United Airlines Reports First-Quarter 2018 Performance - United Hub

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

United Offers Customers Booked for Travel Through the End of 2020 Flexibility to Change Their Trips

April 07, 2020

CHICAGO, April 7, 2020 /PRNewswire/ -- United announced today that customers can make changes to, or cancel, any travel they have booked through the end of the year without fees if they act between now and April 30.

Many customers' previous plans for travel, including summer vacations, conferences and events have changed or are uncertain due to the COVID-19 outbreak. To help with the uncertainty around their future travel, customers who wish to change their dates of travel can do so without paying a change fee. Customers who wish to cancel their travel can request an Electronic Travel Certificate (ETC) for the full value of their ticket. United recently extended the expiration dates for all ETCs to 24 months from their date of issue.

This new level of flexibility is in addition to United's existing policy allowing anyone booking travel between March 3 – April 30 for future dates to change their tickets at no cost over the next 12 months.

With United's shared purpose of connecting people and uniting the world we will be ready to welcome back travelers when they feel comfortable returning to the friendly skies.


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

United Airlines Extends Status for MileagePlus Premier Members to 2022, Makes Earning Status Easier

April 06, 2020

CHICAGO, April 6, 2020 /PRNewswire/ -- United Airlines is announcing a series of key changes to assist customers and MileagePlus members, including extending members' current MileagePlus Premier status through January 2022. At a minimum, all MileagePlus Premier members will retain the status they earned for 2020, through January 2022*. In addition, for the 2021 status year, United is reducing thresholds for Premier qualification by 50 percent for each status level, to make reaching an even higher status tier easier.

"From the onset of this crisis, we committed to doing what is right and fair for all of our members," said Luc Bondar, vice president of loyalty at United. "Over the years, our members have placed their trust and loyalty in United, and through the various initiatives we're laying out today, we are reiterating our mutual commitment and loyalty to them. When they are ready to travel with us again, we will be there for them. And in these unprecedented times where it seems like every day brings new challenges, it's an honor to share positive news that will – I hope – put a smile on the faces of our loyal customers."

In addition to extending premier status for members into 2022 and lowering thresholds for each Premier tier, for the first time ever, United is increasing the maximum number of premier qualifying points (PQPs) United Explorer and United Club credit card holders can earn through card spend toward status in 2021. From May 1 through December 31, 2020, United will be offering a promotion that doubles the maximum PQPs for United Explorer credit cardmembers and quadruples the maximum PQPs for United Club cardmembers to help customers achieve a higher level of status. More details on this promotion will be available in the future.

Additionally, United is increasing the ability for Premier members to use their upgrade benefits. First, the airline is offering a six-month extension for all PlusPoints, the currency used for systemwide upgrades, that are set to expire on or before January 31, 2021. United is also expanding the availability of Skip Waitlist– an upgrade option that allows Premier 1K members to confirm upgrades at the time of booking – to significantly more international long-haul flights.

For customers who purchased annual membership and subscription benefits directly from United, the expiration will be extended by six months, ensuring that they receive the full value of their benefits when they are ready to start flying again. This includes United Club℠ memberships purchased directly from United and purchased subscriptions for Economy Plus®, United Wi-Fi℠ and checked bags.

To provide customers with more flexibility, United is extending electronic travel certificates (ETCs) and waiving redeposit fees for members who booked travel using award miles. ETCs will now be valid for two years from the time of booking. The airline is also waiving all redeposit fees for members who have flights booked through May 31, 2020 and will be waiving fees for all members who cancel their flights at least 30 days before departure for the remainder of 2020.

All of the changes mentioned above will be updated automatically and reflected in customers' accounts in the coming weeks. In recognition that the long-term impacts from COVID-19 remain uncertain, United has committed to making earning status in 2022 easier during 2021 and will be sharing additional details on this commitment later this year. For more information on these changes, visit https://hub.united.com/united-mileageplus-premier-status-extension-2645643749.html.

* Status extension to January 31, 2022, applies to all members that met the published criteria of the MileagePlus program in 2019, status associated with the United/Marriott RewardsPlus program and status offered as part of a Sales nomination. Status granted from other programs and policies may not apply.

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

United Airlines partners with New York City to fly medical volunteers to help in COVID-19 fight

April 03, 2020

NEW YORK, April 3, 2020 /PRNewswire/ -- United Airlines is partnering with New York City to provide free round-trip flights for medical volunteers who want to help in the frontline fight against the COVID-19 crisis. The airline is working closely with the Mayor's Fund to Advance New York City and a network of medical volunteer organizations, including The Society of Critical Care Medicine, to coordinate travel for doctors, nurses and other medical professionals from across the country to help treat patients, in this time of unprecedented need.

"Our healthcare workers are heroes, and they need reinforcements," said New York City Mayor Bill de Blasio. "This generous partnership with United Airlines will ensure medical professionals from across the country can come to New York City to help us in our hour of need."


"The New Yorkers working on the frontlines of COVID-19 have been and continue to be incredibly brave and tireless in their efforts," said Toya Williford, Executive Director of the Mayor's Fund to Advance New York City. "To know there are health care heroes across the country who are willing to step in and lend their support, and that United stands ready to fly them here, is wonderfully heartening. The Mayor's Fund is deeply grateful for our trusted partners in the business community during these trying times."

The need for medical volunteers has never been more important in New York City, which as of today has more than 50,000 confirmed cases of COVID-19, the most of any U.S. city.

