Announced In a Company Memo August 18, 2008
Catering Changes Provide Value and Options
Cost reduction and revenue generating opportunities continue to be the
focus of every division throughout the company. In the wake of high fuel
prices and a challenging economic environment, we must continue to examine
every aspect of our business and find new ways to improve our day-today
operations through efficiencies that still meet our customers' expectations.
And we can expect this will continue to drive changes to the way we
do business.
Fleet and capacity reductions announced in June have already resulted in significant
changes for our division, many of which were implemented in July and
August. And there are more changes scheduled for September and October.
These changes are difficult, but necessary, and we do not make them lightly.
However, they enable us to reduce costs and generate additional revenue
while preserving a differentiated product for our premium cabin customers
both internationally and domestically. Our industry is changing, and in
United's ongoing efforts to offer overall value and competitive fares, we need
to tailor our products and services to what the customer values and can
choose from accordingly.
The following is a general overview of the upcoming changes. You can
expect detailed information in the coming weeks.
Effective Sept. 2
North America United Economy® (UE) -All Markets
• Expanding a la carte snacks for purchase to flights between 760 -1149
miles (approximately 2-3 hours in duration) as a result of successful testing
in select markets. Along with the expansion, we're removing complimentary
biscoff and pretzels as data from those tests confirmed that the a
la carte offering appeals to our customers and they are willing to pay for
snacks of higher value.
• Continuing test of a fresh Buy on Board offering along with the current
snack box on flights between 1440 - 2099 miles (approximately 3.5 - 5 hours
in duration). Testing limited to ORD-LAX-ORD and DEN-IAD-DEN.
Effective Oct. 1
Increasing Buy on Board Prices
• Shelf-stable items increase from $5 to $6.
• Fresh items increase from $7 to $9.
Offering Two-Class Service on North America Three-Class Airplanes
• United First® service remains the same.
• A combined BOB service will be offered in United Business® (UB) and
United Economy® (UE).
•Customers in UB will receive complimentary beverages and BOB offering.
• Staffing will be adjusted to FAA minimums.
Buy on Board Offered Out of IAD to Europe (except KWI)
• Replacing complimentary meals in UE with BOB fresh and snack box
offerings.
• Economy staffing breakpoints for all aircraft will be adjusted to current
North America BOB staffing guidelines.
Eliminate Second Service in p.s. Market
• Removing the pre-arrival snack service and replacing with a beverage service
in response to flight attendant and customer feedback.
