Exhibit 99.2
UNITED News Release Worldwide Communications:
Media Relations Office: 847.700.5538
Evenings/Weekends: 847.700.4088
For immediate release
UAL REPORTS FEBRUARY RESULTS
Unit Revenue Improves 12%, Company Continues to Meet DIP Covenants
Positive Cash Flow of $7 Million Per Day
CHICAGO, March 25, 2004 - UAL Corporation (OTCBB: UALAQ.OB), the holding company whose primary subsidiary is United Airlines, today filed its February Monthly Operating Report (MOR) with the United States Bankruptcy Court. The company reported a loss from operations of $112 million, which represents an improvement of approximately $195 million over February 2003. Mainline passenger unit revenue improved 12% year-over-year, well ahead of the industry average. The company reported a net loss of $259 million, including $119 million in reorganization expenses. The majority of reorganization expenses were non-cash items resulting from the rejection of aircraft as the company aligns its fleet with the market. UAL met the requirements of its debtor-in-possession (DIP) financing, including its trailing 12-month EBITDAR (earnings before interest, taxes, depreciation amortization and aircraft rent) covenants, for the thirteenth straight month.
"United continues to make steady progress in our restructuring," said Jake Brace, United's executive vice president and chief financial officer. "Our unit revenue was up 12%, our mainline unit costs for February improved 14% year-over-year, and we improved our cash position in February by more than $200 million, resulting in positive cash flow of $7 million a day."
UAL ended February with a cash balance of about $2.5 billion, which included $654 million in restricted cash (filing entities only). The cash balance increased $205 million during the month of February.
United, United Express and Ted operate more than 3,400 flights a day on a route network that spans the globe. News releases and other information about United may be found at the company's website at www.united.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements included in this press release are forward-looking and thus reflect the Company's current expectations and beliefs with respect to certain current and future events and financial performance. Such forward-looking statements are and will be, as the case may be, subject to many risks and uncertainties relating to the operations and business environments of the Company that may cause actual results to differ materially from any future results expressed or implied in such forward-looking statements. Factors that could significantly affect net earnings, revenues, expenses, unit costs and profit improvements include, without limitation, the following: the Company's ability to continue as a going concern; the Company's ability to operate pursuant to the terms of the DIP Financing; the Company's ability to obtain a federal loan guarantee from the ATSB; the Company's ability to obtain court approval with respect to motions in the Chapter 11 proceeding prosecuted by it from time to time; the Company's ability to develop, prosecute, confirm and consummate one or more plans of reorganization with respect to the Chapter 11 Cases; risks associated with third parties seeking and obtaining court approval to terminate or shorten the exclusive period for the Company to propose and confirm one or more plans of reorganization; the potential adverse impact of the Chapter 11 Cases on the Company's liquidity or results of operations; the appointment of a Chapter 11 trustee or conversion of the cases to Chapter 7; the costs and availability of financing; the Company's ability to execute its business plan; the Company's ability to attract, motivate and/or retain key employees; the Company's ability to attract and retain customers; demand for transportation in the markets in which the Company operates; general economic conditions; the effects of any hostilities or act of war or any terrorist attack; the ability of other air carriers with whom the Company has alliances or partnerships to provide the services contemplated by the respective arrangements with such carriers; the costs and availability of aircraft insurance; the costs of aviation fuel; the costs associated with security measures and practices; competitive pressures on pricing (particularly from lower-cost competitors); government legislation and regulation; and other risks and uncertainties set forth from time to time in UAL's reports to the United States Securities and Exchange Commission. Consequently, the forward-looking statements should not be regarded as representations or warranties by the Company that such matters will be realized. The Company disclaims any intent or obligation to update or revise any of the forward-looking statements, whether in response to new information, unforeseen events, changed circumstances or otherwise.####