"We are profoundly grateful for the extraordinarily talented and selfless individuals who are working around the clock and have an unwavering commitment to support our communities and medical providers at this time of exceptional need," said Jill Kaplan, President, New York / New Jersey for United Airlines. "It is our hope that providing air travel at no cost will allow additional dedicated volunteers and first responders the ability to reach the Tri-State area, that has been hit hardest by COVID-19."

United is working with local government agencies and their non-profit partners to ensure qualified medical professionals are staffed in hospitals best suited to their areas of expertise and have the proper housing and transportation to enable them to effectively offer their services. The airline is also closely collaborating with a network of professional medical volunteer organizations to help further enlist volunteers who have offered their support in this time of great need.

"The COVID-19 pandemic is one of those extraordinary times that demonstrates how we come together as a profession to provide desperately needed assistance and care," said Society of Critical Care Medicine President, Lewis J Kaplan, M.D., FCCM. "We are so proud that, despite the risk, critical care professionals are among those who have volunteered to drop everything and help their New York colleagues during this crisis. We are especially thankful that United Airlines is providing complimentary airfare so that volunteers can get to New York quickly and hit the ground running."

United plans to expand this program to additional areas in the Tri-State region and beyond to allow more volunteers to offer their vitally important services in the places that need them most.

For more information on the Mayor's Fund to Advance New York City, please visit the organization's website here. Those interested in volunteering or learning more about the program can visit the New York City Health's website here.


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

A Message From Oscar Munoz and Scott Kirby

March 27, 2020

CHICAGO, March 27, 2020 /PRNewswire/ -- Oscar Munoz, Chief Executive Officer, and J. Scott Kirby, President, today issued the following message to nearly 100,000 United Airlines (NASDAQ: UAL) employees:

To our United Family:

Today, Congress passed an emergency COVID-19 response bill that includes significant financial backing for the airline industry. This decisive, bipartisan action by our elected leaders in Washington, D.C. is good news for our country, our economy, our health care system, our industry, and importantly our family here at United Airlines.

The impact of COVID-19 on demand for air travel has been dramatic and unprecedented – far worse than even the aftermath of 9/11. This federal assistance buys us time to adapt to this new environment and assess how long it will take for our economy to begin to recover. But, what this means for you right now is that *United will not conduct involuntary furloughs or pay cuts in the U.S. before September 30th*.

Everyone had a role in this effort and, as you always do, you came through for us. While Oscar, Scott, our union leaders and our government affairs and regulatory teams worked around-the-clock, on behalf of all of you, to educate leaders in the federal government about the unique and dramatic impact the COVID-19 outbreak has had on United Airlines, our United Airlines family sprang into action.

Your participation in the last few days was critical. More than 30,000 of you sent more than 100,000 messages to your representatives in Congress and another 5,000 signed a petition for international employees and retirees. Our union leaders also activated their organizations to amplify the message for the good of our company. The speed at which everyone stepped up and acted was remarkable and shows that when we come together, we can accomplish incredible things for our company. Thank you for what you did to help in getting this legislation passed.

We also wanted to pause and thank you for performing at your best to take care of our customers and each other through all of this uncertainty. Our operations teams have literally been on the front lines of this crisis, working directly with our customers and helping them navigate the ever-changing series of schedule adjustments, government mandates and restrictions on places prohibiting travel.

Specifically, our pilots, flight attendants, airport agents, ramp service, technicians and catering teams are showing up at airports all across the country, every day, helping customers and one another, and looking for opportunities to do the right thing. But they're not the only ones who continue to go the extra mile in these trying times – it should be no surprise that our contact center employees have been particularly tested, handling nearly one million calls in the last two weeks alone. Through it all, they are doing what they do best: being there for our customers and remaining upbeat and positive.

Across the board, we've never been prouder of this team and what we stand for but unfortunately our work is just beginning. As we look forward, the lessons of past disruptions like 9/11 tell us that we can't pretend that we are out of the woods. Things are very different today than they were just four weeks ago.

The global economy has taken a big hit, and we don't expect travel demand to snap back for some time. Our April schedule is already cut by more than 60% and we expect our load factors to fall into the teens or single digits even with 60% less capacity. We are currently planning to make even deeper cuts in May and June.

And, based on how doctors expect the virus to spread and how economists expect the global economy to react, we expect demand to remain suppressed for months after that, possibly into next year. We will continue to plan for the worst and hope for a faster recovery but no matter what happens, taking care of each of our people will remain our number one priority. That means being honest, fair and upfront with you: if the recovery is as slow as we fear, it means our airline and our workforce will have to be smaller than it is today.

Amid these questions about United's future and this disruption to our daily routines, we feel it's more important than ever to connect with you. Social distancing makes that challenging, of course, but our team has found a way for us to use technology to host a "virtual town hall" next Thursday, April 2nd, where we can talk more about these challenges and answer your questions. We'll soon have more details on timing and how you can participate. We hope you will.

We remain in the business of serving people even when there are fewer people traveling. And even in this time of uncertainty, some things are constant: we still have the best airline professionals in the world; we still put our customers at the center of everything we do; we still operate in the best hubs; and we still have a deep-seated culture of caring for one another.

So when travel demand returns - and it will return - we will bounce back and be ready to accelerate towards our goal of becoming the best airline in the history of aviation.

Thank you for all you do.

