United Reports September 2013 Operational Performance

United Reports September 2013 

Operational Performance

United Airlines (UAL) today reported September 2013 operational results.

UAL's September 2013 consolidated traffic (revenue passenger miles) increased 1.0 percent and consolidated capacity (available seat miles) increased 0.2 percent versus September 2012. UAL's September 2013 consolidated load factor increased 0.6 points compared to September 2012.

UAL's September 2013 consolidated passenger revenue per available seat mile (PRASM) is estimated to be approximately flat compared to September 2012. The Company recorded an adjustment in September related to yields on certain interline tickets from prior periods, which reduced year-over-year consolidated PRASM by more than 1 percentage point in the month of September. Also in September, additional competitive capacity in China resulted in lower Pacific yields.

About United

United Airlines and United Express operate an average of 5,341 flights a day to more than 360 airports across six continents. In 2012, United and United Express carried more passenger traffic than any other airline in the world and operated nearly two million flights carrying 140 million customers. United is investing in upgrading its onboard products and now offers more flat-bed seats in its premium cabins and more extra-legroom economy-class seating than any airline in North America. In 2013, United became the first U.S.-based international carrier to offer satellite-based Wi-Fi on long-haul overseas routes. The airline also features DIRECTV® on 200 aircraft, offering customers more live television access than any other airline in the world. United operates nearly 700 mainline aircraft and has made large-scale investments in its fleet. In 2013, United will continue to modernize its fleet by taking delivery of more than two dozen new Boeing aircraft. The company expanded its industry-leading global route network in 2012, launching nine new international and 18 new domestic routes. Business Traveler magazine awarded United Best Airline for North American Travel for 2012, and readers of Global Traveler magazine have voted United's MileagePlus program the best frequent flyer program for nine consecutive years. According to the 4th annual Switchfly Reward Seat Availability Survey published by IdeaWorksCompany in May 2013, United has the most saver-style award-seat availability among the largest U.S. global airlines. United is a founding member of Star Alliance, which provides service to 195 countries via 28 member airlines. More than 85,000 United employees reside in every U.S. state and in countries around the world.  

