Hello, this is Jane Allen with an Update for Friday, March 4, 2005.

In my last two messages, I've reviewed our on-time and DIR performance for January. Today I'll wrap up the month's Success Sharing report by discussing our financial results and the results for CASM, or Cost per Available Seat Mile, which is the newest component of Success Sharing.

Last week, United filed our Monthly Operating Report for January with the Bankruptcy Court. We reported a significant loss for the month, but we did make some progress in both revenue growth and unit cost reduction. Our unit costs are measured by our cost per available seat mile, or CASM. Our passenger unit revenue, which is revenue per available seat mile, outperformed the industry, climbing 3 percent in January 2005 as compared to January 2004. Overall, we reported an operating loss of $151 million for January. When you add in other, non operating costs, our loss for the month was $356 million.

Unit costs -or CASM -for January increased 1 percent compared to the same period last year. When we exclude fuel, our costs actually decreased 6 percent year-over-year. We succeeded in keeping our mainline cost per available seat mile - excluding fuel - below 8.13 cents, which is our first-quarter Success Sharing financial goal. Keep in mind that CASM is a measure of our performance in terms of cost. So the lower our number, the greater the cost savings we achieved. In other words, the lower the number, the better.

We'll track CASM monthly to help us monitor progress and work toward our quarterly CASM goal. We will report monthly CASM results being as "At Goal," "Ahead of Goal," or "Behind Goal," as opposed to giving you a specific number. We do that because United and other carriers only report detailed financial results - including CASM - on a quarterly basis. Thus we will communicate our quarterly CASM number only at the end of the quarter.

As is the case every month, there are numerous factors that went into our cost performance in January. For example, we had higher weather-related delays and cancellations, which drove our costs up and thus had a negative impact on CASM. The weather also had a negative impact on definite intent to repurchase and on-time :00 departure results, as I previously shared with you.

This is our first month with CASM as a Success Sharing goal and we are tracking "Ahead of Goal," which is good news. While we have made progress in our efforts to reduce costs and improve efficiencies, more work is necessary as we must compensate for continued high fuel costs and a weak domestic revenue environment.

I continue to appreciate the collective energy and focus that you have displayed as a team - you are doing a great job. Together, we have met the challenges of this brutally competitive marketplace. And the one thing we can be sure of in this business is that it will continue to be extremely competitive and that we must keep up. In order to do that, we must examine all aspects of our business, look for ways to become more efficient, remove costs and remove obstacles that prevent us from doing our best work. We also need to think of ways to bring customers to United, and to drive revenues. In Onboard, we are working on new initiatives that will help us do business in a new way and that will have a positive impact on costs and revenues. You'll hear more about them in the weeks ahead.

Thank you for listening today. Fly safe and I'll talk with you again next week.