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United Airlines Provides Updated Information on Impact of Hurricane Florence

September 12, 2018

CHICAGO, Sept. 11, 2018 /PRNewswire/ -- United Airlines is continuing to monitor Hurricane Florence, which is predicted to make landfall in the southern part of North Carolina and cause extensive damage that will impact communities throughout the region. In preparation, United has plans underway to ensure our customers, employees and facilities are safe.

For the most up-to-date news, announcements and travel updates about United service to airports in the Mid-Atlantic, customers are encouraged to visit united.com and on United's social media channels including @United on Twitter and United Airlines on Facebook.

Options for Customers

United is offering a travel waiver for customers ticketed on flights to, from or through impacted cities from Sept. 10 through Sept. 16, 2018. Customers may reschedule their itineraries for travel through Sept. 20 with a one-time date or time change, and the airline will waive the change fees and any difference in fare for flights booked in the same cabin and same arrival/destination airports. United will waive first, second, excess, overweight and oversized baggage fees as well as in-cabin pet fees for all flights to/from the below cities:

  • Asheville, North Carolina (AVL)
  • Charleston, South Carolina (CHS)
  • Charlotte, North Carolina (CLT)
  • Charlottesville, Virginia (CHO)
  • Columbia, South Carolina (CAE)
  • Fayetteville, North Carolina (FAY)
  • Greenville/Spartanburg, SC (GSP)
  • Greensboro, North Carolina (GSO)
  • Myrtle Beach, South Carolina (MYR)
  • Norfolk, Virginia (ORF)
  • Raleigh/Durham, North Carolina (RDU)
  • Richmond, Virginia (RIC)
  • Roanoke, Virginia (ROA)
  • Savannah, Georgia (SAV)
  • Shenandoah Valley Airport, Virginia (SHD)
  • Wilmington, North Carolina (ILM)

The airline has also reduced fares beyond what a regular last-minute fare would be for impacted markets.

United's customer service teams are proactively reaching out to customers with reservations during the forecasted impact time and rebooking them on alternate flights. Customers may check flight status and change travel plans quickly and conveniently via the United app, and on united.com. Customers who require rebooking or customers without reservations should not go to the airport. United is encouraging customers to call 1-800-UNITED-1 for help rebooking travel. The airline encourages customers who do not have immediate travel plans to call at a later date.

United continues to monitor the direction of the storm and will update waivers as needed.

About United

United Airlines and United Express operate approximately 4,600 flights a day to 357 airports across five continents. In 2017, United and United Express operated more than 1.6 million flights carrying more than 148 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 757 mainline aircraft and the airline's United Express carriers operate 551 regional aircraft. The airline is a founding member of Star Alliance, which provides service to 193 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the Nasdaq under the symbol "UAL".

SOURCE United Airlines

For further information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

United Reports August 2018 Operational Performance

September 10, 2018

CHICAGO, Sept. 10, 2018 /PRNewswire/ -- United Airlines (UAL) today reported August 2018 operational results.

UAL's August 2018 consolidated traffic (revenue passenger miles) increased 7.8 percent and consolidated capacity (available seat miles) increased 5.4 percent versus August 2017. UAL's August 2018 consolidated load factor increased 2.0 points compared to August 2017.

August Highlights

  • Announced several new international routes including year-round nonstop service between Washington Dulles and Tel Aviv, daily, year-round service between San Francisco and Amsterdam, and nonstop seasonal summer service between Newark/New York and Naples, Italy and Newark/New York and Prague, all subject to government approval.
  • Finished in the top-tier among largest competitors in on-time departure and completion performance.
  • As part of a previously announced $8 million commitment, announced a $1 million grant to the San Francisco Immigrant Legal & Education Network.
  • United's MileagePlus loyalty program awarded Favorite Frequent-Flyer program at the annual Trazee Awards.
  • Debuted United Corporate Preferred, the industry's newest corporate travel program designed to offer top travel benefits to the airline's most loyal business customers.

About United

United Airlines and United Express operate approximately 4,600 flights a day to 357 airports across five continents. In 2017, United and United Express operated more than 1.6 million flights carrying more than 148 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 757 mainline aircraft and the airline's United Express carriers operate 551 regional aircraft. The airline is a founding member of Star Alliance, which provides service to 193 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the Nasdaq under the symbol "UAL".

Preliminary Operational Results




August


Year-to-Date



2018


2017


Change


2018


2017


Change

REVENUE PASSENGER MILES (000)














Domestic

12,627,585



11,474,838



10.0

%


88,811,891



82,810,385



7.2

%


Mainline

10,440,562



9,667,919



8.0

%


72,636,506



68,304,971



6.3

%


Regional

2,187,023



1,806,919



21.0

%


16,175,385



14,505,414



11.5

%


International

9,366,097



8,920,114



5.0

%


65,978,504



63,065,426



4.6

%


Atlantic

4,429,314



4,033,026



9.8

%


27,101,443



24,381,385



11.2

%


Pacific

3,071,430



3,137,243



(2.1)

%


23,203,686



23,035,961



0.7

%


Latin

1,865,353



1,749,845



6.6

%


15,673,375



15,648,080



0.2

%


Mainline

1,785,720



1,685,704



5.9

%


15,052,808



15,060,517



(0.1)

%


Regional

79,633



64,141



24.2

%


620,567



587,563



5.6

%


Consolidated

21,993,682



20,394,952



7.8

%


154,790,395



145,875,811



6.1

%














AVAILABLE SEAT MILES (000)














Domestic

14,433,343



13,443,106



7.4

%


103,008,109



96,757,336



6.5

%


Mainline

11,847,956



11,217,255



5.6

%


83,638,823



79,119,993



5.7

%


Regional

2,585,387



2,225,851



16.2

%


19,369,286



17,637,343



9.8

%


International

10,768,676



10,459,670



3.0

%


80,631,828



79,185,424



1.8

%


Atlantic

4,978,684



4,801,308



3.7

%


33,244,915



31,928,945



4.1

%


Pacific

3,587,632



3,628,052



(1.1)

%


28,845,116



28,569,999



1.0

%


Latin

2,202,360



2,030,310



8.5

%


18,541,797



18,686,480



(0.8)

%


Mainline

2,099,721



1,954,655



7.4

%


17,724,170



17,884,020



(0.9)

%


Regional

102,639



75,655



35.7

%


817,627



802,460



1.9

%


Consolidated

25,202,019



23,902,776



5.4

%


183,639,937



175,942,760



4.4

%














PASSENGER LOAD FACTOR














Domestic

87.5

%


85.4

%


2.1 pts


86.2

%


85.6

%


0.6 pts


Mainline

88.1

%


86.2

%


1.9 pts


86.8

%


86.3

%


0.5 pts


Regional

84.6

%


81.2

%


3.4 pts


83.5

%


82.2

%


1.3 pts


International

87.0

%


85.3

%


1.7 pts


81.8

%


79.6

%


2.2 pts


Atlantic

89.0

%


84.0

%


5.0 pts


81.5

%


76.4

%


5.1 pts


Pacific

85.6

%


86.5

%


(0.9) pts


80.4

%


80.6

%


(0.2) pts


Latin

84.7

%


86.2

%


(1.5) pts


84.5

%


83.7

%


0.8 pts


Mainline

85.0

%


86.2

%


(1.2) pts


84.9

%


84.2

%


0.7 pts


Regional

77.6

%


84.8

%


(7.2) pts


75.9

%


73.2

%


2.7 pts


Consolidated

87.3

%


85.3

%


2.0 pts


84.3

%


82.9

%


1.4 pts














ONBOARD PASSENGERS (000)














Mainline

10,821



10,071



7.4

%


76,321



72,630



5.1

%


Regional

4,002



3,386



18.2

%


29,475



26,371



11.8

%


Consolidated

14,823



13,457



10.2

%


105,796



99,001



6.9

%














CARGO REVENUE TON MILES (000)














Total

279,627



270,465



3.4

%


2,245,419



2,124,940



5.7

%














OPERATIONAL PERFORMANCE














Mainline Departure Performance1

59.9

%


63.0

%


(3.1) pts








Mainline Completion Factor

98.8

%


95.9

%


2.9 pts








1Based on mainline scheduled flights departing by or before scheduled departure time

