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Sunday Edition
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A Village United/ SkyNet
"Sunday Edition"
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Greetings Villagers! Sunday, Jan 14, 2001
Thank you for subscribing to the Sunday Edition.
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IN THIS ISSUE:
NEWSSTAND
1) UAL Stock Performance
2) News Highlights
3) Industry News
HUMOR
4) Humor
TRIVIA
5) Trivia Question
6) Trivia Answer
ACCESS A VILLAGE/ SKYNET
7) How to access SkyNet
8) "A Village United" discussion group
MAINLINER CLUBS
9) Activities
And Now . . . .
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NEWSSTAND
1) UAL STOCK PERFORMANCE
UAL closed Friday on the U.S. Exchanges at 41 1/2,
Down 2 1/2 for the week.
2) NEWS HIGHLIGHTS
Courtesy of SPECIAL NEWSREAL 1/10/01
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United and American Agree on Transaction That
Enhances Benefits of US Airways Acquisition
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In a transaction designed to enhance the competitive
benefits of its proposed merger with US Airways and
address U.S. Department of Justice concerns, UAL
Corp.'s board of directors yesterday approved a
binding memorandum of understanding with AMR Corp.
AMR Corp.'s board also has approved the agreement.
Under the agreement, AMR's American Airlines will
provide competitive service on key hub-to-hub routes
where United and US Airways are currently the only
competitors with nonstop flights. The agreement
also ensures vigorous competition that will benefit
air travelers on these routes. As part of the
agreement, American also will enter into a 20-year
joint venture with United to provide service on
shuttle routes between New York La Guardia,
Washington Reagan National and Boston Logan. In
addition, United will transfer up to 86 aircraft
acquired in its merger with US Airways to American.
UAL Corp. values the transaction at approximately
1.5 billion dollars.
In a separate agreement, AMR Corp. will announce
today that it will purchase a 49 percent stake in DC
Air, the company that will provide competitive
service at Washington Reagan when United acquires US
Airways. American's transaction provides DC Air
with access to a substantial network and operating
expertise that will allow it to provide strong
competition with United.
"I am very pleased to announce this agreement
today," said Jim Goodwin, chairman and chief
executive officer. "We have always recognized that
in order to bring about the competitive, nationwide
airline network provided by our merger with US
Airways, we would need to address competitive
concerns that have been raised.
"While our transaction with US Airways and our
agreement with American are still subject to
thorough regulatory review, we believe we have
created a truly comprehensive solution to issues
raised by the Department of Justice. This
transaction is a win-win for the customers,
shareholders and employees of United and US
Airways."
AMR Corp. will pay United 1.2 billion dollars in
cash for this transaction. In addition, American
will assume certain lease obligations and buy
certain spare engines and other parts associated
with the aircraft. UAL Corp. said the transaction,
if consummated as envisioned, provides for
additional financial benefits by reducing the debt
requirements related to its acquisition of US
Airways.
UAL Corp. has conducted a thorough review of the
financial benefits of this transaction, including
its impact on revenues, profitability and cash flow.
This deal increases and enhances the value of the
original transaction with US Airways to United's
shareholders. The transaction eases and expedites
the disposition of assets that will be surplus to
the combined entity's needs.
United's acquisition of US Airways will proceed as
originally planned, and specific US Airways assets
will be transferred to American to complete the
transaction.
Please see the end of today's Special NewsReal for
Safe Harbor information.
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New Competitive Service Created
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As part of this transaction, American (or its
affiliates) has agreed to provide service on the
following routes for a minimum of 10 years:
* Philadelphia to Los Angeles;
* Philadelphia to San Jose;
* Philadelphia to Denver;
* Charlotte to Chicago;
* Washington National to Pittsburgh (service
provided by DC Air).
This new service will ensure a minimum of two-
carrier competition on key United/US Airways hub-to-
hub routes.
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Details on the Sale of Assets
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Under the agreement, upon the closing of United's
merger with US Airways, the company will transfer
the following US Airways assets to American:
* Twenty-two jet slots and 14 commuter slots at
LaGuardia Airport;
* Five gates at LaGuardia, three gates at Washington
Reagan National, three gates at Boston Logan, and
one gate each at Philadelphia, Atlanta Hartsfield
and Newark;
*Thirty-six Fokker F-100 aircraft, 23 Boeing 757
aircraft and seven McDonnell Douglas MD-82 aircraft.
United also will lease or sublease an additional
four F-100s, 11 B757s and five MD-82s to American.
Subject to agreement with relevant airline pilot
unions, the transaction provides that American will
offer employment to 1,100 current US Airways pilots
associated with these three aircraft fleets. If
fewer pilots accept the employment offer, the number
of aircraft transferred may be affected. No United
employees will be affected by the agreement.
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United and American Launch Joint Shuttle Venture
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As part of the transaction, United and American have
agreed to enter into a 20-year joint venture
relating to the existing US Airways Shuttle. Under
this joint venture, United and American will:
* Each fly half of the daily shuttle flights between
Washington National, LaGuardia and Logan, with each
airline using its own aircraft and crews.
* Jointly market a shuttle product with some common
product standards. United and American will
coordinate schedules, pricing, flight operations,
lounge access, quality standards and gate
facilities.
