14th Jun 2000

United Airlines and Air Canada
          today introduced the airline industry’s first true inter-airline
          (interline) electronic ticketing service, making it possible for
          customers to use a single electronic ticket for travel on more
          than one airline. The service, available immediately, is the first
          electronic ticketing initiative that actually bridges two different
          airline computer reservations systems.

“Today we enter the final frontier of making electronic ticketing
          universally accessible,” said Chris Bowers, Senior Vice
          President for North America at United Airlines. “Electronic
          ticketing has fundamentally simplified the way people travel
          and this industry breakthrough will make it possible for even
          more customers to take advantage of the many conveniences
          of flying paperless.”
“Electronic ticketing is in very high demand, particularly
          amongst business travelers,” said Marc Rosenberg, Vice
          President, Sales and Production Distribution at Air Canada.
          “Our surveys show that customers want the service further
          expanded so that they can take advantage of ‘ticketless travel’
          when their itineraries include multiple carriers. Together with
          our valued Star Alliance partner United Airlines, we are pleased
          to now offer the convenience of interline electronic ticketing to
          our customers.”
Beginning today, customers of United and Air Canada will be
          able to use a single electronic ticket when their itinerary
          includes travel on both airlines or on United Airlines-Air
          Canada code-share flights operated by either carrier.
          Previously, customers were required to have an individual
          electronic ticket issued by each airline. Customers of both
          airlines will also benefit from interline electronic tickets if a
          need arises for them to be re-booked from one airline to
          another, as United or Air Canada staff will be easily able to
          accept electronically ticketed passengers without the customer
          having to obtain a paper ticket first. Later this year, the new
          United-Air Canada interline electronic service will also be
          available on flights operated by Canadian Airlines.
Customer usage of electronic ticketing at both carriers has
          surged. In May, more than 60% of the tickets used by United
          customers were electronic. United’s surveys have shown that
          electronic ticketing is the preferred form of ticketing for more
          than 90% of the customers who use it.
Electronic ticketing offers customers conveniences no other
          ticketing option can.
Information normally available on paper documents is stored
          electronically, ending customer concerns with carrying,
          forgetting or losing an airline ticket. Check-in, security and
          customs procedures for travel using an electronic ticket are the
          same as current procedures for passengers with paper tickets.
          Customers using United’s or Air Canada’s international
          E-Ticket service check in with their passport and the ticket
          receipt and, if booked by telephone with a United or Air Canada
          Reservations Representative, with the credit card used to
          purchase the ticket.
Initially, United-Air Canada interline electronic tickets will be
          available through a United Airlines or Air Canada Reservations
          Representative over the telephone or at any United or Air
          Canada ticketing outlet. Travel agency functionality to offer
          United-Air Canada interline electronic tickets will be introduced
          in the fourth quarter of 2000.
United introduced its electronic ticket service on its West Coast
          United Shuttle flights in the fall of 1994. In 1995, the airline
          expanded E-Ticket service to all of its North American
          destinations. United has offered international electronic
          ticketing service to all 255 of the destinations it serves
          throughout the world since November of 1999. United’s
          E-Ticket software is used by 14 airlines throughout the world.

Air Canada first introduced electronic ticketing in 1995 and
          further expanded it to all of its routes across Canada as well as
          to several U.S. destinations during 1996. In 1998, the airline
          extended electronic ticketing to virtually its entire North
          American network. Over the past two years Air Canada has
          introduced electronic ticketing to the UK, Frankfurt and Hong
          Kong and will extend it to Tel Aviv and Paris in the near future
Together with its United Express partners, United Airlines
          offers service to 255 destinations in 26 countries and two U.S.
          territories. United and Air Canada are founding members of
          Star Alliance, the most comprehensive network of the world’s
          leading airlines that provides the global reach of nine airlines
          and the conveniences of flying on just one. Other members of
          Star Alliance include Air New Zealand, All Nippon Airways,
          Ansett Australia, the Austrian Airlines Group, Lufthansa
          German Airlines, SAS Scandinavian Airlines, Singapore
          Airlines, Thai and Varig Brasil. British Midland and Mexicana
          will join Star Alliance on July 1,2000. United Airlines’ Internet
          address is www.united.com.





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