I'd like to begin with the news concerning the awarding of voluntary furloughs, which I know is foremost on your minds. First, I want to let you know that since the bids opened, we have reduced our estimate of the number of needed furloughs due to changes in the flying schedule and due to a refinement of our manpower plans. Yesterday, we awarded voluntary furloughs to 5,467 eligible flight attendants, and I'm very pleased to let you know that this number is sufficient to avoid any further involuntary furloughs. In addition, we've had enough voluntary awards to enable us to recall all flight attendants on involuntary furlough and 5.L. ANP. This is terrific news, and I want to say thanks to all of you who volunteered to take time off. I look forward to welcoming back all of our returning flight attendants.

This week I met with the AFA Master Executive Council. The meeting gave me the opportunity to introduce myself to the MEC and to let them know about my values and my plans for the division. It was also a great opportunity, for members of the MEC to ask me questions and express their views on issues of importance. Our dialogue was positive and productive and laid the foundation for what I hope will be the continuation of a collaborative relationship moving forward.

You are probably aware that there has been considerable media attention regarding under-funded pension plans at corporations throughout the United States, including those at UAL. Glenn Tilton visited Washington D.C. to participate in the debate on this issue that is occurring in congress and the Bush administration. Under-funded pension plans are a matter of economic importance to the country and to all of us.

As you may know, defined benefit pension plan like those we have at United are funded in two ways. A certain percentage of the fund comes from money that companies are legally required to contribute. That amount is based on a formula that, simply stated, determines over time how much money must be available as employees retire.

The second way these pension plans our funded is through investment returns on the monies in the plan. As you probably know, United's pension plan, and the pension plans of many other companies are under-funded. While General Motors, IBM, DuPont, United and most of the other major airlines are all experiencing a deficit in their pension plan funding, it is not because we haven't met the cash contributions that we are required to make. Instead, the shortfall has been caused by poor investment returns due to the three plus years of a very poor stock market and very low interest rates. With stock prices down and interest rates low, it has been difficult to place the money in funds that will yield a normal rate of return-- a dilemma we can all relate to based on our own personal investment experiences.

Under current governmental regulations, after pension plans reach a specified level of under funding, companies must make significant accelerated payments to their plan in addition to their normally required contributions in order to reduce the deficit. These accelerated payments are very large for many companies including United, and are especially onerous for companies like the airlines that have had three years of devastating losses. Because of this national problem, companies like United are urging Congress to pass legislation that will enable them to spread these "catch up" payments over a longer period of time. This is why Glenn and other corporate leaders have been spending a lot of time in Washington D.C. talking to our governmental leaders about this issue.

It's important to keep in mind that this issue impacts companies in a wide range of industries, not just those of us in the airline industry. It is also important for you to know that United has met each and each every one of its funding obligations to our pension plan. It is especially significant that we have met our funding obligations even after entering into Chapter 11.

Finally, Glenn has been working closely with other airlines and our unions, including ALPA, which has taken a leadership role in this effort, and the AFL-CIO, in support of a pension proposal specifically for the airline industry.

I believe it's important for all of us to stay informed and talk through these issues so we can fully understand them. Look for updates in NewsReal, Glenn's "Eye on UA" and in my weekly Update message.

Before I go, I want to thank everyone in Washington Dulles and San Francisco for their hospitality during my recent visits to the domiciles. You asked a lot of good questions and candidly shared your thoughts. I have to tell you it's great to be in the field and I look forward to domicile visits next week in Europe.

Well, that's everything for today. Have a safe and enjoyable weekend.