Oscar and Scott

About United

United's shared purpose is "Connecting People. Uniting the World." We are more focused than ever on our commitment to customers through a series of innovations and improvements designed to help build a great experience: Every customer. Every flight. Every day. Together, United and United Express operate approximately 4,900 flights a day to 362 airports across six continents. In 2019, United and United Express operated more than 1.7 million flights carrying more than 162 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 791 mainline aircraft and the airline's United Express partners operate 581 regional aircraft. United is a founding member of Star Alliance, which provides service to 195 countries via 26 member airlines. For more information, visit united.com, follow @United on Twitter and Instagram or connect on Facebook. The common stock of United's parent, United Airlines Holdings, Inc., is traded on the Nasdaq under the symbol "UAL".

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements in this release are forward-looking and thus reflect the Company's 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 the Company's 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," "remains," "believes," "estimates," "forecast," "guidance," "outlook," "goals," "targets" 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 the Company on the date of this release. The Company undertakes 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.

The Company's actual results could differ materially from these forward-looking statements due to numerous factors including, without limitation, the following: the Company's ability to execute its strategic operating plan, including its growth, revenue-generating and cost-control initiatives; 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); risks of doing business globally, including instability and political developments that may impact its operations in certain countries; demand for travel and the impact that global economic and political conditions have on customer travel patterns; the Company's capacity decisions and the capacity decisions of its competitors; competitive pressures on pricing and on demand; changes in aircraft fuel prices; disruptions in the Company's supply of aircraft fuel; the Company's ability to cost-effectively hedge against increases in the price of aircraft fuel, if it decides to do so; the effects of any technology failures, cybersecurity or significant data breaches; disruptions to services provided by third-party service providers; potential reputational or other impact from adverse events involving the Company's aircraft or operations, the aircraft or operations of its regional carriers or its code share partners or the aircraft or operations of another airline; the Company's ability to attract and retain customers; the effects of any terrorist attacks, international hostilities or other security events, or the fear of such events; the mandatory grounding of aircraft in the Company's fleet; disruptions to the Company's regional network; the impact of regulatory, investigative and legal proceedings and legal compliance risks; the success of the Company's investments in other airlines, including in other parts of the world; industry consolidation or changes in airline alliances; the ability of other air carriers with whom the Company has alliances or partnerships to provide the services contemplated by the respective arrangements with such carriers; costs associated with any modification or termination of the Company's aircraft orders; disruptions in the availability of aircraft, parts or support from its suppliers; the Company's ability to maintain satisfactory labor relations and the results of any collective bargaining agreement process with its union groups; any disruptions to operations due to any potential actions by the Company's labor groups; labor costs; the existing outbreak of coronavirus and the outbreak of any other disease or similar public health threat that affects travel demand or travel behavior; the impact of any management changes; extended interruptions or disruptions in service at major airports where the Company operates; U.S. or foreign governmental legislation, regulation and other actions (including Open Skies agreements, environmental regulations and the United Kingdom's withdrawal from the European Union); the seasonality of the airline industry; weather conditions; the costs and availability of aviation and other insurance; the costs and availability of financing; the Company's ability to maintain adequate liquidity; the Company's ability to comply with the terms of its various financing arrangements; the Company's ability to realize the full value of its intangible assets and long-lived assets; any impact to the Company's reputation or brand image and other risks and uncertainties set forth under Part I, Item 1A., "Risk Factors," of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2019 as well as other risks and uncertainties set forth from time to time in the reports it files with the SEC.

SOURCE United Airlines

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

United Reinstates Some International Flights Across the Globe to Help Customers Get Where they Need to Be

March 21, 2020

CHICAGO, March 21, 2020 /PRNewswire/ -- While travel demand continues to drop and United continues to adjust its schedules accordingly, the airline knows some people around the globe are displaced and still need to get home. While United's international schedule will still be reduced by about 90% in April, the airline will continue flying six daily operations to and from the following destinations – covering Asia, Australia, Latin America, the Middle East and Europe – in an effort to get customers where they need to be. This remains a fluid situation, but United continues to play a role in connecting people and uniting the world, especially in these challenging times.

Flights continuing from now through May schedule

  • Newark/New York – Frankfurt (Flights 960/961)
  • Newark/New York – London (Flights 16/17)
  • Newark/New York – Tel Aviv (Flights 90/91)
  • Houston – Sao Paulo (Flights 62/63)
  • San Francisco – Tokyo-Narita (Flights 837/838)
  • San Francisco – Sydney (Flights 863/870)

In addition to the above, United has reinstated the following flights to help displaced customers who still need to get home.

Flights through 3/27 outbound

  • Newark/New York – Amsterdam (Flights 70/71)
  • Newark/New York – Munich (Flights 30/31)
  • Newark/New York – Brussels (Flights 999/998)
  • Washington-Dulles – London (Flights 918/919)
  • San Francisco – Frankfurt (Flights 58/59)
  • Newark/New York – Sao Paulo (Flights 149/148)

Flights through 3/29 outbound

  • San Francisco – Seoul (Flights 893/892)

In destinations where government actions have barred us from flying, we are actively looking for ways to bring customers who have been impacted by travel restrictions back to the United States. This includes working with the U.S. State Department and the local governments to gain permission to operate service.

