United Takes Steps to Lower Distribution Costs

9th Sep 2004

United Airlines announced today that it is taking steps to lower its
distribution costs as part of the company’s ongoing restructuring efforts.
Beginning on Sept. 9, United will add a fee to tickets purchased at U.S.
airport ticket offices and through United reservations offices for calls
originating in the United States and Canada.
As tickets sold through the company’s Web site will not incur the new
fees, purchasing tickets through United’s united.com Web site will
continue to provide customers with a cost-effective way to purchase
tickets and redeem Mileage Plus(R) rewards.

United will add a $10 fee to tickets purchased at airport ticket counters
and a $5 fee to tickets purchased through United reservations offices. The
fees, which are effective Sept. 9, apply to domestic and international
tickets sold through United reservations centers and U.S. airport ticket

“The industry continues to face extremely difficult conditions that are
only made more challenging by record fuel prices and a weakening revenue
environment,” said John Tague, United’s executive vice president-Customer.
“Given the dynamics of today’s marketplace, we need to take this step to
lower our distribution costs to remain competitive.”

Tague said the changes are expected to generate significant savings for
the company, which is working to lower its costs as part of its ongoing
restructuring efforts.

The fees apply to new ticket sales only. No fees will be charged to change
current reservations, either at the airport or through United
reservations. Also excluded from additional fees are Mileage Plus 1K and
Global Services customers, government, military, bereavement and Pass Plus


Tickets sold through United’s united.com Web site will not incur the new
fees. Booking travel on http://www.united.com/ enables customers to have
more control over their travel planning by offering access to the latest
promotional offers, the ability to research flight schedules, find the
lowest available fares, pay no booking fees and, until Dec. 31, 2004, earn
a one-time 1,000-mile booking bonus*. In addition, united.com offers
EasyAccess services that enable travelers to view United flight schedules,
check flight status and access Mileage Plus information. Registration for
United’s EasyUpdate service, which sends up-to-the-minute flight
information to a passenger’s e-mail, mobile phone or pager, is also
available on united.com.



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