Chapter 11 and United
1.      What is Chapter 11?

Chapter 11 refers to the section of the U.S. Bankruptcy Code that provides for court-supervised restructuring of companies as they continue to operate in the normal course.

2.      Does this filing mean that United is going out of business?

Absolutely not.  The changes we make during this process should enable United to strengthen its operations and remain competitive for the long-term.

3.      Why did UAL elect to file for reorganization?

UAL filed for Chapter 11 after looking at a number of factors.  First, our cash burn was at an unsustainable level, and we have been unable to access the capital markets for some time now.  We made an application for loan guarantees to the ATSB, but were unsuccessful.  At this point, we determined that the only viable option to address the company’s liquidity crisis was to file for court protection.

4.      Will the filing affect our safety?

Absolutely not. Customer safety is United’s number one priority and we will continue to provide safe and reliable service.


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