Hello, this is Jane Allen with an Update for Friday, November 14, 2003.

There has been a lot of buzz in the news media and around the company this week with the announcement that our low-cost operation will be called "Ted." Whether or not you like the name, the good news is that everyone is talking about Ted.

The name, the last syllable of United, emphasizes that Ted customers can tap directly into United's network, which includes our mainline as well as United Express and the Star Alliance.

Ted will be an essential part of our company and our strategy to compete in the growing low-fare market. Offering a product targeted at customers who are looking for low prices and value for their money is essential to our ability to compete in the long run. With more seats on the aircraft for sale and with the substantial cost reductions we have achieved through our restructuring efforts we have the opportunity to succeed in this market and compete with other low-fare carriers.

Ted will be launched out of our Denver hub, using A320 aircraft operated by United pilots and staffed by United flight attendants. There's no first class, only an economy and economy plus cabin, with 18 more seats than a standard A320.

Ted will fly from Denver to several cities in Florida, including Ft. Lauderdale, Orlando, and Tampa, and from Denver to Las Vegas, New Orleans, Ontario, California, Phoenix, and Reno. In addition, there will be flights between Las Vegas and Los Angeles, Las Vegas and San Francisco, and Phoenix and San Francisco.

We currently are in the process of analyzing the schedule to determine whether or not there will be separate lines of flying or even IDs-something we won't know until closer to the actual launch date.

Some other aspects of Ted - including the role our flight attendants will play in the success of Ted-are still under development by the Ted launch team and will be communicated as we get closer to launch. This team includes a representative from Onboard Service and it will have input from front-line employees through an Advisory Council that is being selecting from more than 1,000 employees who volunteered to participate.

Ted will have a simplified fare structure, with only six fares, designated gates and pre-assigned seats, which gives Ted an advantage versus the competition. Another competitive advantage is that Ted customers will earn Mileage Plus miles and they will be able to use Easy Check-in and other Easy products. Customers will receive complimentary beverages and there also will be food available for purchase. Tickets go on sale next Tuesday, November 18, for flights that begin in February.

One last thing I can tell you about Ted is that the energy and enthusiasm we all display for this new operation of United will have a huge impact on its success. That's especially true of our flight attendants, who will be the face of Ted. I'm excited - I think Ted is a smart strategic move for United. It makes great business sense.

For the latest information about Ted click on the Ted nametag on SkyNet's home page. And as soon as we have answers to your questions, we'll provide them as soon as they are available. I think Ted is going to be exciting, fun, and successful. Stay tuned.

Coincidentally, in the same week we announced Ted, we also have some news to report on ZED. That's Z-E-D, which stands for Zonal Employee Discount. United has been trying for years to implement this program, which would offer employees fixed-amount pleasure pass travel fares on other carriers. The delay in introducing ZED has been due to the cost of the necessary computer programming. Knowing how important interline travel benefits are to employees, Onboard Service has pushed for implementation of the program, and it now looks like ZED will become a reality in the first quarter of 2004. We'll provide more information as soon as we have it.

Finally, I'd like to remind you that a company-wide Employee Survey begins next week. From Nov. 17 through Dec. 12, all employees will have an opportunity to provide feedback on topics such as confidence in senior leadership, supervisor effectiveness and the availability of the tools and information needed to do your job.

The company will compare the results of this survey with the random Employee Survey conducted earlier this year to determine where we have made progress in responding to employee feedback and where we need to do more work. Following the first survey, the company created an action plan to address two issues identified by employees: employee communications and leadership effectiveness.

In Onboard Service, we've taken a number of actions in response to the survey. On the communications front, we've added two new features to our web site -- Rumor Central and Ask Onboard. In addition, we are focusing on more face-to-face communication with employees-an initiative that I launched by visiting each of our domiciles and talking with employees in group meetings and one-on-one. To help employees better understand their role at United and the division's objectives, we've communicated extensively about Onboard's new mission statement, fundamental behaviors and our business plan. We began addressing the issue of leadership effectiveness at the Leadership Conference we held in October, and we'll develop more initiatives as part of our division's long-term objectives.

You can see from the actions we've taken since the last Employee Survey that we are listening and responding to your feedback. I encourage all of you to take the opportunity to provide additional feedback through the Employee Survey that begins Monday. Participating in the survey will be easier than ever before. Human Resources will send survey booklets to all locations. Employees in the U.S., Canada and Puerto Rico can complete the survey via SkyNet, the Internet or a toll-free telephone number. Our international flight attendants will be able to access that toll-free number by calling FLT-LINE.

Well, that's the news for this week. Thanks for listening, and have a safe and enjoyable weekend.