Note: See Part II, Item 6, Selected Financial Data, of the company's Annual Report on Form 10-K for the fiscal year ended December 31, 2017 for the definitions of these statistics

Safe Harbor Statement

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements included in this release are forward-looking and thus reflect our current expectations and beliefs with respect to certain current and future events and anticipated financial and operating performance. Such forward-looking statements are and will be subject to many risks and uncertainties relating to our operations and business environment that may cause actual results to differ materially from any future results expressed or implied in such forward-looking statements. Words such as "expects," "will," "plans," "anticipates," "indicates," "believes," "estimates," "forecast," "guidance," "outlook," "goals" and similar expressions are intended to identify forward-looking statements. Additionally, forward-looking statements include statements that do not relate solely to historical facts, such as statements which identify uncertainties or trends, discuss the possible future effects of current known trends or uncertainties, or which indicate that the future effects of known trends or uncertainties cannot be predicted, guaranteed or assured. All forward-looking statements in this release are based upon information available to us on the date of this release. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, except as required by applicable law. Our actual results could differ materially from these forward-looking statements due to numerous factors including, without limitation, the following: general economic conditions (including interest rates, foreign currency exchange rates, investment or credit market conditions, crude oil prices, costs of aircraft fuel and energy refining capacity in relevant markets); economic and political instability and other risks of doing business globally, including political developments that may impact our operations in certain countries; demand for travel and the impact that global economic and political conditions have on customer travel patterns; competitive pressures on pricing and on demand; demand for transportation in the markets in which we operate; our capacity decisions and the capacity decisions of our competitors; the effects of any hostilities, act of war or terrorist attack; the effects of any technology failures or cybersecurity breaches; the impact of regulatory, investigative and legal proceedings and legal compliance risks; disruptions to our regional network; the ability of other air carriers with whom we have alliances or partnerships to provide the services contemplated by the respective arrangements with such carriers; costs associated with any modification or termination of our aircraft orders; potential reputational or other impact from adverse events in our operations, the operations of our regional carriers or the operations of our code share partners; our ability to attract and retain customers; our ability to execute our operational plans and revenue-generating initiatives, including optimizing our revenue; our ability to control our costs, including realizing benefits from our resource optimization efforts, cost reduction initiatives and fleet replacement programs; the impact of any management changes; our ability to cost-effectively hedge against increases in the price of aircraft fuel if we decide to do so; any potential realized or unrealized gains or losses related to any fuel or currency hedging programs; labor costs; our ability to maintain satisfactory labor relations and the results of any collective bargaining agreement process with our union groups; any disruptions to operations due to any potential actions by our labor groups; an outbreak of a disease that affects travel demand or travel behavior; U.S. or foreign governmental legislation, regulation and other actions (including Open Skies agreements and environmental regulations); industry consolidation or changes in airline alliances; our ability to comply with the terms of our various financing arrangements; the costs and availability of financing; our ability to maintain adequate liquidity; the costs and availability of aviation and other insurance; weather conditions; our ability to utilize our net operating losses to offset future taxable income; the impact of changes in tax laws; the success of our investments in airlines in other parts of the world; and other risks and uncertainties set forth under Part I, Item 1A., "Risk Factors," of our Annual Report on Form 10-K for the fiscal year ended December 31, 2017, as well as other risks and uncertainties set forth from time to time in the reports we file with the U.S. Securities and Exchange Commission.

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

United Airlines Strengthens Domestic Route Network: Announces New Washington Dulles - Miami Service and Expands to 33 New Destinations in Four Months

July 30, 2018

CHICAGO, July 30, 2018 /PRNewswire/ -- United Airlines today announced it will begin new daily service between its hub at Washington Dulles International Airport and Miami International Airport. United's newest route announcement builds on the airline's focus to offer its customers more opportunities to conveniently connect to more domestic and international destinations than ever before by boosting connectivity and expanding service from its seven U.S. gateways.

United is also increasing flying between its Washington Dulles hub and Orlando and Tampa. Beginning Nov. 28, 2018, through Jan. 6, 2019, United will increase to five daily flights to Orlando, and between Dec. 26, 2018, through Jan. 26, 2019, the airline will increase to four daily flights to Tampa.

From Dec.19, 2018, through March 30, 2019, United will offer daily service between Washington Dulles and Miami and twice daily service during peak holiday travel, Dec. 24, 2018, through Jan. 6, 2019, with Airbus A319 aircraft. Tickets are now available for purchase.

In addition to its new service between Washington Dulles and Miami, United offers up to 16 daily flights to Miami from its hubs in Chicago, Denver, Houston, New York/Newark and San Francisco.

New Washington Dulles – Miami service begins Dec. 19

Depart

Time

Arrive

Time

Washington Dulles (IAD)

8:15 a.m.

Miami (MIA)

11:05 a.m.

Miami (MIA)

1:24 p.m.

Washington Dulles (IAD)

4:19 p.m.

Washington Dulles (IAD)

5:50 p.m.

Miami (MIA)

8:40 p.m.

Miami (MIA)

8:55 a.m.

Washington Dulles (IAD)

11:50 a.m.

This year, United has expanded service throughout Florida including Key West, Fort Lauderdale, Fort Myers, Orlando, Tampa, Sarasota and West Palm Beach from its hubs in New York/Newark and Washington Dulles.

Boosting hub connectivity to domestic and international destinations

In the last four months, United has launched service to 33 destinations in 18 states from its domestic hubs. From each hub, the new flights offer customers hundreds of connection opportunities to destinations throughout the United States and to more than 110 international destinations in more than 50 countries around the world. In addition to new destinations, United has expanded service to more than 40 U.S. cities by adding either more flights or larger aircraft.

"We want to make United the first choice for customers when planning travel," said Ankit Gupta, United's vice president of Domestic Network Planning. "To do this we are focusing on the strengths of our hub cities, which are the largest centers for business and tourism travel in the country and key gateways for customers to easily and conveniently connect to thousands of cities throughout the United States and beyond. The new destinations and the service expansions that we're launching this year provide customers more choice and more opportunities to travel to the destinations that are most important to them."

United's new routes include:

United Hub

New Destination

Chicago (ORD)

Bismarck, ND (BIS)

Brownsville, TX (BRO)

El Paso, TX (ELP)

Fresno, CA (FAT)

Salina, KS (SLN)

Shenandoah, VA (SHD)

Wilmington, NC (ILM)

Denver (DEN)

Appleton, WI (ATW)

Jacksonville, FL (JAX)

Mammoth, CA (MMH)

Moab, UT (CNY)

Monterey, CA (MRY)

Norfolk, VA (ORF)

Prescott, AZ (PRC)

Vernal, UT (VEL)

Houston (IAH)

Akron-Canton, OH (CAK)

Dayton, OH (DAY)

Los Angeles (LAX)

Eureka, CA (ACV)

Glacier National Park/Kalispell, MT (FCA)

Mammoth, CA (MMH)

Medford, OR (MFR)

Missoula, MT (MSO)

Prescott, AZ (PRC)

Redmond, OR (RDM)

Sun Valley, ID (SUN)

New York/Newark (EWR)

Elmira, NY (ELM)

Presque Isle, ME (PQI)

Rapid City, SD (RAP)

San Francisco (SFO)

Madison, WI (MSN)

Washington Dulles (IAD)

Lewisburg, WV (LWB)

Plattsburgh, NY (PBG)

Shenandoah, VA (SHD)

Wilmington, NC (ILM)

About United

United Airlines and United Express operate approximately 4,600 flights a day to 357 airports across five continents. In 2017, United and United Express operated more than 1.6 million flights carrying more than 148 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 757 mainline aircraft and the airline's United Express carriers operate 551 regional aircraft. The airline is a founding member of Star Alliance, which provides service to 193 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

Headline for newsroom

May 22, 2018

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Pack Your Bags for Summer Sun, Fun and Adventure: United's 2018 Summer Schedule Offers Customers More Destinations Than Ever Before

April 26, 2018

CHICAGO, April 26, 2018 /PRNewswire/ -- United Airlines (UAL) kicks off its 2018 summer seasonal travel schedule offering more options for customers from more than 100 North American cities to conveniently connect to Europe and Latin America with just one stop. United's new offerings this summer include Iceland, Portugal, Scotland and Switzerland and the return of nonstop services between six of its U.S. hub cities and popular destinations in Germany, Greece, Ireland, Italy, Spain and Sweden.

