The airline wants to invoke new pay and benefit terms.

Also yesterday, the flight attendants and the International Association of Machinists and Aerospace Workers each filed objections to a proposed agreement between United and a federal pension-insurance agency.

The agreement they are contesting is between the carrier and the Pension Benefit Guaranty Corp. United will seek court approval of the deal at a hearing scheduled for Tuesday. It would allow the carrier to transfer its pension obligations to the government agency, which United estimates would save it $645 million a year.

[Isan]

United Airlines hikes fares 3 percent
Wednesday 22nd June, 2005 (UPI)

Bankrupt United Airlines said Tuesday it is hiking most domestic and international fares 3 percent effective immediately.

The Elk Grove Village, Ill.-based carrier blames rising fuel prices for the fare increase as it struggles to emerge from 30 months of Chapter 11 bankruptcy protection this fall.

With oil continuing to trade at historically high levels, all industries must act responsibly to offset rising costs, said John Tague, executive vice president-marketing, sales and revenue.

Earlier this month, United, American and Northwest Airlines backed off $10 to $20 fare hikes on round-trip tickets initiated by United.

United said sale fares and some specialty and contracted pricing would not be affected by the fare hike, which averages 3 percent.

[Isan]

United Reports USD$93 Million May Loss
June 28, 2005

UAL, parent of bankrupt United Airlines, on Tuesday reported a net loss of USD$93 million in May, including USD$36 million for reorganization expenses.

United said its operating loss was USD$21 million for the month, reversing an operating profit of USD$9 million in May 2004. The company noted that fuel expenses rose USD$93 million year over year.

"Fuel is a brutal challenge for our industry. In the face of this challenge, we continue to improve operations across the company, targeting every area of non-labor cost reduction and revenue generation opportunity," Chief Financial Officer Jake Brace said.

United ended the month with a cash balance of USD$2.6 billion, USD$957 million of which was restricted. The cash balance increased by USD$143 million in May, driven by strong receipts and effective cost controls, the airline said.

UAL said it met the requirements of its debtor-in-possession financing.

United has been in bankruptcy since December 2002 and lately has been battered by soaring fuel costs, weak revenue and competition from low-cost carriers.

(Reuters)

[Isan]

United Airlines launches promotion in Thailand
4 July 2005


United Airlines in Thailand is launching ‘Dreamy USA’ Summer and Fall packages for Thai travelers visiting the U.S. between July and October. ‘Dreamy USA’ Summer and Fall allows travelers to visit up to three different landmark cities during one holiday.

Travelers can choose to visit popular U.S. cities such as Boston, Chicago, Las Vegas, Los Angeles, New York, Orlando, New Orleans, San Francisco, Seattle and Washington D.C. The packages include a United economy class ticket, 3-4 star hotel accommodation, private transfers between airport and hotel and sightseeing tour for each city.

Eric Wilson, General Manager for United Airlines Thailand, said, “The ‘Dreamy USA’ packages are the first all inclusive packages designed directly by United Airlines Thailand for Thai travelers. They can now choose three cities from ten of the most exciting US destinations in a single trip.”

‘Dreamy USA’ packages will allow travelers to experience some of the world’s top attractions, such as Disney World in Orlando, Beverly Hills and Hollywood, San Francisco’s Golden Gate Bridge, or the historical backdrop of Boston.

United Airlines Thailand has joined Krung Thai Bank card to offer special promotions to customers who purchase the package through KTC’s Flexi program – with 6-month payment without interest.

[Isan]

United Airlines to expand LAX-Sydney service

13 July 2005


United Airlines is to launch three additional weekly flights between its airport hub at Los Angeles International Airport (LAX) and Sydney Kingsford-Smith Airport in Australia, between December 15, 2005, and April 27, 2006.

"Our service expansion builds on the success of our existing daily flight between Sydney and Los Angeles," said Graham Atkinson, United's senior vice president-Worldwide Sales and Alliances.

The new Los Angeles-Sydney flights will be operated with B747-400 aircraft, configured with United First 14 seats, 73 United Business seats, 88 seats in Economy Plus and 172 seats in United Economy.

[Isan]

Korean Air begins Heavy Maintenance on United Airlines’ B747-400s
Search ASIA Travel Tips .com 19 July 2005


Korean Air has contracted with United Airlines to perform heavy maintenance on UAs fleet of 27 B747-400’s, expanding the airline’s presence in the global Maintenance, Repair & Overhaul (MRO) market.

The five year renewable contract, signed in June of this year is valued at approximately US$12 million each year.

Korean Air is contracted to perform C and D checks in addition to parts overhaul services. The first aircraft scheduled to receive a D check was flown to the airline’s Gimhae plant in Busan on July 18.

Korean Air plans to increase its Maintenance, Repair & Overhaul services to other international carriers. In 2004, Korean Air recorded approximately 16.7 billion won in MRO revenue. This year’s target is 29 billion won, an increase of 73%. The airline hopes to grow its MRO revenues approximately 20% each year by 2007.

Korean Air currently conducts heavy maintenance for airlines such as Mongolian Airlines and Southern Air, in addition to light maintenance for approximately 30 airlines that operate flights to Korea.

An aircraft `C’ check is conducted approximately every 15 months and usually takes around ten days to complete. A `D’ check is conducted approximately every six years and usually takes approximately 30 days to complete.

Korean Air operates four major maintenance facilities located at Incheon, Gimpo, Gimhae and Bucheon and employs over 3,600 experienced mechanics and technicians. The airline also has certification by both the FAA and EASA and plans to increase its aircraft maintenance customer base.

[Isan]

United staff in airport protest on pension cut
Caroline Li and agencies


July 29, 2005


About 35 Hong Kong-based United Airlines flight attendants dressed in green staged a protest at Hong Kong International Airport.

