Today's Special News:

Mar 26, 2004
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Today's Special News:

1. Glenn Tilton's EYE-ON-UA Message to Employees
* To listen to the message, call Unitel EYE-ON-UA (393-6682),
1-847-952-1122 or toll-free in the United States 1-800-EYE-ON-UA
(393-6682)
and select option 2.

----------------------------------------------------
Glenn Tilton's EYE-ON-UA Message to Employees
----------------------------------------------------
Hi, this is Glenn and it is Friday, the 13th of August and I am calling
from
Chicago.

Last week on the call, I talked about responsibility, accountability
and the
importance of making the right decisions, regardless of how difficult
or
tough the decisions may be. And, I talked about the need for those who
have
a stake in the future of United to participate fully in the discussions
regarding our decisions.

Since that call, we have had many such discussions. We have had
information
sharing meetings with four of our union groups and others are currently
scheduled. On Wednesday we had our monthly creditors committee meeting,
and
yesterday we met with our board of directors for the second time in two
weeks.

Today on the call, I am going to talk about some of the things that we
discussed with our creditors committee and our board.
The single most important thing that we discussed and we all agreed, is
that
United today is at a critical crossroads. If ever there was a time in
the
company's history where we needed to stare hard at the facts and the
reality
of our situation, and at the marketplace in which we compete, now is
the
time.

Our history shows that we have repeatedly shied away from difficult
decisions and today, we are suffering the consequences of either poor
decisions or decisions that we avoided.

We have made significant progress in the past two years, as hard as
that
experience has been on all of us. We have dramatically improved the
company, and we need to continue to build on that foundation.

As Pete McDonald, our chief operating officer, mentioned on a recent
call,
we know we have more to do across our cost structure. And that work is
going to be across the entire organization, including headquarters, and
we
are moving forward
daily on performance and cost improvements. And, many of you
continue to contribute your ideas on how we can improve.

We must be cost competitive. We must be able to weather the impact of
external factors that are beyond our control, such as the cost of fuel,
which is today at a 20-year high with no sign of relief, coupled with
the
continued pressure on our revenue line.

Our discussions with both the creditors and the board are very direct,
they
are very candid, with the knowledge that everyone has a commitment to
the
successful restructuring of United. I expect our ongoing meetings with
our
union groups will be equally open, direct and candid, and share the
same
commitment.

Where we have differences, we will resolve our differences based on the
facts and based on our mutual interests for the success of the entire
enterprise.

We should all have the same ambition for United: Working together to
get the
company in the best possible shape to compete and, to have a future
that
allows us to participate in the industry for the longer term, whatever
that
future may be.

Within this environment, we must have and be able to execute a feasible
and
a finance-able business plan. I can tell you, without any doubt, that
to
achieve that ambition, we are going to have to make tough choices.

We must also continue to deliver the experience our customers now have
come
to expect from the new United. Your ability to consistently meet and
exceed
performance targets during this time of such change and stress and
potential
distraction has distinguished us in the eyes of customers and
commentators.
And, I know how hard this has been on all of you.

But I have to tell you; you have done more to reestablish our
credibility
with our customers than any combination of advertising, special fares,
or
other incentives that we have devised. When our customers make their
choices, the experience that they have with every employee at United is
critical.

It is precisely because of the success of the past two years, because
our
customers have told us they want to continue to fly United -- that I
know,
that I believe we are going to get through this challenging time.

We need to constantly remind ourselves what this is really about. This
is
about the future of United and it's about the future of everyone who
works
at the company or has a stake in the company.

We will do the work necessary to complete a credible business plan that
will
attract the financing we need and, that best meets the various needs of
our
employees, our creditors and the court.

Decisions that may seem very tough today will be the decisions that
will
reposition this company to the benefit of our employees and other
stakeholders for the long term. We have to be accountable for these
decisions and we have to decide which road we are going to take.

There is a genuine opportunity for us. Keep your focus on the one that
ensures success -- our relationships with one another and with our
customers.

I will be talking to you again soon, and until then, keep your heads
up,
stay focused and most of all, stay united.
----------------------------------------------------
*** Away from work? Call in for NewsReal.*** Dial 800-EYE-ON-UA,
Unitel
EYE-ON-UA (393-6682), or 847-952-1122.
NewsReal also is available on SkyNet,
United's Intranet (from a UAL desktop at http://skynet.ual.com or via
the
Internet at http://united.intranet.ual.com).
----------------------------------------------------
Lisa Perkins - WHQPR Unitel 700-6820
----------------------------------------------------
 
What the heck is he saying? I wouldn't worry either if I had a $4.5M pension already funded. I guess we are suppoed to keep on working and not let salaries or the future bother us.

Just make sure those customers are happy.
 
uafa21 said:
What the heck is he saying? I wouldn't worry either if I had a $4.5M pension already funded. I guess we are suppoed to keep on working and not let salaries or the future bother us.