"This summer, United is offering customers more opportunities for international travel than any other U.S. airline," said Patrick Quayle, United's vice president of International Network. "Customers now have more options to visit new destinations in Europe or to return to their favorite cities in Latin America and the Caribbean."

Choose from 25 European destinations this summer
In addition to offering customers new destinations, including Reykjavik, Iceland, and Porto, Portugal, United will be returning with seasonal service to 25 destinations, including Athens, Greece; Glasgow, Scotland; Madrid and Barcelona, Spain; Rome and Venice, Italy; Shannon, Ireland; and more.

This year, United has extended its trans-Atlantic summer route schedule from Chicago, San Francisco and Washington/Dulles, offering flights earlier in the season and operating through October. The airline's daily seasonal service between Chicago and Edinburgh, Scotland, and between San Francisco and Munich, Germany, begins May 4 and ends October 26, and seasonal service between Chicago and Dublin and between Washington/Dulles and Lisbon, Portugal, started earlier this month and will end October 26.

Rediscover beautiful Caribbean Islands and Mexico
United is also resuming service to many of the Caribbean destinations impacted by hurricanes last year, including St. Maarten and St. Thomas. Earlier this year, United reinstated daily service between New York/Newark and Aguadilla, Puerto Rico, and continues ramping up service to San Juan, Puerto Rico, where United offers up to twice-daily service from New York/Newark and up to daily service between San Juan and Chicago, Houston and Washington, D.C. United currently offers daily service between Washington, D.C., and St. Thomas.

Customers in Louisiana and Texas looking for another way to get to Cancun, Mexico, can choose United's new weekend seasonal service from New Orleans and San Antonio beginning June 9.

Vacation shouldn't end in the summer
This fall, United will launch nonstop service between San Francisco and Pape'ete, the capital of Tahiti, the South Pacific's gateway to more than 118 islands in French Polynesia, including Bora Bora, Moorea, the Marquesas and Raiatea.

United is the only U.S. carrier offering nonstop service to Tahiti from the mainland United States and will connect customers to the South Pacific's white sand beaches, stunning turquoise lagoons, coral atolls and volcanic mountain peaks. Visitors to the islands experience a tropical paradise with countless spaces to relax and reconnect in natural beauty and authentic French Polynesian island culture.

Customers can now book nonstop service from San Francisco to Pape'ete's Fa'a'ā International Airport for travel beginning Oct. 30, 2018, through March 28, 2019.

United's 2018 Seasonal Schedule


Airport

Destination

Start

Chicago (ORD)

Dublin, Ireland

Edinburgh, Scotland

Rome, Italy

Now flying

May 4

May 4

Denver (DEN)

London

Now flying

Houston (IAH)

Providenciales, Turks & Caicos

St. Thomas, U.S. VI

June 9

April 28

New York/Newark (EWR)

Athens, Greece

Bermuda

Glasgow, Scotland

Hamburg, Germany

Porto, Portugal

Reykjavik, Iceland

St. Maarten

St. Thomas, U.S.V.I.

Shannon, Ireland

Stockholm, Sweden

Venice, Italy

May 23

June 7

May 4

April 25

May 4

May 23

Now flying

Aug. 25

Now flying

May 4

Now flying

San Francisco (SFO)

Munich, Germany

Zurich, Switzerland

Pape'ete, Tahiti

May 4

June 7

Oct. 30

Washington, D.C. (IAD)

Barcelona, Spain

Dublin, Ireland

Edinburgh, Scotland

Lisbon, Portugal

Madrid, Spain

Rome, Italy

St. Thomas, U.S.V.I.

May 23

Now flying

May 23

Now flying

May 4

Now flying

Now flying

New Orleans (MSY)

Cancun, Mexico

June 9

San Antonio (SAT)

Cancun, Mexico

June 9

About United
United Airlines and United Express operate approximately 4,600 flights a day to 354 airports across five continents. In 2017, United and United Express operated more than 1.6 million flights carrying more than 148 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 750 mainline aircraft and the airline's United Express carriers operate 545 regional aircraft. The airline is a founding member of Star Alliance, which provides service to 191 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

United Airlines Takes Delivery of the Fuel Efficient 737 MAX 9

April 23, 2018

CHICAGO, April 23, 2018 /PRNewswire/ -- United Airlines announced today that it has taken delivery of its first 737 MAX 9 aircraft from the Boeing Delivery Center in Seattle, WA. The new aircraft, which arrived right after Earth Day, reduces fuel use and CO2 emissions significantly compared with older generation aircraft. In honor of this more eco-friendly aircraft, United has given the MAX a new livery, similar to its fuel-efficient Boeing Dreamliner aircraft, so that employees and customers can easily recognize the plane and its superior fuel efficiency.

United expects to take delivery of two more 737 MAX 9 aircraft this month, and will have 10 737 MAX 9 aircraft by the end of 2018. As previously announced, the aircraft will enter United's schedule June 7 with service between the airline's hub at Houston's George Bush Intercontinental Airport and five cities – Anchorage, Alaska; Austin, Texas; Fort Lauderdale, FL; Orlando, FL. and San Diego. The aircraft will operate on additional routes from Houston and Los Angeles International Airport starting June 29. For more information on the aircraft and its schedule visit the United newsroom.

About United

United Airlines and United Express operate approximately 4,600 flights a day to 354 airports across five continents. In 2017, United and United Express operated more than 1.6 million flights carrying more than 148 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 750 mainline aircraft and the airline's United Express carriers operate 545 regional aircraft. The airline is a founding member of Star Alliance, which provides service to 191 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

United Airlines Reports First-Quarter 2018 Performance

April 17, 2018

CHICAGO, April 17, 2018 /PRNewswire/ -- United Airlines (UAL) today announced its first-quarter 2018 financial results.

  • UAL reported first-quarter net income of $147 million, diluted earnings per share of $0.52, pre-tax earnings of $184 million and pre-tax margin of 2.0 percent.
  • Excluding special charges and mark-to-market adjustments, UAL reported first-quarter net income of $143 million, diluted earnings per share of $0.50, pre-tax earnings of $179 million and pre-tax margin of 2.0 percent.
  • UAL has repurchased $747 million of its common shares year-to-date through April 16, 2018, representing approximately 4 percent of its shares outstanding as of year-end 2017.
  • Consolidated passenger revenue per available seat mile (PRASM) increased 2.7 percent year-over-year.
  • Consolidated total revenue per available seat mile (TRASM) increased 3.4 percent year-over-year.
  • Consolidated unit cost per available seat mile (CASM) increased 4.3 percent year-over-year.
  • First-quarter consolidated CASM, excluding special charges, third-party business expenses, fuel and profit sharing, increased 0.6 percent year-over-year.
  • UAL now expects full-year 2018 diluted earnings per share, excluding special charges and mark-to-market adjustments, to be $7.00 to $8.501.

"The exceptional operational performance United's employees delivered over the past quarter is impressive. Even more so when we consider United achieved the best departure performance among our largest competitors despite four nor'easters and other weather disruptions." said Oscar Munoz, chief executive officer of United Airlines. "With our first-quarter financial results and our increased confidence in the outlook for the remainder of the year, we are tightening our adjusted EPS guidance range for the full year to $7.00 to $8.50. We continue to execute our strategy to strengthen and grow our domestic network, drive asset efficiency and productivity, while also continuing our focus on our customers."

For more information on UAL's second-quarter 2018 guidance, please visit ir.united.com for the company's investor update.