SOURCE United Airlines

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

United Airlines Continues Draw Down of International Schedule

March 20, 2020

CHICAGO, March 20, 2020 /PRNewswire/ -- United continues to aggressively manage the impact of the coronavirus (COVID-19) outbreak on our employees, our customers and our business. Due to government mandates or restrictions in place prohibiting travel, the airline is reducing its international schedule by 95% for April. The revised international schedule will be viewable on united.com on Sunday, March 22:

Atlantic

  • United is drawing down its remaining trans-Atlantic operation. The final westbound departures will take place on March 25, with the exception of its Cape Town-New York/Newark service which will operate as previously scheduled with the last flight departing Cape Town on March 28.

Pacific

  • United will reduce its remaining trans-Pacific operation starting March 22, with final eastbound departures on March 25, with the exception of service between San Francisco and Tahiti and San Francisco and Sydney which will have final returns to San Francisco on March 28.
  • United will maintain some Guam flights as well as a portion of its Island Hopper service.

Latin America

  • United will reduce its Mexico operation over the next five days. After March 24, it will only maintain a small number of daytime flights to certain destinations in Mexico.
  • United will draw down its remaining Central and South America operations. The last southbound departures will take place March 24.

Canada

  • United will temporarily suspend all flying to Canada effective April 1.

In destinations where government actions have barred us from flying, we are actively looking for ways to bring customers who have been impacted by travel restrictions back to the United States. This includes working with the U.S. State Department and the local governments to gain permission to operate service.

SOURCE United Airlines

For further information: media.relations@united.com

A Message From Oscar Munoz, Scott Kirby and Labor Leadership

March 20, 2020

CHICAGO, March 20, 2020 /PRNewswire/ -- Oscar Munoz, Chief Executive Officer, J. Scott Kirby, President, and labor leaders today issued the following message to nearly 100,000 United Airlines (NASDAQ: UAL) employees:

To our United family:

We hope you and your loved ones are well.

In these difficult and uncertain times, we want to continue to keep you updated about all the ways we are aggressively managing the impact of the coronavirus (COVID-19) on our company.

Since you last heard from Oscar and Scott on Sunday, companies around the world, especially in the travel industry, have announced painful steps they've been forced to take to deal with this crisis. Marriott shuttered a number of properties around the world, furloughing tens of thousands of workers. MGM Resorts also closed facilities and will begin furloughs next week. Scandinavian Airlines announced temporary layoffs for 90% of its staff.

In Sunday's message, Oscar and Scott were very direct about just how dire this situation has become and what the company is doing to minimize the impact on you, your families and your paycheck.

Importantly, today's message to all of you is co-signed by many of our labor union partners – and includes a specific request for actions you can take to help.

In recent years, and together with our labor leaders, United has made significant investments in our people and created tens of thousands of high-quality jobs. And we are together now, doing everything possible to protect those jobs.

Earlier this week, we jointly signed a letter to leaders in the federal government calling for bipartisan action by the Administration and the United States Congress to support you, the men and women of United Airlines. Oscar and our partners in organized labor have been front-and-center in Washington D.C. for the past month, leading the charge to educate our representatives about the severe impact COVID-19 has had on our business and all of you.

While many in Washington, D.C. now realize the gravity of this situation, time is running out. The airline has made a number of drastic cuts over the last several weeks to reduce our costs: including slashing capital spending, freezing hiring, cutting payments to contractors and vendors, eliminating all discretionary spending and even cutting our corporate officers' salary by 50% while reducing Oscar and Scott's salary to zero.

However, as travel demand continues to plummet, even more cost-cutting measures will be required soon to keep our company afloat. To be specific, if Congress doesn't act on sufficient government support by the end of March, our company will begin to take the necessary steps to reduce our payroll in line with the 60% schedule reduction we announced for April. May's schedule is likely to be cut even further.

To that end, it's time for our representatives to hear from all of you.

Your voice matters - whether you work on the ramp, greet customers in the lobby, take calls in our contact centers, prepare food for passengers, service our planes or fly on our aircraft - and our representatives in government need to understand what's at stake if they do not act.

Please consider sending a letter or email to your representatives in Washington, D.C. urging them to take quick, bipartisan action to protect airline jobs.

There's one other important way for you to pitch in and help. Thousands of United employees have applied for a company offered leave of absence - which is an important way to help the company reduce costs. As we continue to reduce our schedule, we will continue to offer additional COLA opportunities so if you have not already applied, please consider doing so.

None of us caused COVID-19. But we continue to be among the most severely affected by the economic impact of this crisis, due to the outbreak's breathtaking effect on travel demand.

The hard work you do every day matters. And the role you play in the U.S. economy matters. It's time for the people of United Airlines to put a face on what will happen if the federal government does not act.

Thank you for all you are doing for our customers and each other during this extraordinary time.

In unity,

Oscar and Scott

Captain David Bourne
Director Airline Division
International Brotherhood of Teamsters

Ken Diaz
MEC President, United Airlines Master Executive Council
Association of Flight Attendants - CWA

Sito Pantoja
General Vice President
International Association of Machinists and Aerospace Workers

Craig Symons
President
Professional Airline Flight Control Association

About United

United's shared purpose is "Connecting People. Uniting the World." We are more focused than ever on our commitment to customers through a series of innovations and improvements designed to help build a great experience: Every customer. Every flight. Every day. Together, United and United Express operate approximately 4,900 flights a day to 362 airports across six continents. In 2019, United and United Express operated more than 1.7 million flights carrying more than 162 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 791 mainline aircraft and the airline's United Express partners operate 581 regional aircraft. United is a founding member of Star Alliance, which provides service to 195 countries via 26 member airlines. For more information, visit united.com, follow @United on Twitter and Instagram or connect on Facebook. The common stock of United's parent, United Airlines Holdings, Inc., is traded on the Nasdaq under the symbol "UAL".