The ``informational rally'' Thursday was intended to warn travelers they may face delays should airline staff decide to strike, according to Association of Flight Attendants vice-president Jack Kande, whose union represents 15,000 United flight attendants worldwide.

``What we want [United Airlines] to do is have its upper management discuss the pension plan or replace it,'' said Kande, referring to United's move to hand its plans over to the US federal government's pension insurer after it defaulted. ``We do not want to go on strike, but we will if we have to.''

Because of the switch, flight attendants can expect cuts ranging from 30 percent to 70 percent in their pensions, said Kande.

``We are warning the airline we can go on strike at any time, anywhere and for any duration, and that it can cause a delay or the cancellation of any flight,'' he warned.

The real action, however, will have to take place in Chicago, where the airline's corporate headquarters are located, he said.

A federal judge in May gave United clearance to walk away from US$6.6 billion (HK$51.48 billion) of retirement obligations to 119,000 current and former union employees.

Handing the program over to the government was a move the company argued was essential to getting out of bankruptcy. The airline said in a statement that it wants to reach agreement with the union, but Kande said, ``United Airlines is not willing to negotiate with us. We hope this will give some pressure to the management.''

Marching about the airport and handing out leaflets to travelers, the protesters held placards that read, ``Chaos is coming to Hong Kong'' and ``Save our pension.''

Kande said airline employees at Tokyo, London, Frankfurt, Germany and 14 US locations have held similar demonstrations.

An airport official said the protest was peaceful and that services were not affected.

[Isan]

United attendants protest outside Sea-Tac, 20 airports

By BRAD WONG
SEATTLE POST-INTELLIGENCER REPORTER

United Airlines' flight attendants picked the catchy name "chaos" to call their public demonstrations yesterday at about 20 airports worldwide in support of their defined pension plans and to decry the bankrupt carrier's management.

It may be an apt description of how consumers will find the airline industry as the summer travel season passes through its apex. Labor and financial problems at several U.S. carriers have raised alarm levels among investors, financial analysts, employees and the public.

At Sea-Tac Airport yesterday, about 40 flight attendants from United waved signs and passed out brochures to draw attention to their issues with their employer, said Diane Tucker, president of the Association of Flight Attendants Local 10.

But if airlines fail to resolve their problems, such as the fight over those United pensions, the clashes stemming from long-term profits, higher costs and decent employee wages and benefits could begin to affect consumers in a much more noticeable way.

"Our issue is very narrow but very huge," Tucker said. "We would like to maintain our current pension plan."

Already, United flight attendants maintain they have the right to strike "at any moment" because the carrier wants the federally created Pension Benefit Guaranty Corp., which pays benefits up to certain limits, to handle the retirement packages.

Tucker, who is based in Seattle, said that change could cause 65 percent of United flight attendants to lose up to 50 percent of their defined pensions. Some, she added, could lose up to $100,000 in retirement money.

In the Seattle area, she said, there are about 600 United flight attendants and about 400 retired ones.

United spokesman David Dimmer said the carrier believes a strike by flight attendants would be illegal under federal law, adding that the airline's management is willing to negotiate a different type of retirement package.

Even if a strike were to occur, Dimmer said the carrier could handle the shock. "We are prepared legally and operationally to meet the needs of our customers," he said.

United isn't alone in its labor problems.

At Seattle-based Alaska Airlines, the challenge is to keep customer support, improve employee relations, boost on-time flight arrivals and post long-term profits. The abrupt replacement of 472 Alaska baggage handlers in May with contract workers has cast a pall over the carrier, which is undergoing a financial restructuring that already had pilots' union members angry over pay cuts proposed by a federal arbitrator.

Caroline Boren, a spokeswoman for Alaska, said the airline is trying to improve in all areas, especially with communication among employees and customers.

"I think it's been frustrating for us, and it's been frustrating for our customers and employees," she said, referring to the past few months.

As one step toward improving, Alaska soon will have supervisors at Sea-Tac gates to coordinate airplane refueling, customer service needs, catering operations and flight crews, according to Boren.

She noted that about 400 of the replaced baggage handlers, or at least a majority of them, have opted to take the carrier's severance package, which includes a stipulation of not working for the airline in the future.

About 65 baggage handlers are using their seniority to move into carrier cargo jobs at Sea-Tac, customer service positions or take up similar jobs at the airline's facilities in Alaska.

Earlier this month, pilots at Alaska rejected a contract proposal that would have cut wages for first officers and pilots by an average of 20 percent and made significant reductions in benefits. By rejecting the proposal, captains and first officers were left with the deal brokered by the federal arbitrator. The two-year contract ordered by the arbitrator didn't cut benefits, but imposed pay cuts of 21 to 34 percent. It won't be open for changes again until May 2007.

If problems with those two carriers are not enough, the chief executive of Delta Air Lines Inc. this week told employees in a memo that more cuts are needed to stave off filing for bankruptcy.

Without referring to financial woes at Delta and United, Boren said Alaska knows there is work to be done.

"The goal here is to make the changes before we have to do that in a bankruptcy court," she said, "and in a way that maintains the customer service and amenities and value that we've always tried to offer."

[Isan]

United planes brush wingtips at O'Hare
Tuesday 9th August, 2005 (UPI)

The government is investigating an incident at O'Hare International Airport in which two United jetliners brushed wingtips on the ground.

The Federal Aviation Administration is conducting the investigation.

No one was injured Monday afternoon when United Flight 618, headed to Washington with 112 passengers aboard, and United Flight 682, headed to New York with 111 passengers, touched wings, the Chicago Sun-Times reported.

The two Airbus A320 aircraft were in a holding area on the tarmac when they clipped wingtips as Flight 618 began motoring to the runway.

Both flights were canceled and the passengers were re-booked on later flights.