First-Quarter Highlights

Operations and Employees

  • Ranked first among our largest competitors in on-time departures and second among the same group in fewest cancelled flights.
  • Introduced and began training our team on United's new customer service decision framework, the core4, which focuses on the principles of being safe, caring, dependable and efficient.
  • Ranked number one among global carriers in Newsweek's 2017 Global 500 Green Rankings, one of the most recognized environmental performance assessments of the world's largest publicly traded companies.
  • Announced new global partnership with the Special Olympics.
  • Flew hundreds of Team USA Olympic and Paralympic Winter Games 2018 athletes – along with coaches and family members – to PyeongChang, South Korea, continuing the 38-year relationship between United and the United States Olympic Committee.

Customer Experience

  • Announced United Premium Plus that will provide more space, comfort and amenities on select international flights starting later this year.
  • Expanded menu selections for our Snack Shop and Bistro on Board and launched a new menu for customers flying from Canada to the U.S.
  • Announced that consumers can now earn and use United MileagePlus award miles at participating BP retail stations.
  • Eliminated charges for customers' second checked bag on all routes from North America to China and Hong Kong.

Network and Fleet

  • Launched two new international routes from Houston to Sydney and Denver to London.
  • Announced new service between six domestic hubs and eight destinations in California, Ohio, North Dakota, South Dakota, Virginia and Wisconsin.
  • As part of our joint venture relationship, Air New Zealand announced new nonstop service between Auckland and Chicago beginning this fall.
  • Announced year-round service between San Francisco and Auckland beginning April 2019.
  • Awarded tentative authority by the U.S. Department of Transportation to begin offering daily nonstop service between Houston and Havana, Cuba.
  • Took delivery of six new aircraft: four Boeing 787-9s and two Boeing 777-300ERs.
  • Announced newest aircraft type, the Boeing 737 MAX 9, to be introduced in domestic flight schedules starting in June.
  • Entered into an agreement to purchase 20 used Airbus A319 aircraft with expected delivery dates scheduled in 2020 and 2021.

Earnings Call

UAL will hold a conference call to discuss first-quarter 2018 financial results on Wednesday, April 18, at 9:30 a.m. Central Time /10:30 a.m. Eastern Time. A live, listen-only webcast of the conference call will be available at ir.united.com. The webcast will be available for replay within 24 hours of the conference call and then archived on the website for three months.

About United

United Airlines and United Express operate approximately 4,600 flights a day to 354 airports across five continents. In 2017, United and United Express operated more than 1.6 million flights carrying more than 148 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 750 mainline aircraft and the airline's United Express carriers operate 545 regional aircraft. The airline is a founding member of Star Alliance, which provides service to 191 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

1 Excludes special charges and mark-to-market impact of equity investments, the nature of which are not determinable at this time. Accordingly, UAL is not providing earnings guidance on a GAAP basis.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
Certain statements included in this release are forward-looking and thus reflect our current expectations and beliefs with respect to certain current and future events and anticipated financial and operating performance. Such forward-looking statements are and will be subject to many risks and uncertainties relating to our operations and business environment that may cause actual results to differ materially from any future results expressed or implied in such forward-looking statements. Words such as "expects," "will," "plans," "anticipates," "indicates," "believes," "estimates," "forecast," "guidance," "outlook," "goals" and similar expressions are intended to identify forward-looking statements. Additionally, forward-looking statements include statements that do not relate solely to historical facts, such as statements which identify uncertainties or trends, discuss the possible future effects of current known trends or uncertainties, or which indicate that the future effects of known trends or uncertainties cannot be predicted, guaranteed or assured. All forward-looking statements in this release are based upon information available to us on the date of this release. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, except as required by applicable law. Our actual results could differ materially from these forward-looking statements due to numerous factors including, without limitation, the following: general economic conditions (including interest rates, foreign currency exchange rates, investment or credit market conditions, crude oil prices, costs of aircraft fuel and energy refining capacity in relevant markets); economic and political instability and other risks of doing business globally, including political developments that may impact our operations in certain countries; demand for travel and the impact that global economic and political conditions have on customer travel patterns; competitive pressures on pricing and on demand; demand for transportation in the markets in which we operate; our capacity decisions and the capacity decisions of our competitors; the effects of any hostilities, act of war or terrorist attack; the effects of any technology failures or cybersecurity breaches; the impact of regulatory, investigative and legal proceedings and legal compliance risks; disruptions to our regional network; the ability of other air carriers with whom we have alliances or partnerships to provide the services contemplated by the respective arrangements with such carriers; costs associated with any modification or termination of our aircraft orders; potential reputational or other impact from adverse events in our operations, the operations of our regional carriers or the operations of our code share partners; our ability to attract and retain customers; our ability to execute our operational plans and revenue-generating initiatives, including optimizing our revenue; our ability to control our costs, including realizing benefits from our resource optimization efforts, cost reduction initiatives and fleet replacement programs; the impact of any management changes; our ability to cost-effectively hedge against increases in the price of aircraft fuel if we decide to do so; any potential realized or unrealized gains or losses related to any fuel or currency hedging programs; labor costs; our ability to maintain satisfactory labor relations and the results of any collective bargaining agreement process with our union groups; any disruptions to operations due to any potential actions by our labor groups; an outbreak of a disease that affects travel demand or travel behavior; U.S. or foreign governmental legislation, regulation and other actions (including Open Skies agreements and environmental regulations); industry consolidation or changes in airline alliances; our ability to comply with the terms of our various financing arrangements; the costs and availability of financing; our ability to maintain adequate liquidity; the costs and availability of aviation and other insurance; weather conditions; our ability to utilize our net operating losses to offset future taxable income; the impact of changes in tax laws; the success of our investments in airlines in other parts of the world; and other risks and uncertainties set forth under Part I, Item 1A., "Risk Factors," of our Annual Report on Form 10-K for the fiscal year ended December 31, 2017, as well as other risks and uncertainties set forth from time to time in the reports we file with the U.S. Securities and Exchange Commission.

-tables attached-

On January 1, 2018, United Continental Holdings, Inc. ("UAL") adopted Accounting Standards Update No. 2014-09 (Topic 606), Revenue from Contracts with Customers, and Accounting Standards Update No. 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. As such, certain previously reported 2017 figures are adjusted in this report on a basis consistent with the new standards. See the Current Report on Form 8-K filed by UAL with the Securities and Exchange Commission on March 1, 2018 for additional information.

UNITED CONTINENTAL HOLDINGS, INC.
STATEMENTS OF CONSOLIDATED OPERATIONS (UNAUDITED) (A) (In millions, except per share data)