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements in this release are forward-looking and thus reflect the Company's 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 the Company's 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," "remains," "believes," "estimates," "forecast," "guidance," "outlook," "goals," "targets" 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 the Company on the date of this release. The Company undertakes 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.

The Company's actual results could differ materially from these forward-looking statements due to numerous factors including, without limitation, the following: the Company's ability to execute its strategic operating plan, including its growth, revenue-generating and cost-control initiatives; 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); risks of doing business globally, including instability and political developments that may impact its operations in certain countries; demand for travel and the impact that global economic and political conditions have on customer travel patterns; the Company's capacity decisions and the capacity decisions of its competitors; competitive pressures on pricing and on demand; changes in aircraft fuel prices; disruptions in the Company's supply of aircraft fuel; the Company's ability to cost-effectively hedge against increases in the price of aircraft fuel, if it decides to do so; the effects of any technology failures, cybersecurity or significant data breaches; disruptions to services provided by third-party service providers; potential reputational or other impact from adverse events involving the Company's aircraft or operations, the aircraft or operations of its regional carriers or its code share partners or the aircraft or operations of another airline; the Company's ability to attract and retain customers; the effects of any terrorist attacks, international hostilities or other security events, or the fear of such events; the mandatory grounding of aircraft in the Company's fleet; disruptions to the Company's regional network; the impact of regulatory, investigative and legal proceedings and legal compliance risks; the success of the Company's investments in other airlines, including in other parts of the world; industry consolidation or changes in airline alliances; the ability of other air carriers with whom the Company has alliances or partnerships to provide the services contemplated by the respective arrangements with such carriers; costs associated with any modification or termination of the Company's aircraft orders; disruptions in the availability of aircraft, parts or support from its suppliers; the Company's ability to maintain satisfactory labor relations and the results of any collective bargaining agreement process with its union groups; any disruptions to operations due to any potential actions by the Company's labor groups; labor costs; the existing outbreak of coronavirus and the outbreak of any other disease or similar public health threat that affects travel demand or travel behavior, such as the existing threat of COVID-19; the impact of any management changes; extended interruptions or disruptions in service at major airports where the Company operates; U.S. or foreign governmental legislation, regulation and other actions (including Open Skies agreements, environmental regulations and the United Kingdom's withdrawal from the European Union); the seasonality of the airline industry; weather conditions; the costs and availability of aviation and other insurance; the costs and availability of financing; the Company's ability to maintain adequate liquidity; the Company's ability to comply with the terms of its various financing arrangements; the Company's ability to realize the full value of its intangible assets and long-lived assets; any impact to the Company's reputation or brand image and other risks and uncertainties set forth under Part I, Item 1A., "Risk Factors," of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2019 as well as other risks and uncertainties set forth from time to time in the reports it files with the SEC.

SOURCE United Airlines

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

United Airlines Further Reduces Domestic and International Schedules

March 17, 2020

CHICAGO, March 17, 2020 /PRNewswire/ -- United continues to aggressively manage the impact of the coronavirus (COVID-19) outbreak on our employees, our customers and our business. Due to a continued drop in travel demand as a result of this outbreak and government mandates or restrictions in place prohibiting travel, the airline today announced a 60 percent schedule reduction in April - this includes a 42 percent reduction across the U.S. and Canada and an 85 percent decrease in international flights.

International

Across the Atlantic, Pacific and Latin America, United will operate approximately 45 daily flights in April.

United's International Schedule for April 2020


Atlantic

New York/Newark

Brussels

Frankfurt

London-Heathrow

Mumbai

New Delhi

Tel Aviv

Daily

Daily

Daily

Daily

Daily

Daily

Washington Dulles

London-Heathrow

Daily

Pacific

New York/Newark

Tokyo-Narita

4x / weekly

San Francisco

Melbourne

Osaka

Seoul

Singapore

Sydney

Tokyo-Haneda

Tokyo-Narita

3x / weekly

5x / weekly

3x / weekly

Daily

Daily

Daily

Daily

Latin America

Mexico

Houston

Cancún

Guadalajara

Leon

Los Cabos

Mazatlán

México City

Monterrey

Puerto Vallarta

Daily

Daily

Daily

Daily

Saturdays

Daily

Daily

Daily

Los Angeles

Los Cabos

Daily

San Francisco

Los Cabos

Puerto Vallarta

Cancun

Daily

Daily

Daily

Chicago

Cancun

Daily

New York / Newark

Cancun

Daily

Caribbean

New York / Newark

Antigua

Nassau

Providenciales

Punta Cana

Santo Domingo

San Juan

St. Lucia

St. Thomas

Saturdays

Daily

Daily

Daily

Daily

Daily

Saturdays

Daily

Central and South America

Houston

Belize City

Sao Paulo

Daily

Daily

Domestic

While United does not plan to suspend service to any single U.S. city now - with the exception of Mammoth Lakes, CA - the airline is closely monitoring demand as well as changes in state and local curfews and government restrictions across the U.S. and will adjust its schedule accordingly throughout the month.

