CHICAGO, Oct. 1 /PRNewswire-FirstCall/ -- UAL Corporation (Nasdaq: UAUA),
the holding company whose primary subsidiary is United Airlines, today
announced financing transactions that will add approximately $275 million of
cash prior to year end.
The company has completed a $125 million aircraft financing agreement,
receiving approximately $60 million yesterday, and will receive the remaining
approximately $65 million by mid October.
United has also executed agreements and agreements in principle (subject
to reaching final documentation and other conditions) to sell certain assets
for approximately $140 million. The company received approximately $30 million
from these assets in the third quarter and expects to receive approximately
$110 million in the fourth quarter. In addition, United intends to substitute
certain cash collateral with a letter of credit, generating $10 million in net
incremental cash in the fourth quarter.
'We are further strengthening our cash position, and we are pleased to
close this transaction, particularly in this market environment,' said Kathryn
Mikells, who will become chief financial officer on November 1. 'We still have
over $3 billion of unencumbered assets to further enhance our liquidity.'
About United
United Airlines (NASDAQ: UAUA) operates more than 3,200* flights a day on
United and United Express to more than 200 U.S. domestic and international
destinations from its hubs in Los Angeles, San Francisco, Denver, Chicago and
Washington, D.C. With key global air rights in the Asia-Pacific region, Europe
and Latin America, United is one of the largest international carriers based
in the United States. United also is a founding member of Star Alliance, which
provides connections for our customers to 975 destinations in 162 countries
worldwide. United's 55,000 employees reside in every U.S. state and in many
countries around the world. News releases and other information about United
can be found at the company's Web site at united.com.
*Based on the flight schedule between Jan. 1, 2008 and Dec.