(In millions, except per share data) Three Months Ended
March 31, 2018
Three Months Ended
March 31, 2017
%
Increase/
(Decrease)
Operating revenue Passenger $8,149 $7,653 6.5
Operating revenue: Cargo 293 238 23.1
Operating revenue: Other operating revenue 590 535 10.3
Operating revenue: Total operating revenue 9,032 8,426 7.2
Operating expense: Operating expense: Salaries and related costs 2,726 2,636 3.4
Operating expense: Aircraft fuel 1,965 1,560 26.0
Operating expense: Regional capacity purchase 619 536 15.5
Operating expense: Landing fees and other rent 558 544 2.6
Operating expense: Depreciation and amortization 541 518 4.4
Operating expense: Aircraft maintenance materials and outside repairs 440 454 (3.1)
Operating expense: Distribution expenses 342 319 7.2
Operating expense: Aircraft rent 127 179 (29.1)
Operating expense: Special charges (C) 40 51 NM
Operating expense: Other operating expenses 1,398 1,309 6.8
Operating expense: Other Operating Expenses: Total operating expenses 8,756 8,106 8.0
Operating income: Operating income 276 320 (13.8)
Operating margin 3.1% 3.8% (0.7) pts.
Operating margin, excluding special charges (Non-GAAP) 3.5% 4.4% (0.9) pts.
Nonoperating income (expense):
Interest expense
(176) (162) 8.6
Nonoperating income (expense): Interest capitalized 19 23 (17.4)
Nonoperating income (expense): Interest income 17 11 54.5
Nonoperating income (expense): Miscellaneous, net (C) 48 (42) NM
Nonoperating income (expense): Total nonoperating expense (92) (170) (45.9)
Income before income taxes: Income before income taxes 184 150 22.7
Pre-tax margin 2.0% 1.8% 0.2 pts.
Pre-tax margin, excluding special charges and mark-to-market ("MTM") gains on equity investments (Non-GAAP) 2.0% 2.4% (0.4) pts.
Income tax expense (D) 37 51 (27.5)
Net income $147 $99 48.5
Earnings per share, diluted $0.52 $0.32 62.5
Weighted average shares, diluted 284.9 314.6 (9.4)
  1. NM means Not Meaningful
UNITED CONTINENTAL HOLDINGS, INC.
STATISTICS
Statistics: Three Months Ended
March 31, 2018
Three Months Ended
March 31, 2017
%
Increase/
(Decrease)
Mainline:
Passengers (thousands)
24,602 23,825 3.3
Mainline:Revenue passenger miles (millions) 44,110 42,183 4.6
Mainline:Available seat miles (millions) 54,798 53,054 3.3
Mainline:Cargo ton miles (millions) 817 748 9.2
Mainline:Passenger revenue per available seat mile (cents) 12.07 11.74 2.8
Mainline:Average yield per revenue passenger mile (cents) 15.00 14.76 1.6
Mainline:Aircraft in fleet at end of period 750 743 0.9
Mainline:Average stage length (miles) 1,813 1,802 0.6
Mainline:Average daily utilization of each aircraft (hours:minutes) 9:57 9:45 2.1
Mainline:Average aircraft fuel price per gallon $2.09 $1.70 22.9
Mainline:Fuel gallons consumed (millions) 771 761 1.3
Regional:
Passengers (thousands)
9,893 9,280 6.6
Regional:Revenue passenger miles (millions) 5,739 5,428 5.7
Regional:Available seat miles (millions) 7,179 6,754 6.3
Regional:Passenger revenue per available seat mile (cents) 21.35 21.11 1.1
Regional:Average yield per revenue passenger mile (cents) 26.71 26.27 1.7
Regional:Aircraft in fleet at end of period 545 478 14.0
Regional:Average stage length (miles) 565 573 (1.4)
Regional:Average aircraft fuel price per gallon $ 2.19 $ 1.80 21.7
Regional:Fuel gallons consumed (millions) 161 149 8.1
Consolidated (Mainline and Regional):
Passengers (thousands)
34,495 33,105 4.2
Consolidated (Mainline and Regional):Revenue passenger miles (millions) 49,849 47,611 4.7
Consolidated (Mainline and Regional):Available seat miles (millions) 61,977 59,808 3.6
Consolidated (Mainline and Regional):Passenger load factor:
Consolidated
80.4% 79.6% 0.8 pts.
Consolidated (Mainline and Regional):Domestic 82.8% 83.3% (0.5) pts.
Consolidated (Mainline and Regional):International 77.5% 75.2% 2.3 pts.
Consolidated (Mainline and Regional):Passenger revenue per available seat mile (cents) 13.15 12.80 2.7
Consolidated (Mainline and Regional):Total revenue per available seat mile (cents) 14.57 14.09 3.4
Consolidated (Mainline and Regional):Average yield per revenue passenger mile (cents) 16.35 16.07 1.7
Consolidated (Mainline and Regional):Aircraft in fleet at end of period 1,295 1,221 6.1
Consolidated (Mainline and Regional):Average stage length (miles) 1,443 1,451 (0.6)
Consolidated (Mainline and Regional):Average full-time equivalent employees (thousands) 85.6 85.2 0.5
Consolidated (Mainline and Regional):Average aircraft fuel price per gallon $ 2.11 $ 1.71 23.4
Consolidated (Mainline and Regional): Fuel gallons consumed (millions) 932 910 2.4
  • Note: See Part II, Item 6, Selected Financial Data, of UAL's Annual Report on Form 10-K for the fiscal year ended December 31, 2017, for definitions of these statistics.

UNITED CONTINENTAL HOLDINGS, INC.
SUMMARY FINANCIAL METRICS (A)

Summary Financial Metrics: (In millions, except per share data) Three Months Ended
March 31, 2018
Three Months Ended
March 31, 2017
%
Increase/
(Decrease)
Operating income $276 $320 (13.8)
Operating margin 3.1% 3.8% (0.7) pts.
Operating income, excluding special charges (Non-GAAP) 316 371 (14.8)
Operating margin, excluding special charges (Non-GAAP) 3.5% 4.4% (0.9) pts.
EBITDA, excluding special charges and MTM gains on equity investments (Non-GAAP) $860 $847 1.5
EBITDA margin, excluding special charges and MTM gains on equity investments (Non-GAAP) 9.5% 10.1% (0.6) pts.
Pre-tax income $184 $150 22.7
Pre-tax margin 2.0% 1.8% 0.2 pts.
Pre-tax income, excluding special charges and MTM gains on equity investments (Non-GAAP) 179 201 (10.9)
Pre-tax margin, excluding special charges and MTM gains on equity investments (Non-GAAP) 2.0% 2.4% (0.4) pts.
Net income $147 $99 48.5
Net income, excluding special charges and MTM gains on equity investments (Non-GAAP) 143 132 8.3
Diluted earnings per share $0.52 $0.32 62.5
Diluted earnings per share, excluding special charges and MTM gains on equity investments (Non-GAAP) 0.50 0.42 19.0
Net cash provided by operating activities $1733 $547 216.8
Capital expenditures $979 $691 41.7
Adjusted capital expenditures (Non-GAAP) 1,013 1,354 (25.2)
Free cash flow, net of financings (Non-GAAP) $754 $(144) NM
Free cash flow (Non-GAAP) 720 (807) NM
  1. NM means Not Meaningful
UNITED CONTINENTAL HOLDINGS, INC.
ETURN ON INVESTED CAPITAL (ROIC) - Non-GAAP

ROIC is a Non-GAAP financial measure that we believe provides useful supplemental information for management and investors by measuring the effectiveness of our operations' use of invested capital to generate profits.
Return on invested captial: Twelve Months Ended
March 31, 2018
(in millions)
Net Operating Profit After Tax ("NOPAT")
Pre-tax income
$3,074
Special charges and MTM gains on equity investments (C): Severance and benefit costs 93
Special charges and MTM gains on equity investments (C): Impairment of assets 48
Special charges and MTM gains on equity investments (C): (Gains) losses on sale of assets and other special charges 24
Special charges and MTM gains on equity investments (C): MTM gains on equity investments (45)
Pre-tax income excluding special charges and MTM gains on equity investments (Non-GAAP) 3,194
add: Interest expense (net of income tax benefit) (a) 681
add: Interest component of capitalized aircraft rent (net of income tax benefit) (a) 277
add: Net interest on pension (net of income tax benefit) (a) 25
less: Income taxes paid (17)
NOPAT (Non-GAAP) $4,160
Average Invested Capital (five-quarter average)
Total assets
$42,571
Average Invested Capital (five-quarter average)Total assets add: Capitalized aircraft operating leases (b) 4,430
Average Invested Capital (five-quarter average)Total assets less: Non-interest bearing liabilities (c) (16,696)
Average invested capital (Non-GAAP) $30,305
Return on invested capital (Non-GAAP) 13.7%
Notes:
  1. Income tax benefit measured based on the effective cash tax rate. The effective cash tax rate is calculated by dividing cash taxes paid by pre-tax income excluding special charges and MTM gains on equity investments. For the twelve months ended March 31, 2018, the effective cash tax rate was 0.5%.
  2. The purpose of this adjustment is to capitalize the impact of aircraft operating leases. The company uses a multiple of seven times its annual aircraft rent expense to estimate the potential capitalized value and related liability of its aircraft. This is a simplified method used by many rating agencies and financial analysts to assist with the impact of operating leases on financial measures like return on invested capital.
  3. Non-interest bearing liabilities include advance ticket sales, frequent flyer deferred revenue, deferred income taxes and other non-interest bearing liabilities.
UNITED CONTINENTAL HOLDINGS, INC.
NON-GAAP FINANCIAL RECONCILIATION

(A) UAL evaluates its financial performance utilizing various accounting principles generally accepted in the United States of America (GAAP) and Non-GAAP financial measures, including operating income (loss), excluding special charges, operating margin excluding special charges, pre-tax income (loss), excluding special charges and MTM gains and losses on equity investments, pre-tax margin, excluding special charges and MTM gains and losses on equity investments, net income (loss), excluding special charges and MTM gains and losses on equity investments, diluted earnings (loss) per share, excluding special charges and MTM gains and losses on equity investments, and CASM, excluding special charges, third-party business expenses, fuel, and profit sharing, among others. UAL believes that adjusting for special charges is useful to investors because special charges are charges not indicative of UAL's ongoing performance. UAL believes that adjusting for MTM gains and losses on equity investments is useful to investors because those unrealized gains or losses may not ultimately be realized on a cash basis.

