UAL posts $9 million November operating earnings

By Caroline Salls

Pittsburgh, Dec. 21 - UAL Corp. reported operating earnings of $9 million for November, an improvement of $197 million over the same period in 2004, despite higher fuel prices resulting in $124 million increase in fuel costs year over year for mainline and United Express operations, according to a company news release.

In October, the company posted a $71 million operating loss, and in November 2004, the company reported a $188 million operating loss.

The net loss for November was $187 million, including $159 million of largely non-cash reorganization expenses driven by aircraft-related transactions.

Excluding reorganization expenses, the company's net loss was $28 million.

UAL ended November with a cash balance of $3 billion, which included $959 million in restricted cash.

The cash balance increased by $310 million in November.

"Building upon the foundation of our successful restructuring, the United team is delivering new, innovative travel products, while providing consistently improved operational performance," chairman, chief executive officer and president Glenn Tilton said in the release.

Chief financial officer Jake Brace said in the release, "The numbers tell the story. Year to date in 2005, the company's operating earnings improved by over $450 million, despite fuel costs that are $1.3 billion higher than last year."

UAL, the Chicago-based parent of United Airlines, filed for bankruptcy on Dec. 9, 2002 in the U.S. Bankruptcy Court for the Northern District of Illinois. Its Chapter 11 case number is 02-48191.

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