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Discusses the LAS / PHL domicile situation, as well as the closure of TPE.

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Source: Jane Allen

Date: Jun 27, 2003

This is Jane Allen with an update for this week. Time has really flown since I last spoke to you. I hope your week has been as positive and productive as mine has.

I met with AFA leaders this week, and I'm happy to report that the meetings were truly constructive. These talks confirmed the high opinion I already held of AFA's leadership team. I sincerely respect them and the role they play on behalf of flight attendants, and I look forward to working with them.

During the time I shared with Greg Davidowitch, Helen McArdle, Cheryl King, Valerie Walker and Maureen Kerrigan, I committed to a number of things you can also count on - to open, candid, two-way communication…to an atmosphere of mutual respect at all times, under all circumstances…and to support a constructive process for resolving differences between the company and union leaders whenever possible. I also committed to being an advocate for flight attendants and for our division. I left the meeting with such a sense of hope and possibility that I had to share it with you.

More good news this week took the form of an agreement between the company and AFA that would allow flight attendants to continue to fly out of Las Vegas and Philadelphia. I want to give lots of credit to the folks from the union and the company who creatively used co-terminals and the introduction of electronic communication to allow this compromise. It was an excellent solution that not only allows flight attendants to stay in their bases, but also provides United with the business outcome it required. It is exactly this kind of smart, innovative, collaborative work that Glenn Tilton refers to as "doing our best work." My thanks to everyone involved.

Regrettably, based on decline in customer demand, United will permanently discontinue its non-stop service between Taipei and San Francisco. As a result we have had to make the very difficult decision to close the Taipei domicile, effective Oct. 1, 2003. Taipei-based flight attendants will have the option to transfer to other domiciles and the majority most likely will be going to Narita.

We've notified the employees who'll be affected by the closing and will assist them by offering transfer and relocation support. Transition assistance workshops also will be available for the ground employees who also will be affected.

I hope you understand how difficult this decision was, particularly because Taipei Marketrak ratings are among the highest in the Pacific. Our customers clearly recognize and appreciate the excellent service our Taipei flight attendants deliver and so do I. Today we met with Greg Davidowitch and Helen McArdle from AFA to talk through the issues and do what we can to smooth this transition for those affected by it.

While we may savor the success of our work on keeping Las Vegas and Philadelphia flying, our hearts are with our employees in Taipei. It is times like these that stress how important it is for us to work together and take care of each other.

Before I go, I have to mention the friends we'll bid farewell to this coming week as retirements across the company go into effect. We appreciate their years of hard work, dedication and service to United, to their colleagues and to our customers. We wish them the best of everything as this new chapter in their lives unfolds.

Although every retiring employee has distinguished him or herself in one way or another over the years, I must make special note of Flora Fergusen, a flight attendant based in London. Flora will retire with 42 years of service and a record of perfect dependability. Flora, for more than four decades you've demonstrated your pride in your job. You are an inspiration to us all, and we promise to take good care of your company when you go.

Fly safely and have a great week.

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