CASM is a common metric used in the airline industry to measure an airline's cost structure and efficiency. UAL reports CASM excluding special charges, third-party business expenses, fuel and profit sharing. UAL believes that adjusting for special charges is useful to investors because special charges are charges not indicative of UAL's ongoing performance. UAL also believes that excluding third-party business expenses, such as maintenance, ground handling and catering services for third parties, and fuel sales, provides more meaningful disclosure because these expenses are not directly related to UAL's core business. UAL also believes that excluding fuel costs from certain measures is useful to investors because it provides an additional measure of management's performance excluding the effects of a significant cost item over which management has limited influence. UAL excludes profit sharing because this exclusion allows investors to better understand and analyze our operating cost performance and provides a more meaningful comparison of our core operating costs to the airline industry. Reconciliations of reported non-GAAP financial measures to the most directly comparable GAAP financial measures are included below.
Non-GAAP Financial Reconciliation: Three Months Ended
March 31, 2018 in cents
Three Months Ended
March 31, 2017 in cents
%
Increase/
(Decrease)
CASM Mainline Operations (cents)
Cost per available seat mile (CASM)
13.58 13.15 3.3
CASM Mainline Operations (cents): Cost per available seat mile (CASM):Special charges (C) 0.07 0.09 NM
CASM Mainline Operations (cents): Cost per available seat mile (CASM): Third-party business expenses 0.06 0.09 (33.3)
CASM Mainline Operations (cents): Cost per available seat mile (CASM): Fuel expense 2.94 2.44 20.5
CASM Mainline Operations (cents): CASM, excluding special charges, third-party business expenses and fuel 10.51 10.53 (0.2)
CASM Mainline Operations (cents): CASM, excluding special charges, third-party business expenses and fuel: Profit sharing per available seat mile 0.03 0.03
CASM Mainline Operations (cents): CASM, excluding special charges, third-party business expenses, fuel, and profit sharing 10.48 10.50 (0.2)
CASM Consolidated Operations (cents)
Cost per available seat mile (CASM)
14.13 13.55 4.3
CASM Consolidated Operations (cents): Cost per available seat mile (CASM):Special charges (C) 0.07 0.08 NM
CASM Consolidated Operations (cents): Cost per available seat mile (CASM): Third-party business expenses 0.05 0.07 (28.6)
CASM Consolidated Operations (cents): Cost per available seat mile (CASM): Fuel expense 3.17 2.60 21.9
CASM Consolidated Operations (cents): CASM, excluding special charges, third-party business expenses and fuel 10.84 10.80 0.4
CASM Consolidated Operations (cents): CASM, excluding special charges, third-party business expenses and fuel: Profit sharing per available seat mile 0.02 0.04 (50.0)
CASM Consolidated Operations (cents): CASM, excluding special charges, third-party business expenses, fuel, and profit sharing 10.82 10.76 0.6
NM means Not Meaningful
UNITED CONTINENTAL HOLDINGS, INC.
NON-GAAP FINANCIAL RECONCILIATION (Continued)
Non-GAAP Financial Reconciliation continued: Three Months Ended
March 31, 2018 (In millions)
Three Months Ended
March 31, 2017 (In millions)
$
Increase/
(Decrease)
%
Increase/
(Decrease)
Operating expenses $8,756 $8,106 $650 8.0
Operating expenses: Special charges (C) 40 51 (11) NM
Operating expenses, excluding special charges 8,716 8,055 661 8.2
Operating expenses, excluding special charges: Third-party business expenses 31 40 (9) (22.5)
Operating expenses, excluding special charges: Fuel expenses 1,965 1,560 405 26.0
Operating expenses, excluding special charges: Profit sharing, including taxes 17 20 (3) (15.0)
Operating expenses, excluding fuel, profit sharing, special charges and third-party business expenses $6,703 $6,435 $268 4.2
Operating income $276 $320 $(44) (13.8)
Operating income: Special charges (C) 40 51 (11) NM
Operating income, excluding special charges $316 $371 $(55) (14.8)
Pre-tax income $184 $150 $34 22.7
Income before income taxes: Special charges and MTM gains on equity investments before income taxes (C) (5) 51 (56) NM
Pre-tax income excluding special charges and MTM gains on equity investments $179 $201 $(22) (10.9)
Net income $147 $99 $48 48.5
Net income: Special charges and MTM gains on equity investments, net of tax (C) (4) 33 (37) NM
Net income, excluding special charges and MTM gains on equity investments 143 132 11 8.3
Diluted earnings per share $0.52 $0.32 $0.20 62.5
Diluted earnings per share: Special charges and MTM gains on equity investments (0.02) 0.16 (0.18) NM
Diluted earnings per share: Tax effect related to special charges and MTM gains on equity investments (0.06) 0.06 NM
Diluted earnings per share, excluding special charges and MTM gains on equity investments $0.50 $0.42 $0.08 19.0
NM means Not Meaningful
UNITED CONTINENTAL HOLDINGS, INC.
NON-GAAP FINANCIAL RECONCILIATION (Continued)

UAL provides financial metrics, including earnings before interest, taxes, depreciation and amortization (EBITDA), that we believe provide useful supplemental information for management and investors by measuring profit and profit as a percentage of total operating revenues. UAL also provides EBITDA excluding special charges that management believes are not indicative of UAL's ongoing performance, and excluding MTM on equity investments, which represents unrealized gains or losses that may not ultimately be realized on a cash basis.
EBITDA, excluding special charges and MTM gains on equity investments (in millions) Three Months Ended
March 31, 2018
Three Months Ended
March 31, 2017
Net income $147 $99
Adjusted For:
Depreciation and amortization
541 518
Adjusted For: Interest expense 176 162
Adjusted For: Interest capitalized (19) (23)
Adjusted For: Interest income (17) (11)
Adjusted For: Income tax expense (D) 37 51
Adjusted For: Special charges before income taxes (C) 40 51
Adjusted For: MTM gains on equity investments (C) (45)
Adjusted EBITDA, excluding special items $860 $847
UAL believes that adjusting capital expenditures for assets acquired through the issuance of debt and capital leases, airport construction financing and excluding fully reimbursable projects is useful to investors in order to appropriately reflect the non-reimbursable funds spent on capital expenditures. UAL also believes that adjusting net cash provided by operating activities for capital expenditures and adjusted capital expenditures is useful to allow investors to evaluate the company's ability to generate cash that is available for debt service or general corporate initiatives.
Capital Expenditures (in millions) Three Months Ended
March 31, 2018
Three Months Ended
March 31, 2017
Capital Expenditures: Capital expenditures $979 $691
Capital Expenditures: Capital expendituresProperty and equipment acquired through the issuance of debt and capital leases 74 711
Capital Expenditures: Capital expendituresAirport construction financing 12 21
Capital Expenditures: Capital expendituresFully reimbursable projects (52) (69)
Capital Expenditures:Adjusted capital expenditures – Non-GAAP $1,013 $1,354
Free Cash Flow (in millions) Three Months Ended
March 31, 2018
Three Months Ended
March 31, 2017
Free Cash Flow: Net cash provided by operating activities $1,733 $547
Free Cash Flow: Net cash provided by operating activities: Less capital expenditures 979 691
Free Cash Flow: Free cash flow, net of financings - Non-GAAP $754 $(144)
Free Cash Flow: Net cash provided by operating activities $1733 $547
Free Cash Flow: Net cash provided by operating activities: Less adjusted capital expenditures – Non-GAAP 1,013 1,354
Free Cash Flow: Free cash flow - Non-GAAP $720 $(807)
UNITED CONTINENTAL HOLDINGS, INC.
NOTES (UNAUDITED)