[Isan]

United To Add Bigger Planes On Commuter Routes
August 15, 2005

United Airlines said on Monday it would add 26 planes with 66 or 70 seats to its commuter fleets, a shift to larger planes that one analyst said reflects the carrier's improved competitive position after years of restructuring.

United said the larger planes to be flown by its United Express partners would be in addition to the 74 larger, regional jets already in service. Most of the United Express jets have 50 seats.

Separately, United said it had sought a 60 day extension of its exclusive right in bankruptcy to file a reorganization plan.

Earlier this month, the airline delayed filing the plan until September after creditors requested additional time to review it.

United said it still intends to submit a business plan to the court next month but wants to extend its window for doing so until November 1. The current period of exclusivity expires September 1.

United still hopes to leave Chapter 11 in the autumn but the company has said emergence could be pushed back to early 2006. United has been in bankruptcy since December 2002.

The shift to bigger aircraft on commuter routes shows that United hopes to lure passengers by offering more leg room and perks on regional flights.

"United in bankruptcy has more flexibility now than other airlines in using the bigger (regional jets)," said Calyon Securities analyst Ray Neidl. "They're taking advantage of that."

"This is probably going to put more pressure on other carriers to do the same," Neidl said. "It will make their system more efficient."

United said that scheduled flights out of Chicago's O'Hare Airport longer than two-and-a-half hours will be served by United mainline jets, Ted, which is United's low-cost carrier, or the new service on United Express.

A United spokeswoman said United's restructuring while in bankruptcy is dedicated to cutting costs but also to improving service.

"United's restructuring is about improving our cost structure and running a much better airline -- one that is relentlessly focused on the customer," said Jean Medina.

(Reuters)

[Isan]

United skycaps challenge fee plan
By Andy Vuong
Denver Post Staff Writer

A group of United Airlines skycaps plans to ask a federal judge Friday to prevent the airline from charging travelers at O'Hare International Airport in Chicago a fee for their services.

Bankrupt United, searching for ways to make more money, intends this week to start charging Chicago travelers $2 a bag for skycap services. Those services have traditionally been free, though travelers customarily tip skycaps for their help with luggage and flight check-in.

The fee system violates a 1997 agreement between United and a group of 44 skycaps that requires arbitration for such changes, said Chicago attorney John Moran, who represents those skycaps.

The 10-year agreement settled a lawsuit brought by United skycaps against the airline after it outsourced its skycap services in 1993.

United says the skycaps' recent claim is baseless.

"We don't think our actions have breached the agreement," spokeswoman Jean Medina said.

United still plans to put the fee system in action this week at Chicago's O'Hare, she said.

The airline and its discount operation Ted have implemented the system at 11 other

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airports since November, Medina said.

United eventually plans to charge the skycap fee throughout its network, including at Denver International Airport. The airline has not announced a date for the change at DIA.

The system would hurt the skycaps' livelihood, Moran said. The $2-a-bag fee would replace tips, which represent the majority of the skycaps' income.

Moran said skycaps make a little less than $4 an hour plus tips.

Under the fee system, a vendor would collect the $2 fee and distribute an undisclosed portion to the skycaps along with an undisclosed increased hourly wage.

[Isan]

Plane Collapses Onto Belly At SFO
Tokyo-Bound Airline Passengers Delayed

Aug. 16 (BCN) - The San Francisco Police Department reports that a United Airlines 747 plane bound for Tokyo Monday afternoon returned to San Francisco International Airport after experiencing hydraulic problems and then had its tail collapse while it was being serviced.
According to SFO Duty Manager Lily Wong, the plane left the airport at 2:21 p.m. carrying 332 passengers, and was over Seattle when it experienced hydraulic problems in its number four engine and returned to San Francisco.

Maintenance crews began to repair the hydraulic system when at approximately 1 a.m. today the tail of the aircraft began collapsing for an unknown reason.

The aircraft is now being drained of all its fuel so that an airbag can be placed underneath the tail for an investigation, Wong said.

The Tokyo-bound passengers where scheduled to leave at 9:30 a.m. but now their departure is unknown, Wong said.

http://abclocal.go.com/images/plane_belly_081605_ss_04.jpg

[Isan]

United Airlines is expanding service by adding two new nonstop flights -- one from San Antonio to Washington and another from San Antonio to Los Angeles, the company said Monday.

Chicago-based United Airlines (OTCBB: UALAQ) will begin offering these flights Oct. 31, 2005.

The Washington-to-San Antonio round-trip service will be operated by United Express partner Mesa Airlines using a Canadair RJ-700 66-seat regional jet.

The San Antonio-to-Los Angeles flight will be operated by United Express partner Skywest, also on a Canadair RJ-700 regional jet.

United Airlines offers regional jet service under its 'explus' brand. The airline is working to become more competitive by offering customers more comfortable travel experiences and additional flights, United Airlines' Vice President of Operational Services Sean Donohue says.

The Canadair RJ-700 regional jet is designed to offer more passenger room.

"This latest expansion further reinforces United's commitment to provide quality and comfort to our customers," he says.

United is the world's second largest airline. It operates more than 3,400 flights a day to more than 200 U.S. and international destinations.

[Isan]

United To Do 777 Heavy Maintenance In China
August 30, 2005


United Airlines on Tuesday said it has signed a contract with Aircraft Maintenance and Engineering Corporation (Ameco Beijing), under which the Chinese company will maintain its Boeing 777 fleet.

In the five year deal, which takes effect in October, United's Boeing 777s will go to Ameco Beijing for heavy maintenance visits, the airline said in a statement.

More than 50 visits are planned for the first three years of the contract, and as many as 80 visits will be completed over the life of the deal, United said.

Ameco Beijing's competitive cost structure and service will help the airline achieve its cost-savings targets, said Will Crocker, United Airlines' director of technical strategic sourcing for airframe and aircraft components, in a statement.

