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Company-wide Effort Lands Motorola's Global Business

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Source: Glenn Tilton

Date: Nov 06, 2006

November 6, 2006 – Company-wide Effort Lands Motorola's Global Business

Hi, it’s Glenn. It’s Monday, the sixth of November. I am pleased to report to all of you today that after more than six months of intense work and negotiation, United has been selected as Motorola’s primary global carrier.

Our proposal to Motorola was a true companywide effort, reflecting the work of departments ranging from Revenue Management and Sales to Marketing and Corporate Social Investment, and many more in between. Operating as one company and delivering a proposal that truly reflected what a large corporate customer such as Motorola wants from us; United won the account, which has been with American Airlines for 14 years.

Joining me on today’s call to talk about why we won this business, and even more importantly, the opportunity that this and other corporate accounts create for United, is Graham Atkinson, executive vice president and chief customer officer, and Jeff Foland, senior vice president of Worldwide Sales.

So, Graham, over to you...

Graham: Thanks, Glenn.

As you know, we have made the decision that we will focus on the different products and services we believe customers want and value. As we often say, the business customer is at the heart of United, and we have decided to build our product portfolio, such as Economy Plus, p.s. transcon, explus and expanding our international routes, because we know these are the products and services that are important to our business customers.

We were able to win Motorola's business by delivering a proposal that works for them and works for us, leveraging our unmatched global network, the Star Alliance, premium Economy Plus seating, Mileage Plus and other products that meet their needs combined with the service that they expect.

Winning this major piece of business provides us an enormous opportunity to meet --and indeed exceed -- the expectations of our newest corporate customer, and all of our frequent business travelers. Delivering the experience our business customers expect every time they fly with us will ensure that we can get more than our fair share of revenue from frequent business travelers and large corporate accounts.

All of us - from the front line operations and maintenance to headquarters -- have a role to play in delivering the travel experience Motorola and other corporate accounts expect.

Delivering on the customer experience -- or what I prefer to call our Customer Excellence work - will provide a higher level of recognition and personalized service for our best customers... a one-stop experience in our call centers to take care of changes in their travel plans, for example. The assurance that when irregular operations occur, as all airlines face, United will help ensure their needs are given priority consideration.

Our newly designed premium check-in, security clearance and boarding processes are being finalized in San Francisco, and the transformation work Sean Donohue is leading in Onboard Service continues as we implement these features throughout our system during the course of 2007. Ultimately, this work will deliver a more respectful, relaxed and rewarding experience for all our corporate travelers.

Business travelers, like those at our largest corporate customers, are essential to United. They travel frequently, and their schedules match our route network. They also tend to be loyal to their preferred airline, traveling on the same carrier for work and leisure, which is why it’s so important that we deliver the right experience across the system.

Many across the company were indeed involved in making Motorola our newest corporate customer. Jeff Foland and the Sales team took an enterprise-wide approach to making sure we were delivering on the specific interests and needs of Motorola. The Sales division has been undergoing a Strategic Sales Transformation, a continuous improvement commitment that has changed our approach to how we match the products, service and support that customers value.

Jeff?

Jeff: Thanks, Graham.

The process that we went through to secure Motorola’s business provided further validation of what we discovered as we went through our sales force transformation over the past two years. Our customers - especially our largest corporate customers - do not simply buy on price alone. Keeping their costs competitive is certainly critical, but so is providing the right business products, services and traveler experience they expect, and building and maintaining a deep, enterprise-wide relationship.

Similar to all of our key corporate customers, we reinforced our commitment to travel program and traveler experience excellence for Motorola during the bidding process, which was truly a companywide effort that incorporated everything from network alignment and pricing, tailored travel program support, to special Mileage Plus components and the work both of our companies do to make Chicago, our mutual hometown, a better place.

Under the new, multi-year agreement, which goes into effect Jan. 1, 2007, United will provide Motorola employees with nonstop air service from Chicago throughout the United States, and to more than 17 key business markets in Asia, Europe, and South America. An important aspect of our Motorola pitch was our strong route network, particularly our international service to Beijing, Frankfurt, Hong Kong, London, Paris, Sao Paulo and Tokyo, all of which are key destinations for Motorola's business.

However, throughout the process, we recognized and must continue to recognize that major corporations such as Motorola do not change air carriers frequently or easily. We at United do provide unmatched business products and a strong network, but those alone are not sufficient to win their business, nor will they alone build loyalty, which is really our ultimate goal with this and many other similar accounts.

We now have a terrific opportunity in front of us, as Graham said a few moments ago, to make sure that we make every experience with us a good experience, not just for Motorola, but for all of our business travelers and corporate accounts, those we have today and those we hope to soon be United customers. Motorola has given us their business and their trust, now it is time for us to deliver the world-class products and services they are expecting and that they deserve.

Back to you, Glenn.

Glenn: Thanks, Jeff, and thanks also to Graham.

We were successful in winning this business away from our largest competitor because we put forward a proposal as one company. We will be successful delivering on the opportunity we have created for ourselves the same way - working together and providing an experience that our most frequent business travelers expect from us at United.

Motorola is just one example of what we can achieve when we work together and focus on our customers. We have created the opportunity for ourselves to succeed. And now, it’s up to us to seize that opportunity.

That’s all for now. I'll be talking to you again soon. Until then, stay focused on our customers, on one another…and stay united.

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