(B) Select passenger revenue information is as follows (in millions):
Notes unaudited: 1Q 2018
Passenger
Revenue
(millions)
Passenger
Revenue
vs.
1Q 2017
PRASM
vs.
1Q 2017
Yield
vs.
1Q 2017
Available
Seat Miles
vs.
1Q 2017
Mainline $3,485 6.5% 1.7% 2.2% 4.7%
Regional 1,483 7.5% 0.5% 1.6% 7.0%
Domestic 4968 6.8% 1.6% 2.2% 5.2%
Atlantic 1,252 12.1% 8.8% 1.0% 3.1%
Pacific 1,069 1.5% (1.5%) (1.9%) 3.0%
Latin America 860 3.4% 5.1% 2.9% (1.6%)
International 3,181 6.0% 4.1% 1.0% 1.8%
Consolidaterd $8,149 6.5% 2.7% 1.7% 3.6%
Mainline $6,616 6.2% 2.8% 1.6% 3.3%
Regional 1,533 7.5% 1.1% 1.7% 6.3%
Consolidated $8,149
UNITED CONTINENTAL HOLDINGS, INC.
NOTES (UNAUDITED)

(C) Special charges and MTM gains on equity investments include the following:
(In millions) Three Months Ended
March 31, 2018 (In millions)
Three Months Ended
March 31, 2017 (In millions)
Operating:
Operating: Severance and benefit costs
$14 $37
Operating: Impairment of assets 23
Operating: (Gains) losses on sale of assets and other special charges 3 14
Operating: (Gains) losses on sale of assets and other special charges Total special charges 40 51
Operating: Nonoperating MTM gains on equity investments (45)
Operating: Nonoperating MTM gains on equity investmentsTotal special charges and MTM gains on equity investments (5) 51
Operating: Income tax benefit related to special charges (9) (18)
Operating: Income tax expense related to MTM gains an on equity investments 10
Operating: Total special charges and MTM gains on equity investments, net of income taxes $(4) $(33)

Severance and benefit costs:During the three months ended March 31, 2018 and 2017, the company recorded $8 million ($7 million net of taxes) and $21 million ($14 million net of taxes), respectively, of severance and benefit costs primarily related to a voluntary early-out program for its technicians and related employees represented by the International Brotherhood of Teamsters. In the first quarter of 2017, approximately 1,000 technicians and related employees elected to voluntarily separate from the company and will receive a severance payment, with a maximum value of $100,000 per participant, based on years of service, with retirement dates through early 2019. Also during the three months ended March 31, 2018 and 2017, the company recorded $6 million ($4 million net of taxes) and $16 million ($10 million net of taxes), respectively, of severance related to its management reorganization initiative.

Impairment of assets:During the three months ended March 31, 2018, the company recorded a $23 million ($17 million net of taxes) fair value adjustment for aircraft purchased off lease and impairments related to certain fleet types and certain international slots no longer in use.

MTM gains on equity investments: During the three months ended March 31, 2018, the company recorded a gain of $45 million ($35 million net of taxes) for the change in market value of its investment in Azul, S.A. For equity investments subject to MTM accounting, the company records gains and losses to Nonoperating income (expense): Miscellaneous, net in its statements of consolidated operations.

(D) Effective tax rate

The company's effective tax rate for the three months ended March 31, 2018 and 2017 was 20.3% and 33.6%, respectively. The effective tax rates represented a blend of federal, state and foreign taxes and included the impact of certain nondeductible items. The effective tax rate for the three months ended March 31, 2018 also reflects the reduced federal corporate income tax rate as a result of the enactment of the Tax Cuts and Jobs Act ("Tax Act") in December 2017 and the impact of a change in the mix of domestic and foreign earnings. We continue to analyze the different aspects of the Tax Act which could potentially affect the provisional estimates that were recorded at December 31, 2017.

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

United Airlines Gifts a Best-ever Holiday Season Operation to Customers to Wrap Up the Year

January 04, 2018

CHICAGO, Jan. 4, 2018 /PRNewswire/ -- United Airlines announced today its best-ever December operation to conclude a year of record-breaking operational performance. Notwithstanding subzero temperatures and peak holiday customer loads, United delivered on-time departures and high completion rates for the month of December during the busy holiday travel season.

Between December 20 and New Year's Day, United and United Express led the competition, with the most flights departing on time, connecting millions of customers with family and friends for the holidays. United also achieved a 100 percent completion rate on December 28 and 29.

This holiday season's operation was a fitting end to a year full of performance records. In 2017, United consistently notched operational bests in on-time arrivals and completions while seeing the fewest cancellations and the best baggage performance in company history.

"Thanks to the commitment and professionalism of our employees, we were able to deliver a record-setting operation for our customers last year, and look forward to reaching new heights in 2018," said Chief Operations Officer and EVP Greg Hart.

United finished the year with 59 days of 100 percent mainline completion, shattering its previous record of 21 days in 2016.

About United

United Airlines and United Express operate approximately 4,500 flights a day to 338 airports across five continents. In 2017, United and United Express operated more than 1.6 million flights carrying more than 148 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, New York/Newark, San Francisco and Washington, D.C. United operates 744 mainline aircraft and the airline's United Express carriers operate 518 regional aircraft. The airline is a founding member of Star Alliance, which provides service to 191 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

United Airlines adds the South Pacific's Most Stunning Tropical Paradise to its Growing List of New Routes

December 13, 2017

SAN FRANCISCO, Dec. 13, 2017 /PRNewswire/ -- United Airlines (UAL), the leading carrier in the San Francisco Bay Area, today announced it will begin service between San Francisco and Pape'ete, the capital of Tahiti, the South Pacific's gateway to more than 118 islands in French Polynesia including Bora Bora, Moorea, the Marquesas and Raiatea. United is the only U.S. carrier offering nonstop service to Tahiti from the mainland United States. Tickets are now available for purchase.

"We are excited to announce Tahiti as our 13th new international route this year, and we are even more thrilled about offering our customers a whole new world of vacation opportunities," said Patrick Quayle, United's vice president of International Network. "We know our customers want more destinations to choose from to escape the winter weather, and we look forward to being the airline that connects them to this corner of paradise."

United's service from San Francisco will connect customers to the South Pacific's most pristine waters, white sand beaches, stunning turquoise lagoons, coral atolls and volcanic mountain peaks. Visitors to the islands experience a tropical paradise and countless spaces to relax and reconnect in natural beauty and authentic French Polynesian island culture.

United will operate nonstop service, three times weekly with Boeing 787 Dreamliner aircraft between its San Francisco hub and Fa'a'ā International Airport (PPT), beginning Oct. 30, 2018, through March 28, 2019, subject to government approval.

Winter 2018 schedule – Subject to government approval

Flight

City

Frequency

Depart*

Arrive*

UA 115

SFO - PPT

Tues/Thurs/Sun

2:45 p.m.

9:25 p.m.

UA 114

PPT - SFO

Tues/Thurs/Sun

11:45 p.m.

9:50 a.m. next day

*Flight Times Subject to Change

United's Long History Connecting Customers to the Pacific Islands

United's love affair with the Pacific islands started more than 70 years ago and continues today. It began in 1947 with United's first flight across the Pacific from San Francisco to Honolulu, making the Hawaiian Islands an easily accessible destination for tourism and business. Today, United offers more flights between the mainland and the Hawaiian Islands than any other U.S. carrier.

In 1968, United expanded its Pacific network linking the Hawaiian Islands, the Marshall Islands, Micronesia and Guam. Today, nearly half a century later, United's Island Hopper - Flight 155 - departs Guam in the morning and makes a series of five, one-hour flights to the islands of Chuuk, Pohnpei, Kosrae; Kwajalein and Majuro. In addition to the airline's popular Island Hopper service, United connects customers from Guam to other island destinations including Palau, Yap and the Philippines.

