United strengthens ties with Aloha

5th Jul 2007

United Airlines and Aloha Airlines have signed a formal agreement that will
strengthen cooperation between the two carriers in the Hawaii and
transpacific marketsUnder the agreement signed today, the two carriers will broaden a
long-standing relationship to achieve mutual benefits in the areas of
marketing, expense reduction and operating efficiencies.
  The airlines have been moving ahead on a wide variety of initiatives
since the signing of a letter of intent on May 3, 2007.
  The two companies envision additional savings in the areas of fuel
procurement, the sharing of facilities at airports and potential
integration of ground services performed by third parties, and will further
explore efficiencies to be gained in such areas as catering, maintenance
and telecommunications to name a few.
  The new agreement calls for the carriers to expand their existing
code-share agreement. The new code-share routes are scheduled to go into
effect in 45 days.
  “Expanding our relationship with Aloha benefits our customers by
providing more options for traveling to Hawaii, one of the most important
travel destinations, and across carriers,” said Jake Brace, United’s
executive vice president and chief financial officer. “When our customers
benefit, our employees and shareholders benefit as well.”
  “Our enhanced relationship with United allows Aloha to tap the
marketing strength of one of the world’s largest and best-known airlines,”
said David A. Banmiller, Aloha’s president and chief executive officer.
“This close working relationship will bring long-term benefits for our
shareholders, our employees and above all, our customers, who will have
greater opportunities to earn and redeem miles and travel seamlessly on
United’s routes to and from and within the State of Hawaii.”
  United and Aloha have been marketing partners since 1993. The two have
long participated in a code-share agreement that enables United’s
passengers to book interisland flights on United Airlines-numbered flights
that are operated by Aloha Airlines. In addition, frequent-flyer members in
the United Mileage Plus program and AlohaPass program can earn and redeem
miles for travel on either airline.
  Because of the various significant contributions being made, United
Airlines will be granted a minority equity position in Aloha Airlines and
one seat on Aloha’s board of directors. The two airlines will remain
independently owned and operated.


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