United has been in Chapter 11 protection from creditors since December 2002, trying to cut costs. The airline industry has been battered by soaring fueling costs and low-cost competition.

A United spokeswoman said heavy maintenance on Boeing 777s is currently done in the United States. The work was previously outsourced, she said.

United operates 455 aircraft, of which 52 are Boeing 777s.

(Reuters)

[Isan]

United Airlines and South African Airways reach Code Share Agreement
12 September 2005


United Airlines has reached a code-share agreement with South African Airways to expand international destination options for customers of both carriers.

Under the agreement, passengers on South African Airways' flights between Johannesburg and Washington Dulles can connect on to United flights to San Francisco, San Diego, Seattle, Los Angeles and Las Vegas beginning 1 November 2005.

Also, once the necessary regulatory approvals have been granted, United's code will appear on South African Airways' Washington Dulles-Johannesburg service, and its service within Africa and between South Africa and Europe.

"We are pleased to partner with Africa's largest and best-known commercial air carrier to expand international options for our customers," said Graham Atkinson, United's senior vice president-Worldwide Sales & Alliances. "The code-share agreement with South African Airways further supports our strategy of international growth, and will enable us to provide premium service to our customers to an even greater reach of destinations."

Dr. Khaya Ngqula, chief executive officer of South African Airways said, "North America is one of our key markets and offers a huge potential for growth. We will continue to explore and develop opportunities in this market as part of our global focus to bring the world to Africa, and take Africa to the world."

South African Airways has been granted membership into the Star Alliance and will become a fully integrated Star Alliance member carrier in early 2006.

[Isan]

United To Expand Ted
October 30, 2005 9:11 a.m. EST

Andrea Moore - All Headline News Staff Reporter

Chicago, IL (AHN) - United Airlines says it is committed to expanding its discount airline Ted, while competitor, Delta Air Lines, announces it is abandoning is discount carrier, Song.

The name Ted, comes from the last letters of United's name.

The Chicago Tribune reports United will expand Ted with nine aircraft this year, making a total of 56. Next week, United's flights to Miami from Chicago's O'Hare International Airport, Denver and Washington Dulles will all fly under the Ted banner.

Ted has grown to account for 15-percent of all United departures and has been one of their highest-profile moves during their bankruptcy.

[Wezza]

Would be great to see United back in BNE. LAX-BNE or SFO-BNE? Qantas is apparently doing quite well with it's non-stop BNE-LAX flights. Maybe one day when they come out of Chapter 11.

[Gertzy]

United should fly weekly into Adelaide, or Perth, see how that goes, wouldn't be too bad I guess.

[Wezza]

The 747-400 wouldn't have the range to make it to either cities non-stop from the US west coast. I couldn't see a very big market for ADL or PER non-stop to USA even if they could do the flight.

United could just codeshare with DJ from PER & ADL to SYD. I know they were codesharing with DJ to BNE.

[Isan]

United, Swiss To Share Code

NOVEMBER 01, 2005 -- Swiss International Air Lines and United Airlines on Nov. 9 will begin a codeshare agreement, "expanding international destination options and mileage opportunities for customers of both carriers," the airlines said today. The agreement represents further integration of Swiss into the Star Alliance, following its merger and subsequent consolidation efforts with Lufthansa German Airlines (BTN, April 18).

As an agreement between Lufthansa and Swiss, enacted Oct. 30 enables the carriers to share codes on all flights operated by either carrier between Germany and Switzerland (BTN, Sept. 5), the United agreement gives Swiss further reach in the United States while giving United expanded presence in Europe and the Middle East.

"United's code will appear on Swiss International's service between Zurich and Los Angeles, Zurich and Chicago O'Hare, and connecting beyond Zurich to Dubai and Muscat," the carrier said in a statement. "Conversely, Swiss International's code will appear on United's Washington Dulles-Zurich service as well as between Los Angeles and Honolulu, with more routes to be announced-pending regulatory approval."

The deal also includes reciprocal frequent flyer mileage accrual and redemption between United and Swiss.

The Star Alliance in March granted Swiss membership upon its acquisition by Lufthansa and the carrier "will become a fully integrated Star Alliance member carrier in early 2006," Swiss said in a statement.

[Isan]

United Airlines now offering customers Hong Kong SkyPier ferry service and pier-side check-in
8 December 2005


United Airlines is now offering customers convenient travel between the Pearl River Delta cities and Hong Kong International Airport using the SkyPier ferry service and pier-side check-in.

"We are pleased to make it easier for our business and leisure passengers to travel between the Pearl River Delta cities and Hong Kong International Airport," said Mark Russell, United's managing director-Pacific South. "This service will enable our passengers to connect to or from the United States as well as onto United flights between Hong Kong and Japan, Vietnam and Singapore with ease. The new service will facilitate cost-effective, fast and convenient travel between Hong Kong and Southern China."

United passengers coming from the United States and traveling on to the Pearl River Delta are now able to board the ferry directly in Hong Kong without clearing immigration or customs there -- and only clear upon arrival at the ports. Additionally, United passengers returning to the United States from the Pearl River Delta via Hong Kong must clear immigration and customs only in the Chinese ports before boarding, and must simply check in for their flights at Hong Kong's SkyPier.

The SkyPier's high-speed ferry serves five ports in the Pearl River Delta: Dongguan-Humen, Macau, Shenzhen-Fuyong (next to Shenzhen Baoan International Airport), Shenzhen-Shekou and Zhongshan. Ferries run every 30 to 90 minutes between the airport and Pearl River Delta locations, depending on the port. Ferry tickets range in price from HK$180 (US$23) to HK$330 (US$42).

United offers flight check-in for its customers at Hong Kong's SkyPier "Ferry Transfer Desk" daily between 08:30 and 19:00. United has fully met the additional U.S. Transportation Security Administration requirements to be able to participate in this ferry service and offer pier check-in to its customers -- including having qualified security personnel at the SkyPier.

