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SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report: September 18, 1997
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(Date of earliest event reported)
UAL CORPORATION
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(Exact name of registrant as specified in its charter)
Delaware 1-6033 36-2675207
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
1200 Algonquin Road, Elk Grove Township, Illinois 60007
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (847) 700-4000
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Not Applicable
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(Former name or former address, if changed since last report)
ITEM 5. OTHER EVENTS.
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UAL Corporation (the "Company") is filing herewith a press
release issued today by the Company as Exhibit 99.1 which is
incorporated herein by reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
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Exhibit No. Description
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99.1 Press Release
SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act
of 1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned hereunto duly authorized.
UAL CORPORATION
By: /s/ Douglas A. Hacker
Name: Douglas A. Hacker
Title: Senior Vice President and
Chief Financial Officer
Dated: September 18, 1997
EXHIBIT INDEX
Exhibit
Number Description
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99.1 Press Release
Exhibit 99.1
UNITED AIRLINES ANNOUNCES CHANGES TO COMMISSION STRUCTURE
FOR IMMEDIATE RELEASE
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CHICAGO, Sept. 18, 1997 -- As part of its ongoing effort to reduce
costs, United Airlines is restructuring its travel agency commission rate
for travel purchased in the United States, Puerto Rico, the U.S. Virgin
Islands and Canada. The changes are effective at 12:01 a.m. (Central
Daylight Time) on Sept. 19, 1997.
Tickets purchased in the United States and Puerto Rico for
travel within the country will earn an 8 percent base commission
rate with a maximum payment of $50 (U.S.) for each round-trip and
$25 (U.S.) for each one-way flight.
In addition, tickets purchased in Canada for all flights between
Canada and the U.S. will earn an 8 percent base commission rate with a
maximum payment of $70 (Canadian) for roundtrips and $35 (Canadian) for
one-way flights.
Tickets purchased in the United States and Canada to all
international destinations also will earn an 8 percent base
commission rate without any maximum payment amount. This action
largely corresponds with the 8 percent U.S. point of sale base
commission rate currently offered by Delta Air Lines and American
Airlines in international markets.
(more)
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This commission action by United will have no direct impact on the
cost of tickets for consumers.
"This new domestic and international commission structure reflects
our larger objective of keeping all of our costs under control," says
United Airlines Chairman and Chief Executive Officer Gerald Greenwald.
"We anticipate that this action will result in savings of approximately
$80 to $100 million annually. It will allow United to more effectively
thrive in an increasingly competitive airline marketplace, and it will
allow us to invest more in our product and service to travelers."
Focusing on what travelers want, United's service investments and
cost-cutting actions have included:
- - the introduction of more comfortable seats throughout the aircraft
fleet;
- - improved meals in all classes of service;
- - expanded and enhanced airport facilities in cities such as
Washington D.C. and Los Angeles;
- - cutting-edge technology such as the "Fast Air" airport processing
system aimed at improving customer service;
- - the refurbishment of Red Carpet Clubs and First Class lounges;
- - an aggressive retire-and-replace aircraft strategy to lower
maintenance expenses and enhance reliability;
- - the early repayment of debt in order to lower future interest
expense.
(more)
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"The quest to cut costs isn't a one-shot exercise - - it is a way of
life at United," adds Greenwald. "There is a new and more intense level
of competitiveness that all airlines must now confront in the global
marketplace. Because of this, United continues to look for ways to
survive and succeed by improving revenue and cutting costs in every
aspect of our operation."
As the largest air carrier in the world and the largest majority
employee-owned company, United Airlines offers nearly 2,300 flights a day
to 136 destinations in 30 countries and two U.S. territories. United
also is an industry innovator with breakthroughs such as E-Ticket Service,
United Connection, Self-Service Boarding Pass Machines, Shuttle by United,
and the introduction of the technologically advanced Boeing 777.
United Airlines' Internet address is http://www.ual.com