Just make sure those customers are happy.
[post="168439"][/post]​


He is saying that your pay will be cut once again, and that its in your best interest to go along with the plan. You know what the alternative is.

And yes, keep your boss, the customers, happy.
 
Decisions that may seem very tough today will be the decisions that
will reposition this company to the benefit of our employees and other
stakeholders for the long term. We have to be accountable for these
decisions and we have to decide which road we are going to take.

Sounds like the good old days! Next the threats of liquidation will be coming with no more employee givebacks this time. They don't have a clue even today how to FIX UAL.

I made a bet with my boss today that the hangar in DENVER will be closed by mid OCT. And, another that you'll see asset sales and the start of liquidation by years end. Oil were it's at no relief anytime soon, the pension funding, no financing on the horizon, the threats of legal action by the unions, the government and UAL’S expectation of the court to extend their time to file a plan. It's just a matter of time! I feel for you all at UAL who have sacrificed time and again under the misguided management that has probably finally done UAL in.
 
If you read between the lines he is saying, that there are major problems with the company and that we should be out there in front of the customers with a smile on our face and a drink in our hand and make it look like we are a on going airline with a very confident attitude that we'll make it.

Now the informantion comes out about the way the pension funds were invested. No wonder the company owes so much into them. If the court were to put a trustee in they might look at what is really going on and start the liquidation process or the same by selling off the most valuable assets the company has. I don't understand why management didn't start addressing many of these issues several years ago. They let the losses keep mounting.
 
What Tilton is saying is that you'll take a big pay cut, you'll get no pension, and you'll like it. And if you do this, you might have the privilege of working for him . . . . but only if you do it with a smile on your face.

People in this country better start waking up to what kind of economy the Republicans are driving us into. RECORD trade deficits, record lows in exports with record highs in imports, EVEN WITH record lows on the dollar's value. And Mr. Bush wants to convince you that exporting jobs overseas is GOOD for you. There's not going to be much of a "working" middleclass at the rate this country is going down the tubes.
 
I am truly worried for the working individual who is within 3 to 5 years of calling it quits. They are between the proverbial rock and a hard place. If they take a paycut, they will not have a chance to make the money back before they call it quits, and their pension may be gone. They are also going to have a hard time finding a job that pays as well right now. I hope and pray for you all. Take care.
 
coolflyingfool said:
I am truly worried for the working individual who is within 3 to 5 years of calling it quits. They are between the proverbial rock and a hard place. If they take a paycut, they will not have a chance to make the money back before they call it quits, and their pension may be gone. They are also going to have a hard time finding a job that pays as well right now. I hope and pray for you all. Take care.
[post="168811"][/post]​

See also, Enron. I know someone who worked for Houston Natural Gas and its successor, Enron, for almost 40 years. His 401-K was wiped out by the fall. They got matching money in their 401Ks from the company only if it was all invested in company stock. He will have to work as long as he is physically able because Social Security will not be enough.
 
Our history shows that we have repeatedly shied away from difficult
decisions and today, we are suffering the consequences of either poor
decisions or decisions that we avoided.

No more Mister Nice Guy.

Hang on, it's going to be a bumpy ride!!!
Best of luck to us all.

JMHO,
Take Care,

B) UT
 
"What the heck is he saying?"

He is saying, my friends, "drink the Kool-Aid" and all will be well. I wonder if Tilton led a cult in South Africa in his previous life.
 
He is saying that times are tough, that pensions will either be trimmed or toseed, and there will probably have to be more pay cuts. If that doesn't happen the court may force UAL to start selling assests to pay the pensions undermining the viability of the whole airline.
 
Looks like we are all correct. Except for the 'investment' idea :p

JMHO,
B) UT
 
UAL_TECH said:
Looks like we are all correct. Except for the 'investment' idea :p

JMHO,
B) UT
[post="168883"][/post]​


This same drama is being played out at USAirways and Delta. There has been a fundamental shift in industry economics. The problem is not isolated to United.

It really is an investment - you need to think about the future and forget about the past. It sounds trite, but all I hear on these boards is references to the past or how much someone else makes, or what United "owes them". Its a culture of entilement that has brought United down.

Take some sacrifices now, and make sure your leaders negotiate for some share of the upside when it comes. It will come. The industry will rebound - but pay rates will NOT be what they were in the past.
 
If Glen really expects further paycuts I would ask...How much lower can you all go? I was talking with a friend of mine who flies the A320 at UAL. He said he currently works 18 to 20 days per month with no duty and rigs and alot of rescheduling while on his trips. But at least he got to take a forty percent paycut. Under the current contract, he says his job sucks and he mentioned he can't imagine working more for even less money (he currently flies around 90 hours per month).

I guess Glen, when referring to the pilot group, would have to be talking of purely of pensions because it would be hard to imagine having work rules or compensation that is worse than the current contract.

good luck to UAL guys and gals

Bigsky