[Isan]

United Airlines launches New Year Business Class promotion in Thailand
21 December 2005


United Airlines is now offering a special promotion for its passengers departing Thailand to travel in the comfort of its United Business Class to the U.S. during the New Year period.

Passengers can choose to travel from Bangkok to seven major cities in the U.S. - Boston, Chicago, Los Angeles, New York City, San Francisco, Seattle or Washington, D.C. in United Business for just THB 74,120 for a roundtrip ticket.

Eric Wilson, General Manager of United Airlines – Thailand said: “This special air fare promotion is uniquely designed for travelers who are seeking to celebrate the New Year in style and enjoy the renowned after-Christmas sales season in the United States. We believe this offer will make us a part of our passengers’ celebrations and get them off to a fabulous start in 2006.”

Outbound travel must occur between December 24 - 31, 2005 while return travel must be completed by January 31, 2006. The ticket requires a minimum stay of 6 days in the U.S.

[Isan]

United Airlines and South African Airways Begin to Sell Code-share Flights
Frequent Fliers of Both Airlines Receive Benefits

United Airlines and South African Airways Begin to Sell Code-share Flights

CHICAGO, Jan. 17 /PRNewswire-FirstCall/ -- Customers can now purchase tickets and earn miles to even more destinations in Africa and Europe when booking travel on code-share flights between United and future Star Alliance member, South African Airways.

"We're thrilled to expand our relationship with South African Airways," said Graham Atkinson, United's senior vice president-Worldwide Sales and Alliances. "We look forward to offering our customers more benefits, such as Mileage Plus(R) redemptions, when South African Airways joins the Star Alliance in April."

"South African Airways is proud to partner with United Airlines in this code-share agreement," said Nomfanelo Magwentshu, South African Airway's general manager-Business Development. "It is sure to expand our services and continue to provide our passengers with the highest standards of comfort and convenience."

United and South African Airways frequent fliers began earning miles on each other's flights in November 2005. In April when South African Airways joins the Star Alliance, Mileage Plus members will earn elite benefits including Elite Qualifying Miles, which are miles that count toward elite status, and the ability to redeem their miles for award travel on South African.

United's customers will be able to book on South African Airways flights between Washington-Dulles and Johannesburg and connecting flights between Johannesburg and Cape Town, Durban, East London or Port Elizabeth in South Africa. Customers will also be able to connect onto South African Airways from the United States via Europe on flights between London and Johannesburg; London and Cape Town; Frankfurt and Johannesburg; Frankfurt and Cape Town; or Paris and Johannesburg. South African Airways customers will be able to book on United flights between Washington-Dulles and Chicago, Las Vegas, Los Angeles, San Diego, San Francisco or Seattle.

Sample fares on United are each way based on required roundtrip purchase by Jan. 26, 2006. Fares below are valid for travel from Jan. 24, 2006, through March 31, 2006. Sample fares are valid for travel on select off-peak days; see below or visit http://united.com/ :

-- Washington, D.C., to Johannesburg $532*
-- Chicago to Johannesburg $522*

[Isan]

United Airlines Exits Bankruptcy Protection
February 1, 2006

United Airlines parent UAL ended three years in Chapter 11 protection on Wednesday, wrapping up the most expensive airline bankruptcy in history.

United, which used its time in protection from creditors to slash costs by USD$7 billion a year, now must sink or swim in a fiercely competitive industry that is plagued by soaring fuel costs and overcapacity.

"We have achieved a great deal in our restructuring to reposition this company and build upon our assets, an unrivaled global network and our dedicated employees," UAL's Chief Executive Glenn Tilton said in a statement. "We can be better. We are in a very competitive industry, and we take nothing for granted."

Experts, however, were more cautious in assessing UAL's prospects for success and long-term survival. If UAL succeeded, its story would resemble that of Continental Airlines, which went bankrupt twice before regaining traction.

If it failed, UAL would join a long list of US airlines that died in or after bankruptcy -- including TWA and Pan American.

"I think they have substantial challenges -- energy costs, pricing power," said airline consultant Robert Mann. "And I think there are some questions as to whether they can be the instigator or the target of consolidation."

UAL filed for bankruptcy in December 2002, weakened by low-fare competition and a drop-off in air travel following the September 11, 2001, terror attacks on the United States.

The airline's woes intensified as energy prices crept higher. Oil prices notched a record high above USD$70 a barrel in August and were trading above USD$68 a barrel on Wednesday .

Analysts also have questions about the appeal for investors of shares in the reorganized UAL, which are to begin trading on Thursday on the Nasdaq stock market.

"I am not sure who's going to buy their stock," said Morningstar analyst Chris Lozier. "There are obviously folks who get excited by IPOs. There are people who like to gamble in the airline game. We are not those people at Morningstar."

Lozier said that for UAL to survive and to be a worthwhile equity investment, it needs the most competitive cost structure in the industry. He said Delta Air Lines and Northwest Airlines, which currently are restructuring in bankruptcy, could emerge with even stronger cost structures than UAL's.

"In a year or so, is United going to have the most competitive cost structure among the legacy carriers?" Lozier said.

Low costs are the key to success in an industry that simply has too many seats for all carriers to thrive. Many experts, including UAL's Tilton, say the industry is in dire need of consolidation to help pull excess capacity from the market.

Some have speculated that United may be interested in merging with another airline, but Tilton denies that he is shopping the airline around.

"I do think the market would benefit from consolidation," he said on Tuesday. "I want this company to be able to make a decision -- yes or no -- good idea, bad idea."

Meanwhile, the company continues to face employee morale problems stemming from wage and benefit cuts its workers endured during bankruptcy.

