UAL CORPORATION EXPECTS LOWER THIRD-QUARTER EARNINGS
The company expects third quarter 2000 earnings per share
to be below the previously announced $2.60 to $3.20 range.
CHICAGO, Aug. 17, 2000 -- UAL Corporation (NYSE:
UAL), the holding company whose primary subsidiary is
United Airlines, today announced that it expects third-
quarter earnings per share to be lower than the $2.60 to
$3.20 range it announced on July 19, 2000.
Speaking to the situation, Chairman and Chief Executive
Officer James E. Goodwin said, "Although booking patterns
remained strong through early August despite poor
operating performance, booking levels have since fallen on
the adverse publicity surrounding the cancellations that
occurred in early August. While our operating performance
has improved somewhat, the reduced booking levels
continue, and as a result, revenues are not as strong as
we had previously anticipated. Furthermore, the
uncertainty surrounding the variable nature of factors
affecting the situation, such as labor relations, crew-
related issues and weather, preclude us from confidently
projecting results at this point for the quarter or the
full year."
"We are focused and committed to resolving the causes of
this difficult operating situation that has not only
greatly inconvenienced our customers but many of our
employees as well."
Safe Harbor Statement under the Private Securities
Litigation Reform Act of 1995: The information contained
in this press release is forward-looking and involves
risks and uncertainties that could result in actual
results differing materially from expected results.
Forward-looking statements represent the company's
expectations and beliefs concerning future events, based
on information available to the company as of the date of
this press release.
Some factors that could significantly impact revenues and
earnings per share include, without limitation: the
results of union contract negotiations and their impact on
labor costs and operations; operational disruptions as a
result of bad weather, air traffic control-related
difficulties and the impact of labor issues; the
willingness of passengers to fly; the airline pricing
environment; competitors' route decisions; the
implementation and success of customer service improvement
strategies; actions of the U.S., foreign and local
governments; the stability of the U.S. economy; the
economic environment of the airline industry and the
economic environment in general.
-UAL-
The web page address for UAL Corp. and United Airlines is united.com
