UAL unsecured creditors support exclusivity extension, reject claim of no alternative plans

New York, June 10 - UAL Corp.'s official committee of unsecured creditors said it supports extending the company's exclusive periods - but said it does not endorse the airline's claim that no one else is interested in putting forward a plan of reorganization.

In a June 3 filing with the U.S. Bankruptcy Court for the Northern District of Illinois, UAL requested that its exclusive period to file a plan be extended to Sept. 1 from July 1 and its exclusive right to solicit votes be extended to Nov. 1 from Sept. 1.

UAL said it needs the extension because it has been busy with pension and labor cost negotiations and, although these negotiations are complete, it has not had time to formulate a plan of reorganization.

In a filing Thursday, the unsecured creditors said they agree with the extensions.

But they added: "The committee does not acquiesce in or endorse any implication in the debtors' motion that there are not qualified parties interested in submitting alternate plans of reorganization."

A hearing is scheduled for June 17.

The Chicago-based parent of United Air Lines filed for bankruptcy on Dec. 9, 2002. Its Chapter 11 case number is 02-48191.

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