United's Domestic Suspensions


Hub

Route Suspensions

Remaining Service

Denver

Arcata/Eureka

LAX, SFO

New York/Newark

Akron/Canton

ORD

Hilton Head

IAD, ORD

Honolulu

DEN, IAH, LAX, ORD, SFO

Omaha

DEN, IAH, ORD

Portland, Oregon

DEN, IAH, ORD, SFO

Seattle

DEN, IAD, IAH, LAX, ORD, SFO

Sacramento

DEN, IAH, LAX, ORD, SFO

Knoxville

DEN, IAH, IAD, ORD

Fayetteville

DEN, IAH, ORD

Salt Lake City

DEN, IAH, LAX, ORD, SFO

Washington Dulles

Grand Rapids

DEN, EWR, ORD

Honolulu

DEN, IAH, LAX, ORD, SFO

Portland, Oregon

DEN, IAH, ORD, SFO

Sacramento

DEN, IAH, LAX, ORD, SFO

Houston

Hartford

DEN, IAD, ORD

Boise

DEN, LAX, ORD, SFO

Grand Rapids

DEN, EWR, ORD

Lexington

IAD, ORD

Ontario, California

DEN, SFO

Palm Springs

DEN, LAX, SFO

San Jose, California

DEN

Akron/Canton

ORD

Reno

DEN, LAX, SFO

Edmonton, Canada

DEN

Vancouver, Canada

DEN, LAX, ORD, SFO

Los Angeles

Austin

DEN, EWR, IAD, IAH, ORD, SFO

Baltimore

DEN, IAH, ORD

Kahului (Maui)

DEN, SFO

Kona

DEN, SFO

Lihue

DEN, SFO

Madison

DEN, EWR, IAD, ORD

San Antonio

DEN, EWR, IAD, IAH, ORD

St. George

DEN

Mammoth, California

Seasonal Suspension

Chicago

Bismarck

DEN

Kahului (Maui)

DEN, SFO

Chicago

Bozeman

DEN, LAX, SFO

Fresno

DEN, LAX, SFO

Spokane

DEN, SFO

Palm Springs

DEN, LAX, SFO

Reno

DEN, LAX, SFO

San Jose, California

DEN

Ottawa, Canada

IAD

Eugene

DEN, LAX, SFO

Wilmington

IAD

Jackson, Mississippi

IAH

San Francisco

Nashville

DEN, EWR, IAD, IAH, ORD

Baltimore

DEN, IAH, ORD

Columbus, Ohio

DEN, EWR, IAD, IAH, ORD

Detroit

DEN, EWR, IAD, IAH, ORD

Indianapolis

DEN, EWR, IAD, IAH, ORD

Kansas City

DEN, EWR, IAD, IAH, ORD

Madison

DEN, EWR, IAD, ORD

Omaha

DEN, IAH, ORD

Philadelphia

DEN, IAD, IAH, ORD

Pittsburgh

DEN, EWR, IAD, IAH, ORD

Raleigh/Durham

DEN, EWR, IAD, IAH, ORD

San Antonio

DEN, EWR, IAD, IAH, ORD

St. Louis

DEN, EWR, IAD, IAH, ORD

Tampa

DEN, EWR, IAD, IAH, ORD

Toronto, Canada

DEN, EWR, IAD, IAH, ORD

Mammoth Lakes, California

Seasonal Suspension

Fort Lauderdale

DEN, EWR, IAD, IAH, ORD

New Orleans

DEN, EWR, IAD, IAH, ORD

Fayetteville

DEN, IAH, ORD

SOURCE United Airlines

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

A Message From Oscar Munoz and Scott Kirby

March 15, 2020

CHICAGO, March 15, 2020 /PRNewswire/ -- Oscar Munoz, Chief Executive Officer, and J. Scott Kirby, President, today issued the following message to nearly 100,000 United Airlines (NASDAQ: UAL) employees:

To our United family:

In the message we sent to you last Thursday, we promised to stay in close touch about the impact of the coronavirus on our business and the steps that we're taking to aggressively manage it.

In just the last few days, the impact of the coronavirus has really hit home and disrupted the daily routines of hundreds of millions of people in the United States and around the world. State and local governments continue to close schools, encourage people to avoid bars and restaurants and cancel more large gatherings. This weekend, President Trump announced new travel restrictions for the United Kingdom and Ireland. Watching this unfold, you won't be surprised to hear that the impact of the coronavirus on our business has also gotten quite a bit worse.

As the leaders of the 100,000 people of United, we feel a deep obligation to each of you to run our company in a way that protects you -- and your ability to provide for your family at home. We also owe it to you, especially in a crisis, to be open with you about important decisions we face.

We want to share some numbers to help you understand just how bad the impact of the coronavirus has been on our business. As you know, March is typically our busiest month of the year. But this year, in just the first two weeks of March, we have welcomed more than one million fewer customers on board our aircraft than the same period last year. We're also currently projecting that revenue in March will be $1.5 billion lower than last March.

The bad news is that it's getting worse. We expect both the number of customers and revenue to decline sharply in the days and weeks ahead.

Since late January, we have taken steps to aggressively manage this crisis and to keep you informed every step of the way - sharply reducing schedules, imposing a hiring freeze, introducing a voluntary leave program, dramatically reducing discretionary spending, cutting CEO base salary 100% and deferring a salary increase. Our competitors have started to follow suit: on Friday, Delta announced a 40% schedule reduction and a 100% salary cut for their CEO and over the weekend, American said it will reduce its international capacity by 75%.