Unions representing the workers most recently were riled by a provision in UAL's reorganization plan that grants an estimated USD$115 million in equity to the top 400 management personnel. Tilton's share of that amount has been estimated at USD$15 million.

Management compensation of that amount flies in the face of a notion that United employees should share the burden of cost cuts, said Mark Bathurst, Chairman of the United Master Executive Council of the Air Line Pilots Association.

"It's hard to imagine a situation where one would look at this as a shared sacrifice," he said.

UAL officials have said that linking management compensation to the airline's stock performance ensures competent leadership by a management team that will not be tempted to look for higher-paying work elsewhere.

The airline further noted that non-management employees also share in a stock incentive plan in which employees will receive shares valued at more than USD$2 billion.

(Reuters)

[hkskyline]

Timeline of United Airlines' Bankruptcy
AP

Noteworthy dates in United Airlines' bankruptcy restructuring:

Dec. 9, 2002 _ UAL Corp.'s United Airlines files for Chapter 11 federal bankruptcy protection in Chicago. It remains the largest bankruptcy filing by an airline and was at the time the sixth-biggest by any U.S. company.

Feb. 13, 2003 _ United says it intends to shift 30 percent of its U.S. capacity to a new low-cost carrier to compete with Southwest Airlines and other discount carriers.

April 21, 2003 _ United starts charging for meals on flights.

May 1, 2003 _ New labor contracts go into effect reducing labor costs by $2.56 billion annually for six years.

Feb. 12, 2004 _ United launches its new Denver-based discount carrier, Ted.

June 28, 2004 _ United loses third and final try for a government loan guarantee, forcing it to seek new financing.

Aug. 19, 2004 _ United says in a bankruptcy filing that it likely will terminate and replace its employee pension plans.

Oct. 6, 2004 _ United cuts domestic flight capacity by 12 percent and increases international capacity 14 percent amid intensifying discount-carrier competition in U.S. and more lucrative routes internationally.

Nov. 4, 2004 _ CEO Glenn Tilton says record-high fuel costs mean United has no choice but to eliminate pensions and cut wages further to gain an additional $2 billion in reductions.

May 10, 2005 _ Bankruptcy Judge Eugene Wedoff approves United's plan to terminate employee pensions, clearing the way for the largest corporate-pension default in American history.

July 21, 2005 _ United completes second round of negotiated labor cuts in bankruptcy, adding another $700 million in annual labor savings.

Sept. 7, 2005 _ United files reorganization plan outlining its intentions for repaying its debts and wiping out its stock. Forecasts nearly $1 billion operating profit in 2006 but based on oil prices falling to $50 a barrel.

Oct. 6, 2005 _ United signs off on a $3 billion loan from JPMorgan Chase & Co. and Citigroup Inc. enabling it to exit bankruptcy.

Dec. 30, 2005 _ United announces majority of creditors have voted for its reorganization plan.

Jan. 20, 2006 _ Reorganization plan approved by bankruptcy court.

Feb. 1, 2006 _ United emerges from bankruptcy.

[Isan]

United dominates flights at Dulles Airport
By William Glanz
THE WASHINGTON TIMES
February 3, 2006


Washington Dulles International Airport is becoming more United.
United Airlines has become the undisputed leader at Dulles Airport since Independence Air stopped flying last month, with hundreds more daily departures than any of the other 30 commercial airlines operating there.
United likely will become even more dominant because a judge's decision this week allowing it to take over Independence Air's lease on a concourse at Dulles Airport will allow the behemoth to add more flights.
United, the nation's second-largest airline and newly emerged from bankruptcy, established itself as a juggernaut at Dulles Airport because the airport serves as one of its five hubs, where flights stop en route to other destinations.
Independence Air's demise underscores United's heft.
"I think what we're doing is going back to the way things were before Independence Air," said James Bennett, president and chief executive of the Metropolitan Washington Airports Authority, which operates Dulles and Ronald Reagan Washington National airports.
Commercial airlines made roughly 485 international and domestic departures a day from Dulles Airport in December. United and its regional carriers made 273 average daily departures that month, accounting for 56 percent of operations, according to airport statistics.
Independence had an average of 221 daily departures in January 2005. That fell to 104 departures a day in December, the defunct airline's last full month in business.
Now US Airways is the airport's second-leading carrier. It made an average of 19 daily departures in December, accounting for 4 percent of daily departures. US Airways, which abandoned its Crystal City headquarters after merging with America West in September, is the dominant carrier at nearby Reagan Airport, where it had 40 percent of daily departures in December.
Having such a disparity between Dulles Airport's No. 1 carrier and No. 2 carrier is merely a symptom of its role as a United hub, Mr. Bennett said.
"It's certainly not a monopoly by any stretch of the imagination. They run a hub, and by definition a hub is going to be a large operation," he said.
United's dominance is not a concern now that it has emerged from bankruptcy and its future appears secure, said Carol Welti, vice president of the Washington Airports Task Force, a nonprofit group that promotes the growth of passenger and cargo service at Dulles and Reagan airports.

[hkskyline]

United Airlines' new stock drops in still-successful Nasdaq debut
By DAVE CARPENTER
2 February 2006

CHICAGO (AP) - United Airlines' new stock fell 10 percent from its initial valuation Thursday but the value remained more than double what the carrier had forecast, marking a successful debut on the Nasdaq Stock Market.

On the company's first full day out of bankruptcy since December 2002, its new shares declined $4.11 to a close of $35.89 from the $40 price established in preliminary trading earlier this week. Volume was fairly heavy, with nearly 3.7 million shares traded.

"Today marks a new chapter for United, and it starts from a renewed position of strength," said CEO Glenn Tilton, who opened the Nasdaq in a live remote hookup from O'Hare International Airport.