Preliminary Operational Results
		September				Year-to-Date
		2013	2012	Change		2013	2012	Change
REVENUE PASSENGER MILES (000)
	Domestic	7,213,000	7,195,759	0.2%		69,119,393	70,887,865	(2.5%)
	International	7,261,011	7,202,971	0.8%		66,927,205	66,972,957	(0.1%)
	Atlantic	3,622,593	3,421,995	5.9%		29,436,763	29,555,453	(0.4%)
	Pacific	2,665,869	2,791,642	(4.5%)		24,473,811	24,554,288	(0.3%)
	Latin	972,549	989,334	(1.7%)		13,016,631	12,863,216	1.2%
	Mainline	14,474,011	14,398,730	0.5%		136,046,598	137,860,822	(1.3%)
	Regional	2,182,650	2,099,556	4.0%		19,941,261	19,757,708	0.9%
	Consolidated	16,656,661	16,498,286	1.0%		155,987,859	157,618,530	(1.0%)
AVAILABLE SEAT MILES (000)
	Domestic	8,650,278	8,784,995	(1.5%)		80,343,055	83,277,016	(3.5%)
	International	8,796,533	8,676,957	1.4%		80,993,712	82,677,324	(2.0%)
	Atlantic	4,261,925	4,091,227	4.2%		35,808,372	36,886,663	(2.9%)
	Pacific	3,254,908	3,317,209	(1.9%)		29,190,324	29,831,373	(2.1%)
	Latin	1,279,700	1,268,521	0.9%		15,995,016	15,959,288	0.2%
	Mainline	17,446,811	17,461,952	(0.1%)		161,336,767	165,954,340	(2.8%)
	Regional	2,686,639	2,623,622	2.4%		24,326,217	24,740,148	(1.7%)
	Consolidated	20,133,450	20,085,574	0.2%		185,662,984	190,694,488	(2.6%)
PASSENGER LOAD FACTOR
	Domestic	83.4%	81.9%	1.5 pts		86.0%	85.1%	0.9 pts
	International	82.5%	83.0%	(0.5) pts		82.6%	81.0%	1.6 pts
	Atlantic	85.0%	83.6%	1.4 pts		82.2%	80.1%	2.1 pts
	Pacific	81.9%	84.2%	(2.3) pts		83.8%	82.3%	1.5 pts
	Latin	76.0%	78.0%	(2.0) pts		81.4%	80.6%	0.8 pts
	Mainline	83.0%	82.5%	0.5 pts		84.3%	83.1%	1.2 pts
	Regional	81.2%	80.0%	1.2 pts		82.0%	79.9%	2.1 pts
	Consolidated	82.7%	82.1%	0.6 pts		84.0%	82.7%	1.3 pts
ONBOARD PASSENGERS (000)
	Mainline	7,137	7,286	(2.0%)		69,174	71,784	(3.6%)
	Regional	3,955	3,782	4.6%		35,928	35,402	1.5%
	Consolidated	11,092	11,068	0.2%		105,102	107,186	(1.9%)
CARGO REVENUE TON MILES (000)
	Total	168,613	201,285	(16.2%)		1,614,438	1,858,761	(13.1%)
Preliminary Financial Results
August 2013 year-over-year consolidated PRASM change						3.9		%
August 2013 year-over-year mainline PRASM change						3.3		%
September 2013 estimated year-over-year consolidated PRASM change						Approximately flat		%
September 2013 estimated year-over-year mainline PRASM change						(1.0) - (2.0)		%
September 2013 estimated consolidated average price per gallon of fuel, including the impact of all cash settled hedges and fuel taxes						3.19		Dollars
Third Quarter 2013 estimated consolidated average price per gallon of fuel, including the impact of all cash settled hedges and fuel taxes						3.11		Dollars
Preliminary Operational Results
				2013	2012		Change
September On-Time Performance1				84.7%	82.0%		2.7	pts
September Completion Factor2				99.4%	99.4%		0.0	pts
1 Based on domestic mainline scheduled flights arriving within 14 minutes of scheduled arrival time, according to data published in the DOT Air Travel Consumer Report
2 Mainline completion percentage

Safe Harbor Statement

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements included in this release are forward-looking and thus reflect our current expectations and beliefs with respect to certain current and future events and financial 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," "forecast," "guidance," "outlook" 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 report are based upon information available to us on the date of this report. 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: our ability to comply with the terms of our various financing arrangements; the costs and availability of financing; our ability to maintain adequate liquidity; our ability to execute our operational plans; our ability to control our costs, including realizing benefits from our resource optimization efforts, cost reduction initiatives and fleet replacement programs; our ability to utilize our net operating losses; our ability to attract and retain customers; demand for transportation in the markets in which we operate; an outbreak of a disease that affects travel demand or travel behavior; demand for travel and the impact that global economic conditions have on customer travel patterns; excessive taxation and the inability to offset future taxable income; 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); our ability to cost-effectively hedge against increases in the price of aircraft fuel; any potential realized or unrealized gains or losses related to fuel or currency hedging programs; the effects of any hostilities, act of war or terrorist attack; 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; the costs and availability of aviation and other insurance; industry consolidation or changes in airline alliances; competitive pressures on pricing and on demand; our capacity decisions and the capacity decisions of our competitors; U.S. or foreign governmental legislation, regulation and other actions (including open skies agreements and environmental regulations); labor costs; our ability to maintain satisfactory labor relations and the results of the collective bargaining agreement process with our union groups; any disruptions to operations due to any potential actions by our labor groups; weather conditions; the possibility that expected merger synergies will not be realized or will not be realized within the expected time period; and other risks and uncertainties set forth under Item 1A, Risk Factors, of UAL's Annual Report on Form 10-K, as well as other risks and uncertainties set forth from time to time in the reports we file with the SEC.