We took early, aggressive action because we have been determined to do everything possible to avoid painful steps that affect your paycheck. But, based on the severity of the situation, that no longer appears realistic.

This weekend, we began conversations with our union leadership about how to reduce our payroll expense in a way that minimizes what we know will be painful for all of us. Earlier this evening, we convened a call with Corporate Officers to update them on the severity of the situation and let them know we will be cutting their salary by 50%.

Let us be clear: these are not the only next steps. Tomorrow, we will announce an approximately 50% cut in capacity for April and May. We also now expect these deep cuts to extend into the summer travel period. Even with those cuts, we're expecting load factors to drop into the 20-30% range -- and that's if things don't get worse.

Together, we're facing an unprecedented challenge. When medical experts say that our health and safety depends on people staying home and practicing social distancing, it's nearly impossible to run a business whose shared purpose is "Connecting people. Uniting the world."

We both hate to have to write a note like this, but we have made a commitment to be honest and transparent with you. While it's now clear that this is going to painful for our people, we promise that you are at the very top of our priority list. We are working night and day on support and ideas to keep as much pay as we possibly can flowing to you -- even if gets worse from here and demand temporarily plummets to zero.

This crisis is moving really quickly. It's having an impact on nearly every aspect of our lives, and it may feel to you like everything is changing. But, the most important thing about our business hasn't changed: you've shown us that even in these difficult times, we're still United and focused on caring for our customers and each other together. That's always been the essential ingredient to our success. It's what will get us through this crisis in the near term, and it's also what will allow us to fulfill United's incredible potential in the long-term.

We'll continue to communicate frequently and transparently in the days ahead.

With resolve,

Oscar and Scott

About United

United's shared purpose is "Connecting People. Uniting the World." We are more focused than ever on our commitment to customers through a series of innovations and improvements designed to help build a great experience: Every customer. Every flight. Every day. Together, United and United Express operate approximately 4,900 flights a day to 362 airports across six continents. In 2019, United and United Express operated more than 1.7 million flights carrying more than 162 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 791 mainline aircraft and the airline's United Express partners operate 581 regional aircraft. United is a founding member of Star Alliance, which provides service to 195 countries via 26 member airlines. For more information, visit united.com, follow @United on Twitter and Instagram or connect on Facebook. The common stock of United's parent, United Airlines Holdings, Inc., is traded on the Nasdaq under the symbol "UAL".

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements in this release are forward-looking and thus reflect the Company's 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 the Company's 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," "remains," "believes," "estimates," "forecast," "guidance," "outlook," "goals," "targets" 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 the Company on the date of this release. The Company undertakes 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.

The Company's actual results could differ materially from these forward-looking statements due to numerous factors including, without limitation, the following: the Company's ability to execute its strategic operating plan, including its growth, revenue-generating and cost-control initiatives; 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); risks of doing business globally, including instability and political developments that may impact its operations in certain countries; demand for travel and the impact that global economic and political conditions have on customer travel patterns; the Company's capacity decisions and the capacity decisions of its competitors; competitive pressures on pricing and on demand; changes in aircraft fuel prices; disruptions in the Company's supply of aircraft fuel; the Company's ability to cost-effectively hedge against increases in the price of aircraft fuel, if it decides to do so; the effects of any technology failures, cybersecurity or significant data breaches; disruptions to services provided by third-party service providers; potential reputational or other impact from adverse events involving the Company's aircraft or operations, the aircraft or operations of its regional carriers or its code share partners or the aircraft or operations of another airline; the Company's ability to attract and retain customers; the effects of any terrorist attacks, international hostilities or other security events, or the fear of such events; the mandatory grounding of aircraft in the Company's fleet; disruptions to the Company's regional network; the impact of regulatory, investigative and legal proceedings and legal compliance risks; the success of the Company's investments in other airlines, including in other parts of the world; industry consolidation or changes in airline alliances; the ability of other air carriers with whom the Company has alliances or partnerships to provide the services contemplated by the respective arrangements with such carriers; costs associated with any modification or termination of the Company's aircraft orders; disruptions in the availability of aircraft, parts or support from its suppliers; the Company's ability to maintain satisfactory labor relations and the results of any collective bargaining agreement process with its union groups; any disruptions to operations due to any potential actions by the Company's labor groups; labor costs; the existing outbreak of coronavirus and the outbreak of any other disease or similar public health threat that affects travel demand or travel behavior, such as the existing threat of COVID-19; the impact of any management changes; extended interruptions or disruptions in service at major airports where the Company operates; U.S. or foreign governmental legislation, regulation and other actions (including Open Skies agreements, environmental regulations and the United Kingdom's withdrawal from the European Union); the seasonality of the airline industry; weather conditions; the costs and availability of aviation and other insurance; the costs and availability of financing; the Company's ability to maintain adequate liquidity; the Company's ability to comply with the terms of its various financing arrangements; the Company's ability to realize the full value of its intangible assets and long-lived assets; any impact to the Company's reputation or brand image and other risks and uncertainties set forth under Part I, Item 1A., "Risk Factors," of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2019 as well as other risks and uncertainties set forth from time to time in the reports it files with the SEC.

SOURCE United Airlines

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

United Airlines to Present at the 2020 J.P. Morgan Industrials Conference

March 04, 2020

CHICAGO, March 4, 2020 /PRNewswire/ -- United Airlines will present at the J.P. Morgan Industrials Conference on Tuesday, March 10. United Airlines' President Scott Kirby will be the keynote speaker at the conference beginning at 11:50 a.m. CT / 12:50 p.m. ET.