Record-level oil prices and competitive threats from discount airlines cast a shadow over United's exit from bankruptcy after 38 months. But the strong interest in United among banks and now investors amounts to a financial vote of confidence.

"It kind of belies the contention that there is a shortage of domestic capital available for the airline industry," airline consultant Robert Mann said of the interest in United's stock and the earlier oversubscription to its exit financing.

The old, over-the-counter shares in parent UAL Corp. were canceled.

United's original estimate of what the shares would fetch was based on a study by the Rothschild investment bank last fall pegging the company's post-bankruptcy value at between $300 million and $3.5 billion. The midpoint of that range would have put the shares' value at about $15. Heightened interest in the stock drove the shares to $40 in five days of trading on a "when-issued" basis on Nasdaq's bulletin board before they went live Thursday in trading on the Nasdaq.

The largest shareholder in Elk Grove Village-based carrier is the Pension Benefit Guaranty Corp., by virtue of the bankruptcy agreement in which United dumped its defined-benefit plans on the federal agency and in exchange gave it 20 percent of the roughly 125 million shares issued.

The PBGC has signaled its intent to sell half of its approximately 25 million shares to raise cash to help pay for pension benefits, making it one likely source of Thursday's selling.

Other big winners from the stock debut are Tilton and 400 United executives, who were granted 8 percent of the stock under a controversial portion of the airline's reorganization plan. While they cannot begin selling the shares for six months, the first-day trading valued their approximately 10 million shares at about $360 million.

United slashed its annual costs by about $7 billion during the bankruptcy makeover in an attempt to return to profitability for the first time since 2000. It now has about 30 percent fewer employees, 20 percent fewer airplanes and 20 percent lower operating costs, excluding fuel, than it did when the restructuring began on Dec. 9, 2002.

[hkskyline]

United's January traffic rises by 2.4 percent
6 February 2006

CHICAGO (AP) - United Airlines, the world's second-largest airline, said Monday its January traffic climbed 2.4 percent, helped by increased occupancy and capacity.

Based on preliminary results, the company said traffic rose to 9.03 billion revenue passenger miles from 8.82 billion in the prior year. A revenue passenger mile equals one paying passenger flown one mile.

The company, which along with parent UAL Corp. emerged from bankruptcy last Wednesday, said capacity edged up 0.4 percent to 11.63 billion available seat miles from 11.58 billion. Load factor, or the percentage of seats filled, climbed to 77.7 percent -- its highest ever for January -- from 76.1 percent a year earlier.

United said its departures fell 1.7 percent to 45,586 but passengers rose 1.7 percent to about 5.2 million.

The company's Latin American operations posted the largest gain in traffic, up 14.6 percent to 451.8 million revenue passenger miles, while North American traffic grew 2.8 percent to 5.31 billion.

UAL's newly issued shares, which began trading Thursday at $40 apiece on the Nasdaq Stock Market, fell 70 cents, or 2 percent, to close at $33.90.

[Harkeb]

Why did United change their colour scheme. The grey and navy was one, if not the best looking planes around! The new scheme looks dated and cheap, unlike the elegant business look of before.

[mr_storms]

I like the new one a whole lot more than the old one personally. The old one wasnt bad, but I like the new white/blue a lot more. One of the better pictures of it
http://photos.airliners.net/photos/middle/4/8/1/0988184.jpg (http://www.airliners.net/open.file?id=0988184)
On another note, did anyone see the UA superbowl commercial? I found it nice and classy, but somewhat out of place.

[hkskyline]

United Flight Attendants In Paris May Strike
7 February 2006

NEW YORK (Dow Jones)--A United Airlines (UAUA) flight attendants union in Paris unanimously adopted a resolution Tuesday to direct their leaders to prepare for a strike in reaction to the company's recently announced changes to its Paris operations.

The Paris Local Council for the Association of Flight Attendants-CWA, AFL-CIO said in a press release that United's plan to close its Paris flight attendant operations May 1 will "purposefully" deny workers access to unemployment benefits.

"United Airlines has failed to not only provide access to French benefits afforded other workers, this management has not even responded to our basic questions about the closure and forced transfer to work in other countries," said AFA Local President Sharon Benjamin-Caldwell.

Workers have a constitutional right to strike under French law.

Michael-Eric Schwaabe, the union's local vice president in Paris, told Dow Jones Newswires that routes staffed by Paris flight attendants will now be staffed by flight attendants based in Washington, D.C., and Chicago. United is offering the Paris attendants positions in London and Frankfurt, he said. If the flight attendants don't accept jobs in London or Frankfurt, they would be considered voluntary resignations and would be denied unemployment benefits.

A United representative wasn't immediately available for comment.

United shares fell 3.7%, or $1.24, to $32.66 in recent after-hours trading on Inet.

United spokeswoman Jean Medina told Dow Jones Newswires that the airline is offering continued employment for all flight attendants affected by the Paris flight attendant base closing as well as transfer and relocation benefits.

Medina said United would consider any strike action by its Paris attendants to be illegal because they are covered by the U.S. collective bargaining agreement that has been in place since the base was opened in 1992.

Medina said AFA's Benjamin-Caldwell's allegations that management hadn't responded to basic questions about the closure was baseless, adding that management has met with the union frequently over the last several weeks to discuss the closing of the base, closing policy and has addressed their questions in the meetings.

[chiccoplease]

Why did United change their colour scheme. The grey and navy was one, if not the best looking planes around! The new scheme looks dated and cheap, unlike the elegant business look of before.
I agree. I think the grey livery was the best around.

[Isan]

United Airlines Celebrates More Than 20 Years in Asia, Looks to Future
SAN FRANCISCO, Feb. 11 /PRNewswire-FirstCall/ -- United Airlines, the world's largest transpacific airline, today celebrates more than 20 years of flying from the United States to the Asia-Pacific region and reaffirms its commitment to continued growth in the region.

