Interesting

[ual06]

Very, very interesting. Why was the thread of Second Qtr Results. Keep up the good work!, on this board, locked without an explanation?

 

[767jetz]

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On 8/2/2003 10:07:36 PM ual06 wrote:

Very, very interesting. Why was the thread of "Second Qtr Results. Keep up the good work!", on this board, locked without an explanation?

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Good question!
Since we have been given no reason, I will be happy to re-post my thoughts here, to allow others to further discuss it. (PEACEFULLY & RESPECTFULLY PLEASE)

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UAL Corporation Reports Second-Quarter Results
Friday August 1, 10:00 am ET

Reports Positive Operating Cash Flow and Cash Position Improves Significantly
Meets DIP Covenant Requirements for June
Unit Costs Significantly Improved
Salaries and Related Costs Down $543 Million


"The second quarter began as a severe challenge for United and the industry as a whole, but we saw a particularly positive trend as we moved through the period," said Glenn Tilton, chairman, president and chief executive officer. "We steadily improved revenue and realized a 4% improvement in domestic passenger unit revenue for June over the same month last year. We also achieved a large decrease in our labor and other costs as we continue to implement our various cost-reduction initiatives," continued Tilton. "Despite the continued difficult economic environment, the improvement in both revenue and cost is encouraging."
The Company recorded positive operating cash flow of almost $2 million per day in the quarter, excluding the $300 million in government reimbursement and a $365 million income tax refund the Company received during the quarter. The Company's cash position increased to $2.3 billion, including $684 million in restricted cash.
In June, for the fifth straight month, United satisfied the covenants of its debtor-in-possession (DIP) financing, which required the Company to achieve a cumulative EBITDAR (earnings before interest, taxes, depreciation, amortization and aircraft rent) loss of no more than $585 million between December 2002 and June 2003.
Operational Performance
As the Company continued to reduce unit costs during the quarter, United employees delivered strong operational performance, including:

    * On-time departure performance in the quarter was the best in United's
      history at 76.9 %.

    * Arrivals within 14 minutes of schedule was 86.1% for the quarter,
      another all-time record for United, compared to 82.3% for the same
      period last year.

    * For January through May 2003, United is #1 in arrivals within 14 minutes
      of schedule among the six major network carriers, according to the U.S.
      Department of Transportation.

    * For January through May 2003, United had the second fewest passenger
      complaints among the six major network carriers, also according to US
      DOT rankings.

    * For the first six months of 2003, United recorded its highest customer
      satisfaction since the Company began studying a set of key customer
      perception and service metrics in 1996.  Performance in all the metrics
      on which the survey is based, including flight attendant service, check-
      in efficiency and on-time performance among others, were well above last
      year's levels.

During the quarter, United made significant progress enhancing its customer value proposition and improving revenue performance, including:

    * Fully restoring United's transatlantic schedule by June 2, 2003.
    * Announcing the phased restoration of United's Pacific schedules to be
      completed by September 3, 2003.
    * Adding 160 domestic flights to accommodate current strong levels of
      demand.
    * Executing agreements to expand United's regional jet network and
      significantly reducing turboprop operations.
    * Continuing efforts to further improve United's Mileage Plus program,
      already recognized as the industry's leading frequent flyer program,
      with well-received marketing initiatives targeting our core business
      customers, including "Fly Three, Fly Free" and "Travel the World for
      Free" incentives.
    * Introducing Verizon JetConnect onboard e-mail access, online check-in,
      Easy Update -- an industry-leading wireless flight information
      notification service -- and a new, more customer-friendly boarding
      process.17% from the same quarter last year.

United's operating expenses for the quarter were $3.5 billion, down 17% from the same quarter last year. While the Company's unit cost (operating expenses per available seat mile) decreased 3%, excluding its fuel subsidiary and special items, unit cost decreased 6% year-over-year. This unit cost improvement was among the best in the industry.
Aircraft rent was down $73 million or 35% compared to second quarter 2002. United is still in negotiations with respect to a large number of aircraft in its fleet and further savings are expected to be realized as these negotiations are finalized over the next several months.
United began June with a cash balance of approximately $2.2 billion, which included $659 million in restricted cash (filing entities only). It ended the month with a cash balance of approximately $2.3 billion, which included $674 million in restricted cash (filing entities only). The Company's cash balance increased approximately $92 million for the month, or approximately $3 million per day. The Company said it also expects to meet the EBITDAR requirements for its DIP agreements in July.
The Company said that it had earnings from operations of $20 million and a net loss of $310 million for June 2003, which includes $334 million in reorganization expense.

 

[bigbusdrvr]

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On 8/2/2003 10:07:36 PM ual06 wrote:

Very, very interesting. Why was the thread of "Second Qtr Results. Keep up the good work!", on this board, locked without an explanation?

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I believe it's called denial!!!

 

[atabuy]

You don't think chip bashing had anything to do with it?

 

[novaqt]

Why was Ukridge Comments thread cut off without explanation? Here is my response.

Ukridge Comments:

LOL!!!

We must have a new overzealous moderator.

Moderator:
Please put Chip Munn's posts on the US Airways Board where they belong. Let him analyze UAL over on his own board.

 

[scot]

The Ukridge thread was closed because the last few posts were not on topic.

The 2nd quarter thread has been reopened, although it needs to get back on topic or it too will be closed again.

If you would concentrate on the posts instead of the poster, you wouldnt be having a problem on this board. If there is a post you want to respond to, please do so, but leave the poster bashing out of it. If you dont want to post or read someones posts, then please skip them. If you want to discuss something personal, please email or PM the person you want to respond to and keep it off the boards.

Posts are airline board related, not poster related and will be allowed and moved to the board that the post pertains to.

Since the original post here was complaining about a thread that had been closed, and it has been reopened, this thread is closed and discussion may continue ON TOPIC on that thread.

Thank you for your cooperation.