8-K

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): September 9, 2013

 

 

UNITED CONTINENTAL HOLDINGS, INC.

UNITED AIRLINES, INC.

(Exact name of registrant as specified in its charter)

 

Delaware   001-06033   36-2675207
Delaware   001-10323   74-2099724
(State or other jurisdiction   (Commission File Number)   (IRS Employer
of incorporation)     Identification Number)

 

233 S. Wacker Drive, Chicago, IL   60606
233 S. Wacker Drive, Chicago, IL   60606
(Address of principal executive offices)   (Zip Code)

(312) 997-8000

(312) 997-8000

Registrant’s telephone number, including area code 

 

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 


Item 8.01 Other Events

On September 9, 2013, United Airlines, Inc., a wholly owned subsidiary of United Continental Holdings, Inc., issued a press release reporting its August 2013 operational results. The press release is filed herewith as Exhibit 99.1 and is incorporated herein by reference.

 

Item 9.01 Financial Statements and Exhibits.

 

Exhibit No.

  

Description

99.1*    Press Release issued by United Airlines, Inc. dated September 9, 2013

 

* Filed herewith electronically.


SIGNATURES

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.

 

    UNITED CONTINENTAL HOLDINGS, INC.
    UNITED AIRLINES, INC.
    By:   /s/ Chris Kenny
    Name:   Chris Kenny
    Title:   Vice President and Controller
Date: September 9, 2013      


EXHIBIT INDEX

 

Exhibit No.

  

Description

99.1*    Press Release issued by United Airlines, Inc. dated September 9, 2013

 

* Filed herewith electronically.
EX-99.1

Exhibit 99.1

 

News Release

 

United Airlines

Worldwide Media Relations

872.825.8640

media.relations@united.com

   LOGO

United Reports August 2013

Operational Performance

CHICAGO, Sept. 9, 2013 – United Airlines (UAL) today reported August 2013 operational results.

UAL’s August 2013 consolidated traffic (revenue passenger miles) decreased 0.5 percent and consolidated capacity (available seat miles) decreased 1.4 percent versus August 2012. UAL’s August 2013 consolidated load factor increased 0.8 points compared to August 2012.

UAL’s August 2013 consolidated passenger revenue per available seat mile (PRASM) increased an estimated 3.5 to 4.5 percent compared to August 2012. Weakness in the Pacific entity, primarily driven by the yen depreciation, reduced consolidated PRASM by approximately one percentage point in August.

About United

United Airlines and United Express operate an average of 5,341 flights a day to more than 360 airports across six continents. In 2012, United and United Express carried more passenger traffic than any other airline in the world and operated nearly two million flights carrying 140 million customers. United is investing in upgrading its onboard products and now offers more flat-bed seats in its premium cabins and more extra-legroom economy-class seating than any airline in North America. In 2013, United became the first U.S.-based international carrier to offer satellite-based Wi-Fi on long-haul overseas routes. The airline also features DIRECTV® on 200 aircraft, offering customers more live television access than any other airline in the world. United operates nearly 700 mainline aircraft and has made large-scale investments in its fleet. In 2013, United will continue to modernize its fleet by taking delivery of more than two dozen new Boeing aircraft. The company expanded its industry-leading global route network in 2012, launching nine new international and 18 new domestic routes. Business Traveler magazine awarded United Best Airline for North American Travel for 2012, and readers of Global Traveler magazine have voted United’s MileagePlus program the best frequent flyer program for nine consecutive years. According to the 4th annual Switchfly Reward Seat Availability Survey published by IdeaWorksCompany in May 2013, United has the most saver-style award-seat availability among the largest U.S. global airlines. United is a founding member

 

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United Reports August 2013 Operational Performance / Page 2

of Star Alliance, which provides service to 195 countries via 28 member airlines. More than 85,000 United employees reside in every U.S. state and in countries around the world. For more information, visit united.com or follow United on Twitter and Facebook. The common stock of United’s parent, United Continental Holdings, Inc., is traded on the NYSE under the symbol UAL.

Preliminary Operational Results

 

     August     Year-to-Date  
     2013      2012      Change     2013      2012      Change  

REVENUE PASSENGER MILES (000)

                

Domestic

     8,712,264         8,943,918         (2.6%     61,906,393         63,692,106         (2.8%

International

     8,380,273         8,197,812         2.2%        59,666,194         59,769,986         (0.2%

Atlantic

     3,994,742         3,726,781         7.2%        25,814,170         26,133,458         (1.2%

Pacific

     2,959,415         3,042,114         (2.7%     21,807,942         21,762,646         0.2%   

Latin

     1,426,116         1,428,917         (0.2%     12,044,082         11,873,882         1.4%   

Mainline

     17,092,537         17,141,730         (0.3%     121,572,587         123,462,092         (1.5%

Regional

     2,421,639         2,470,952         (2.0%     17,758,611         17,658,152         0.6%   

Consolidated

     19,514,176         19,612,682         (0.5%     139,331,198         141,120,244         (1.3%

AVAILABLE SEAT MILES (000)

                

Domestic

     9,826,232         10,108,451         (2.8%     71,692,777         74,492,021         (3.8%

International

     9,612,403         9,551,482         0.6%        72,197,179         74,000,367         (2.4%

Atlantic

     4,502,499         4,398,120         2.4%        31,546,447         32,795,436         (3.8%

Pacific

     3,379,771         3,441,510         (1.8%     25,935,416         26,514,164         (2.2%