In 1986, United began nonstop service from its West Coast hubs in the U.S. to Sydney and Melbourne, Australia. Today, United is the largest U.S. carrier to serve Australia, offering the most seats to Sydney and Melbourne with its daily nonstop service from San Francisco and Los Angeles.

Building its powerful Pacific network, last year United began nonstop service from San Francisco to Auckland, New Zealand, becoming the largest mainland U.S. carrier to serve the City of Sails.

United's San Francisco Hub

United and United Express operate more than 250 daily flights between San Francisco and 90 destinations throughout North America, Latin America, Asia, Europe and the Caribbean. Beginning in June 2018, United will start nonstop seasonal summer service between San Francisco and Zurich.

About United

United Airlines and United Express operate approximately 4,500 flights a day to 337 airports across five continents. In 2016, United and United Express operated more than 1.6 million flights carrying more than 143 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 751 mainline aircraft and the airline's United Express carriers operate 489 regional aircraft. The airline is a founding member of Star Alliance, which provides service to more than 190 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

United Airlines Features Now Available on the Season's Hottest Holiday Gifts

December 05, 2017

CHICAGO, Dec. 5, 2017 /PRNewswire/ -- Today, United Airlines announced even more ways for its tech-savvy customers to use some of their favorite smart devices, such as the Google Assistant on their phone or Google Home as well as the Fitbit Ionic™ smartwatch to help manage their travel. United is the first airline to allow customers to use apps via the Google Assistant and Fitbit Ionic smartwatch for quick and convenient access to information and check in for flights, just in time to provide the perfect gift for travelers during the upcoming holiday season.

"Consumers around the world use smart devices every day to conveniently complete a variety of different tasks," said Praveen Sharma, vice president of digital products and analytics at United. "Adding a United app to the Google Assistant and Fitbit Ionic allows us to meet our customers on devices they already know and love, while making it easier than ever to check flight status, check in, learn about MileagePlus account details and receive their boarding passes."

The new United app on the Google Assistant lets customers use smart speakers like Google Home, and eligible Android and iPhone devices to stay up-to-date on their flight. Once customers have linked their MileagePlus account to the Google Assistant, users can say "talk to United" to hear their flight status, check amenities and check in for their upcoming flight. The new app also allows Google Assistant users to check their MileagePlus account balances, hear their last account activity, check in for their United domestic U.S. flights and hear flight information.

Earlier today, Fitbit announced additions to its App Gallery that allows owners of the Ionic smartwatch to choose from more than 60 apps and 100+ clock faces to personalize their watch. United, which is the first airline app coming to Fitbit Ionic, will allow customers to receive flight status information and their boarding pass on the device with no need to pull out their phone. To access the United app on the Ionic smartwatch, customers can connect their MileagePlus account in the United app settings within the Fitbit mobile app, and sync Ionic to update the watch.

In September, United became the first U.S.-based airline to allow customers to offer an Amazon Alexa skill which allows customers to check in for their trips and receive flight information on Alexa-enabled devices. The airline continues looking for opportunities to offer innovative options to improve the customer experience.

About United

United Airlines and United Express operate approximately 4,500 flights a day to 337 airports across five continents. In 2016, United and United Express operated more than 1.6 million flights carrying more than 143 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 751 mainline aircraft and the airline's United Express carriers operate 489 regional aircraft. The airline is a founding member of Star Alliance, which provides service to more than 190 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

United Sets Company Performance Records During Busy Thanksgiving Travel Week

November 28, 2017

CHICAGO, Nov. 28, 2017 /PRNewswire/ -- This holiday travel period, from November 19 to November 26, United Airlines (UAL) set several company records, landing its best-ever Thanksgiving completion factor and twice breaking on-time performance records in the midst of some of the busiest travel days of the year.

On Thursday, United not only set a Thanksgiving record, but an all-time company record for on-time departures, with 89.1 percent, only to see that record broken the following day with an 89.8 percent on-time departure rate on Friday.

"This Thanksgiving we connected millions of our customers with family, friends and the moments that matter most in their lives. And last week our employees went above and beyond to deliver on that commitment with record-shattering results," said EVP and Chief Operations Officer Greg Hart.

Five of United's hubs – Denver, Newark, Dulles, Houston, and Chicago – broke all-time hub on-time departure records during the week, with Chicago leading the way with a 94.4 percent consolidated on-time departure average on November 24.

United also finished the week with 99.6 percent consolidated completion, spurred by three days – including Wednesday, the busiest travel day – of zero cancellations and five straight days of zero cancellations on United Express.

About United

United Airlines and United Express operate approximately 4,500 flights a day to 337 airports across five continents. In 2016, United and United Express operated more than 1.6 million flights carrying more than 143 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, Newark/New York, San Francisco and Washington, D.C. United operates 751 mainline aircraft and the airline's United Express carriers operate 489 regional aircraft. The airline is a founding member of Star Alliance, which provides service to more than 190 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com

Ten New Domestic Routes Landing at United Airlines Just in time for Spring Travel

November 21, 2017

CHICAGO, Nov. 21, 2017 /PRNewswire/ -- United Airlines (UAL) today announced it will offer customers more opportunities to travel from five of its U.S. hubs to 10 cities in California, Florida, Montana, New York, North Carolina, Oregon and Texas beginning in April 2018. Additionally, the airline announced it will optimize its O'Hare International Airport (ORD) schedule to provide shorter connection times and more options for customers connecting through Chicago.

"We continue to focus on making United the first choice for customers when planning their domestic and international travel," said Grant Whitney, United's vice president of Domestic Network Planning. "Our new daily services connect customers to important business markets and our new seasonal summer routes provide more customers with convenient access to enjoy our National Parks."

New year round service

United will now serve Wilmington, North Carolina from Chicago and Washington Dulles and Elmira, New York from New York/Newark. The full list of new routes includes:

Hub

New Destination

Frequency

Begins

Aircraft

Chicago (ORD)

El Paso (ELP)

2 flights daily

April 9

E170

Chicago (ORD)

Wilmington (ILM)

2 flights daily

April 9

ERJ

Denver (DEN)

Jacksonville (JAX)

1 flight daily

April 9

E175

Los Angeles (LAX)

Redmond (RDM)

2 flights daily

April 9

CRJ

Los Angeles (LAX)

Medford (MFR)

2 flights daily

April 9

CRJ

New York/Newark (EWR)

Elmira (ELM)

2 flights daily

April 9

ERJ

Washington-Dulles (IAD)

Wilmington (ILM)

2 flights daily

April 9

ERJ

New seasonal daily service from Chicago (ORD) and Los Angeles (LAX)

With United's new summer service, more customers will have easier access to popular outdoor destinations like Yosemite National Park near Fresno; Glacier National Park near Kalispell and Yellowstone National Park near Missoula.

Hub

New Destination

Frequency

Begins

Aircraft

Chicago (ORD)

Fresno (FAT)

Daily

June 7

E175

Los Angeles (LAX)

Kalispell (FCA)

Daily

June 7

CRJ

Los Angeles (LAX)

Missoula (MSO)

Daily

June 7

CRJ

Enhancing operations in Chicago

Beginning in February 2018, a newly enhanced bank structure at O'Hare will mean shorter connection times and better access to more destinations for customers connecting through the carrier's Chicago hub. This operations enhancement, already in place at United's Houston hub, will enable United to greatly improve connectivity throughout its industry-leading global route network.

About United

United Airlines and United Express operate approximately 4,500 flights a day to 337 airports across five continents. In 2016, United and United Express operated more than 1.6 million flights carrying more than 143 million customers. United is proud to have the world's most comprehensive route network, including U.S. mainland hubs in Chicago, Denver, Houston, Los Angeles, New York/Newark, San Francisco and Washington, D.C. United operates 743 mainline aircraft and the airline's United Express partners operate 478 regional aircraft. The airline is a founding member of Star Alliance, which provides service to 190 countries via 28 member airlines. For more information, visit united.com, follow @United on Twitter or connect on Facebook. The common stock of United's parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol "UAL".

SOURCE United Airlines

For futher information: United Airlines Worldwide Media Relations, +1-872-825-8640, media.relations@united.com