* Under the joint operation, customers will be able
to select their frequent flier program of choice --
either United's Mileage Plus(sm) or American's
AAdvantage program -- and earn reward and
recognition regardless of which airline's shuttle
flight they have selected.
* Both airlines will honor each other's shuttle
tickets, enabling passengers to choose between the
flights flown by either airline.
United and American will introduce a new level of
competition, customer choice and service to
establish a competitive shuttle product.
3) INDUSTRY NEWS
American/TWA Deal Hits Union Buffers
http://news.airwise.com/cgi-bin/story?name=2001/01/979304177.html
San Francisco Flights Hit By Storm Conditions
http://news.airwise.com/cgi-bin/story?name=2001/01/979298802.html
FedEx , Post Office Strike Deal
http://smartbrief.rs88.net/servlet/cc?lIDUUXXEHOpssHnLNgpmLKFohmtHpsDJhtEaEVT
Delta And Pilots Back In Court
http://www.accessatlanta.com/partners/ajc/epaper/editions/thursday/business_a3d5156936d390321081.html
Continental Claims United Baggage Templates Illegal
http://news.airwise.com/cgi-bin/story?name=2001/01/979130201.html
Pilot Lawsuit Over Web Site Alive
http://dailynews.yahoo.com/h/ap/20010109/tc/web_site_lawsuit_1.html
Northwest to pay $7.1 mln to passengers
http://www.infobeat.com/fullArticle?article=405758594
Unruly Passenger Kicked Off Hong Kong Flight
http://dailynews.yahoo.com/h/nm/20010109/ts/airlines_passenger_dc_1.html
Mayor Slams Running Of NYC Airports
http://news.airwise.com/cgi-bin/story?name=2001/01/979129590.html
Blood Clot Warning At Sydney
http://news.airwise.com/cgi-bin/story?name=2001/01/979130998.html
Airlines Haven't Gone Far Enough In Customer Service
http://smartbrief.rs88.net/servlet/cc?lIDUUVWEHOpssHnLNgpmLKFohmtHpsDJhtEaEWT
BA Expands WAP Check-In
http://smartbrief.rs88.net/servlet/cc?lIDUUUYEHOpssHnLNgpmLKFohmtHpsDJhtEaEUW
SFO Officials Find Fault In New Radar
http://smartbrief.rs88.net/servlet/cc?lIDUUUYEHOpssHnLNgpmLKFohmtHpsDJhtEaEUV
US Airways Launches Regional Subsidiary
http://smartbrief.rs88.net/servlet/cc?lIDUUTUEHOpssHnLNgpmLKFohmtHpsDJhtEaEUC
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HUMOR
4) THIS WEEK'S HUMOR
To suggest humor email: avillageunited@hotmail.com
Employer to applicant: "In this job we need someone
who is responsible."
Applicant: "I'm the one you want. On my last job, every
time anything went wrong, they said I was responsible."
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TRIVIA
5) THIS WEEKS TRIVIA QUESTION
To answer the trivia email: avillageunited@hotmail.com
Q- Who defined democracy as "government of the
people, by the people, for the people"?
6) LAST WEEKS TRIVIA ANSWER
To suggest trivia email: avillageunited@hotmail.com
Q- What president had a pet named Old Ike while he
was in the White House?
A- Woodrow Wilson, A pet ram
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ACCESS A VILLAGE/ SKYNET
7)SKYNET
Internet Address: https://united.intranet.ual.com
Look for "A Village United" in the "Divisions and
Locations" menu of SkyNet.
8) A VILLAGE UNITED DISCUSSION GROUP
"A Village United" invites you to join our discussion
group at: http://www.egroups.com/group/villageua
This is invitation only, so we ask that you only ask
United employees or retirees to be a part. If you would
like to join please email:
villageua-subscribe@egroups.com
If you have any further questions, please feel free to
contact the list owner at: villageua-owner@egroups.com
http://www.egroups.com/group/villageua
__________________________________________
MAINLINER CLUB
9) ACTIVITIES
DENVER
Feb 8 "Sylvia" at Town Hall Arts Center
730pm $8 $13 Jean Chrest 303 397-5919
Feb 11 "Sylvia" at Town Hall Arts Center
2pm $8 $13 Jean Chrest 303 397-5919
Mar 8 "Copacabana" at the Buell Theatre
8pm $27 $45 Suzanne Mrowicki 303 780-5834
Mar 10 "Copacabana" at the Buell Theatre
2pm $26 $45 Suzanne Mrowicki 303 780-5834
CHICAGO
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For information call: 1-888-617-4715
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PASS IT ON
If you found this information useful, pass it on. If you
have a friend that is an employee of United Airlines, or
is retired from United Airlines, or is a parent of a
United Airlines employee, pass it on. Your friends will
thank you. And so do we! If you got this newsletter from
a friend, and would like your own.
To subscribe Email to:
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Online issues can be found at:
http://www.egroups.com/group/villageua-sundayedition
__________________________________________
If you have any comments about this Newsletter
service e-mail: avillageunited@hotmail.com
Copyright 2001 A Village United
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THANK YOU FOR READING THE SUNDAY EDITION
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