The live webcast will be available on the investor relations section of United's website at ir.united.com. The company will archive the audio webcast on the website within 24 hours of the presentation, and the webcast will be available for a limited time.

Every customer. Every flight. Every day.

United continues to strengthen its commitment to its customers, looking at every aspect of its business to ensure that the carrier keeps customers' best interests at the heart of its service. In addition to today's announcement, United recently:

  • Announced that MileagePlus award miles will never expire
  • Committed $40 million toward a new investment initiative focused on accelerating the development of sustainable aviation fuels and other decarbonization technologies
  • Established Miles on a Mission, a first-of-its-kind crowdsourcing platform which gives customers a simple way to donate miles to non-profit organizations and charities in need of air travel
  • Launched ConnectionSaver, a digital tool dedicated to improving the experience for customers with connecting flights
  • Instituted PlusPoints, new upgrade benefits for MileagePlus Premier members
  • Gave Economy customers a choice of complimentary snacks on domestic flights
  • Made DIRECTV free for every customer on more than 200 aircraft

About United

United's shared purpose is "Connecting People. Uniting the World." We are more focused than ever on our commitment to customers through a series of innovations and improvements designed to help build a great experience: Every customer. Every flight. Every day. Together, United and United Express operate approximately 4,900 flights a day to 362 airports across six continents. In 2019, United and United Express operated more than 1.7 million flights carrying more than 162 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 791 mainline aircraft and the airline's United Express partners operate 581 regional aircraft. United is a founding member of Star Alliance, which provides service to 195 countries via 26 member airlines. For more information, visit united.com, follow @United on Twitter and Instagram or connect on Facebook. The common stock of United's parent, United Airlines 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

Take a Break in the Big Easy: United Airlines Debuts New Club Location in New Orleans

February 28, 2020

NEW ORLEANS, Feb. 28, 2020 /PRNewswire/ -- United Airlines will unveil the newest addition to its network of United Club locations with the opening of a brand-new 6,000-square-foot United Club at Louis Armstrong New Orleans International Airport. Located in the airport's brand-new terminal, near gate C7, the club offers customers a wide variety of amenities to work, relax and refresh during their travels. The new United Club opens starting Saturday, Feb. 29.


"Our expansion into New Orleans showcases United's commitment to transforming the customer experience across all touch points and complements the beautiful new terminal at Louis Armstrong New Orleans International Airport," said Alexander Dorow, United's managing director of premium services. "It's a fresh location for us to begin our evolution to become more local and reach new audiences."

Menu highlights in the new club location include inventive twists on regional favorites including muffuletta and pimento cheese sliders, gumbo and rice, Cajun pepper dip and Creole egg salad. The drink selection includes local staples like Abita Amber beer and Southern Comfort, along with a variety of beer, wine and cocktail options.

The New Orleans United Club features 95 seats, with a variety of seating areas for productivity, privacy and dining. For customers looking to stay connected, the club offers complimentary high-speed Wi-Fi and many power outlets and USB ports.

The New Orleans United Club location is the first United Club to open this year and is part of United's ongoing commitment to renovate and introduce new United Club locations throughout its network. The company is also working on brand-new United Club locations at Newark Liberty International Airport – to open in 2021 – and Phoenix Sky Harbor International Airport, which will open later this year. Construction will also begin on a brand-new and larger United Club location at Daniel K. Inouye International Airport in Honolulu. Additionally, this summer, United will unveil its United Polaris lounge at Washington Dulles International Airport – the sixth location in the United Polaris lounge network. For more information on United Club locations, visit united.com/unitedclub.

Every customer. Every flight. Every day.

United continues to strengthen its commitment to its customers, looking at every aspect of its business to ensure that the carrier keeps customers' best interests at the heart of its service. In addition to today's announcement, United recently:

  • Announced that MileagePlus award miles will never expire
  • Committed $40 million toward a new investment initiative focused on accelerating the development of sustainable aviation fuels and other decarbonization technologies
  • Established Miles on a Mission, a first-of-its-kind crowdsourcing platform which gives customers a simple way to donate miles to non-profit organizations and charities in need of air travel
  • Launched ConnectionSaver, a digital tool dedicated to improving the experience for customers with connecting flights
  • Instituted PlusPoints, new upgrade benefits for MileagePlus Premier members
  • Gave Economy customers a choice of complimentary snacks on domestic flights
  • Made DIRECTV free for every customer on more than 200 aircraft

About United

United's shared purpose is "Connecting People. Uniting the World." We are more focused than ever on our commitment to customers through a series of innovations and improvements designed to help build a great experience: Every customer. Every flight. Every day. Together, United and United Express operate approximately 4,900 flights a day to 362 airports across six continents. In 2019, United and United Express operated more than 1.7 million flights carrying more than 162 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 791 mainline aircraft and the airline's United Express partners operate 581 regional aircraft. United is a founding member of Star Alliance, which provides service to 195 countries via 26 member airlines. For more information, visit united.com, follow @United on Twitter and Instagram or connect on Facebook. The common stock of United's parent, United Airlines Holdings, Inc., is traded on the Nasdaq under the symbol "UAL".

SOURCE United Airlines

For further information: United Airlines Worldwide Media Relations, 872.825.8640, media.relations@united.com