Latin

     1,730,133         1,711,852         1.1%        14,715,316         14,690,767         0.2%   

Mainline

     19,438,635         19,659,933         (1.1%     143,889,956         148,492,388         (3.1%

Regional

     2,886,542         2,988,265         (3.4%     21,639,578         22,116,526         (2.2%

Consolidated

     22,325,177         22,648,198         (1.4%     165,529,534         170,608,914         (3.0%

PASSENGER LOAD FACTOR

                

Domestic

     88.7%         88.5%         0.2 pts        86.3%         85.5%         0.8 pts   

International

     87.2%         85.8%         1.4 pts        82.6%         80.8%         1.8 pts   

Atlantic

     88.7%         84.7%         4.0 pts        81.8%         79.7%         2.1 pts   

Pacific

     87.6%         88.4%         (0.8) pts        84.1%         82.1%         2.0 pts   

Latin

     82.4%         83.5%         (1.1) pts        81.8%         80.8%         1.0 pts   

Mainline

     87.9%         87.2%         0.7 pts        84.5%         83.1%         1.4 pts   

Regional

     83.9%         82.7%         1.2 pts        82.1%         79.8%         2.3 pts   

Consolidated

     87.4%         86.6%         0.8 pts        84.2%         82.7%         1.5 pts   

ONBOARD PASSENGERS (000)

                

Mainline

     8,433         8,786         (4.0%     62,037         64,498         (3.8%

Regional

     4,337         4,365         (0.6%     31,973         31,620         1.1%   

Consolidated

     12,770         13,151         (2.9%     94,010         96,118         (2.2%

CARGO REVENUE TON MILES (000)

                

Total

     162,296         194,465         (16.5%     1,445,825         1,657,476         (12.8%

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United Reports August 2013 Operational Performance / Page 3

Preliminary Financial Results

 

July 2013 year-over-year consolidated PRASM change

     3.8  

July 2013 year-over-year mainline PRASM change

     2.5  

August 2013 estimated year-over-year consolidated PRASM change

     3.5-4.5  

August 2013 estimated year-over-year mainline PRASM change

     3.0-4.0  

August 2013 estimated consolidated average price per gallon of fuel, including the impact of all cash settled hedges and fuel taxes

     3.10        Dollars   

Third Quarter 2013 estimated consolidated average price per gallon of fuel, including the impact of all cash settled hedges and fuel taxes

     3.11        Dollars   

Preliminary Operational Results

 

     2013      2012      Change  

August On-Time Performance1

     79.3%         72.3%         7.0 pts   

August Completion Factor2

     99.4%         98.5%         0.9 pts   

 

1 Based on domestic mainline scheduled flights arriving within 14 minutes of scheduled arrival time, according to data published in the DOT Air Travel Consumer Report
2 Mainline completion percentage

Safe Harbor Statement

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements included in this release are forward-looking and thus reflect our current expectations and beliefs with respect to certain current and future events and financial performance. Such forward-looking statements are and will be subject to many risks and uncertainties relating to our operations and business environment that may cause actual results to differ materially from any future results expressed or implied in such forward-looking statements. Words such as “expects,” “will,” “plans,” “anticipates,” “indicates,” “believes,” “forecast,” “guidance,” “outlook” and similar expressions are intended to identify forward-looking statements. Additionally, forward-looking statements include statements that do not relate solely to historical facts, such as statements which identify uncertainties or trends, discuss the possible future effects of current known trends or uncertainties or which indicate that the future effects of known trends or uncertainties cannot be predicted, guaranteed or assured. All forward-looking statements in this report are based upon information available to us on the date of this report. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, except as required by applicable law. Our actual results could differ materially from these forward-looking statements due to numerous factors including, without limitation, the following: our ability to comply with the terms of our various financing arrangements; the costs and availability of financing; our ability to maintain adequate liquidity; our ability to execute our operational plans; our ability to control our costs, including realizing benefits from our resource optimization efforts, cost reduction initiatives and fleet replacement programs; our ability to utilize our net operating losses; our ability to attract and retain customers; demand for transportation in the markets in which we operate; an outbreak of a disease that affects travel demand or travel behavior; demand for travel and the impact that global economic conditions have on customer travel patterns; excessive taxation and the inability to offset future taxable income; general economic conditions (including interest rates, foreign currency exchange rates, investment or credit market conditions, crude oil prices, costs of aircraft fuel and energy refining capacity in relevant markets); our ability to cost-effectively hedge against increases in the price of aircraft fuel; any potential realized or unrealized gains or losses related to fuel or currency hedging programs; the effects of any hostilities, act of war or terrorist attack; the ability of other air carriers with whom we have alliances or partnerships to provide the services contemplated by the respective arrangements with such carriers; the costs and availability of aviation and other insurance; industry consolidation or changes in airline alliances; competitive pressures on pricing and on demand; our capacity decisions and the capacity decisions of our competitors; U.S. or foreign governmental legislation, regulation and other actions (including open skies agreements and environmental regulations); labor costs; our ability to maintain satisfactory labor relations and the results of the collective bargaining agreement process with our union groups; any disruptions to operations due to any potential actions by our labor groups; weather conditions; the possibility that expected merger synergies will not be realized or will not be realized within the expected time period; and other risks and uncertainties set forth under Item 1A, Risk Factors, of UAL’s Annual Report on Form 10-K, as well as other risks and uncertainties set forth from time to time in the reports we file with the SEC.

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