By April 2006, the company will have expanded its Asia-Pacific service by nearly 15% since October 2004, with new routes and increased capacity, and plans to continue to increase service to and from the region. Expansion to date includes its launch of service between San Francisco and both Ho Chi Minh City and Nagoya, Chicago-Shanghai, Nagoya-Taipei, and additional frequencies between the United States and both Australia and Hong Kong.

"The Asia-Pacific region is among the most important to United, and has some of the fastest-growing economies in the world," said Mark Schwab, vice president-Pacific. "We are proud to have a long history of flying to the region, and our commitment to international growth has never been stronger. We have an exciting year ahead, with the return of our San Francisco-Seoul nonstop service on April 2, and our highly anticipated move to the new Star Alliance terminal at Tokyo's Narita airport in June -- which will enable smoother connections and faster transit times for our passengers."

To mark the 20-year milestone, United employees in the San Francisco International Airport on Saturday, Feb. 11, will wear traditional costumes representative of various cultures in the Asia-Pacific region. Additionally, the San Francisco team will offer media tours of United's current configurations of the B777 and B747 (including United First(R), United Business(R), Economy Plus(R) and United Economy(R)), as well as the international Red Carpet Club(R) -- which seats more than 400 customers, the International First Class Lounge and United's "Arrivals" lounge -- the only one in San Francisco.

United offers more nonstop service from San Francisco to the Asia-Pacific region than any other U.S. carrier, including to:

-- Tokyo-Narita (twice-daily service -- one with continuing service to Incheon, Republic of Korea, and the other to Hong Kong -- as well as connections to Bangkok, Taipei and Singapore) -- Nagoya, Japan (with continuing service to Taipei, Republic of China) -- Hong Kong (with continuing service to Ho Chi Minh City, Vietnam) -- Osaka, Japan -- Beijing -- Shanghai, People's Republic of China -- Sydney, Australia (with connection to Melbourne)

As previously announced, United will resume nonstop service from San Francisco to Incheon, Republic of Korea, in early April.

Service

In 2005, United carried more than 5.4 million passengers to/from or within the Asia-Pacific region. United now operates more than 400 flights a week to/from or within the region -- including service to Bangkok, Beijing, Ho Chi Minh City, Hong Kong, Melbourne, Nagoya, Osaka, Seoul, Shanghai, Singapore, Sydney, Taipei and Tokyo. The reach of United's network in the region is extended through its Star Alliance relationships with All Nippon Airways (ANA), Asiana Airlines, Singapore Airlines, Thai Airways International and Air New Zealand. Star Alliance relationships also make it possible for United customers from the Asia-Pacific to connect on to European carriers' flights to destinations throughout Europe and around the globe. In 2003, United entered into a commercial partnership with Air China that includes codesharing, frequent-flyer benefits and access to airport lounges. Together, the two carriers offer 45 code-share flights between China and the United States. Last year, they expanded the agreement to include cargo.

Presence

Approximately one quarter of United's total capacity is working in the Asia-Pacific region. United's commitment to growth in the region is underscored by its more than 2,300 employees based there, including flight attendant crew domiciles in Tokyo and Hong Kong. More than 260 of United's employees in the Asia-Pacific have more than 20 years of experience with the airline. This is approximately 11% of United's total active staff in the region. The region is also very important to United's cargo division; its business there accounts for approximately 45% of the division's total revenue. Japan, Hong Kong, China and Australia are United Cargo's top four markets in the Pacific. In 2005, United Cargo carried 110,000 tons of freight and mail from the Asia-Pacific to the United States -- a 6% increase over 2004.

Contracts

United's connection to the Asia-Pacific region goes beyond flight service. The carrier has contracts with Korean Air for B747 heavy maintenance and with Aircraft Maintenance and Engineering Corporation (Ameco Beijing) for B777 maintenance. United Services carries out specialized maintenance repair and overhaul (MRO) and engine overhauls for Korean Air and Air China. United also performs line maintenance for Japan Airlines (JAL), ANA, Nippon Cargo Airlines (NCA), Asiana, China Southern, Singapore and Vietnam Airlines, among others. Some of these relationships date back more than 10 years. In addition to MRO work, United Services Flight Training recently announced it has become the first provider outside of China to be certified under the Civil Aviation Administration of China (CAAC) to provide "type rating training" for PRC pilots.

Awards

In 2005, United was named "Best Transpacific Airline" in the OAG Airline of the Year Awards, "Best North American Airline" by Business Traveller Asia Pacific, "Best North American Airline" by TTG Asia and "Best American Airline serving China" in the inaugural Business Traveller China travel poll.

About United

United Airlines operates more than 3,400 flights a day on United, United Express and Ted to more than 200 U.S. domestic and international destinations from its hubs in Los Angeles, San Francisco, Denver, Chicago and Washington, D.C. With key global air rights in the Asia-Pacific region, Europe and Latin America, United is one of the largest international carriers based in the United States. United is also a founding member of Star Alliance, which provides connections for our customers to 790 destinations in 138 countries worldwide. United's 57,000 employees reside in every U.S. state and in many countries around the world. News releases and other information about United can be found at the company's Web site at http://united.com/ .

[mr_storms]

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B7C1394B7%2D590C%2D48E9%2DBA4D%2DE5B535177B97%7D&source=blq%2Fyhoo&dist=yhoo&siteid=yhoo

SAN FRANCISCO (MarketWatch) -- United Airlines is applying to fly a daily non-stop service between Guangzhou and San Francisco, according to a Xinhua Financial Network report that cited state media.
The report indicated that United could become the first U.S. carrier flying to south China, and that the airline would fly Boeing 747 aircraft on the route.
Only China Southern Airlines flies between Guangdong province and the United States, with five weekly flights from Guangzhou, the city formerly known as Canton, to Los Angeles, according to the report