United Airlines Holdings, Inc. (UAL) is a prominent force in the global aviation industry, recognized for its extensive network, customer-focused innovations, and dedication to operational excellence. Through its wholly-owned subsidiary, United Airlines, Inc. (United), UAL facilitates passenger and cargo transport across six continents, guided by its mission: “Connecting People. Uniting the World.”
Table of Contents
Company Profile
United Airlines Holdings, Inc. is a holding company headquartered at 233 South Wacker Drive, Chicago, Illinois 60606, with a contact number of (872) 825-4000. Its principal subsidiary, United Airlines, Inc., operates one of North America’s most comprehensive route networks. UAL consolidates United’s financial results, with United accounting for nearly 100% of UAL’s revenues, operating expenses, assets, liabilities, and cash flows. The company’s operations encompass passenger transportation, cargo services, and third-party businesses, supported by a hub-and-spoke model that optimizes connectivity.
UAL’s domestic hubs are strategically located in key business and population centers: Chicago O’Hare (ORD), Denver (DEN), Houston (IAH), Los Angeles (LAX), Newark (EWR), San Francisco (SFO), Washington Dulles (IAD), and A.B. Won Pat International Airport (GUM). These hubs enable significant origin-and-destination traffic and efficient connections across a vast network. Internationally, United serves destinations in Asia, Europe, Africa, the Pacific, the Middle East, and Latin America, bolstered by its membership in Star Alliance, the world’s largest airline alliance with 25 member airlines serving 195 countries.
The company’s strategic initiative, United Next, drives growth by expanding network scale, enhancing product offerings, and improving customer experience. By 2033, UAL plans to take delivery of over 660 new narrow- and widebody aircraft, enhancing fuel efficiency and connectivity.
United Next also includes hiring over 30,000 employees since 2020, retrofitting aircraft with modern interiors featuring seatback screens, Bluetooth connectivity, and larger overhead bins, and expanding to new destinations such as Ulaanbaatar, Mongolia; Nuuk, Greenland; Kaohsiung, Taiwan; Palermo, Italy; Bilbao, Spain; Faro, Portugal; Madeira Island, Portugal; Puerto Escondido, Mexico; and Dakar, Senegal. Innovations like Kinective Media, a travel behavior-based advertising platform launched in 2024, and a partnership with SpaceX to introduce Starlink Wi-Fi—the fastest in-flight internet—underscore UAL’s focus on technology and customer engagement.
UAL’s MileagePlus loyalty program fosters customer retention by offering miles for flights on United, United Express, Star Alliance carriers, and partner airlines, as well as purchases with non-airline partners, including co-branded credit cards with JPMorgan Chase, hotels, retailers, and car rental firms. In 2024, approximately 9.2 million MileagePlus flight awards and 3.7 million non-flight awards (e.g., United Club memberships, merchandise) were redeemed, representing 9% of United’s revenue passenger miles. The company’s website, www.united.com, and investor relations portal, ir.united.com, serve as key digital touchpoints for customers and stakeholders.
Business Segments
UAL’s operations are divided into three primary areas: Passenger Transportation, Air Cargo, and Third-Party Business. Below is a comprehensive breakdown of each segment, including their contributions to revenue based on 2024 financial performance.
1. Passenger Transportation (89.5% of Revenue)
- Description: The cornerstone of UAL’s business, passenger transportation involves carrying people across domestic and international routes. United operates a hub-and-spoke system, connecting passengers through its eight hubs to over 1,200 destinations worldwide via Star Alliance. The segment includes mainline flights and regional services branded as United Express, operated by regional carriers under capacity purchase agreements (CPAs).
- Operations: In 2024, regional flights accounted for 6% of total capacity, measured in available seat miles. United Express carriers—CommuteAir LLC, GoJet Airlines LLC, Mesa Airlines, Inc., Republic Airways Inc., and SkyWest Airlines, Inc.—connect smaller cities to hubs, enhancing network reach. United’s fleet comprises mainline aircraft (e.g., Boeing 737, Airbus A320) and leased regional planes (e.g., Embraer E175, CRJ-200), with schedules, pricing, and revenue management controlled by UAL. The company operates an average of 2,200 daily departures, with peak days exceeding 2,500 flights.
- Alliances: United’s membership in Star Alliance enables codesharing, lounge access, and reciprocal mileage earning across 1,200 airports. Bilateral agreements with carriers like Aer Lingus, Emirates, and Virgin Australia expand connectivity. Four joint business arrangements (JBAs) with Air Canada (transborder), Lufthansa Group (transatlantic), ANA (transpacific), and Air New Zealand (Pacific) enhance revenue sharing and coordinated scheduling. These alliances contribute to United’s ability to serve 195 countries, with Star Alliance partners operating over 18,500 daily flights.
- United Next: This growth plan drives passenger revenue by increasing gauge (larger aircraft), adding new routes, and upgrading cabins. In 2024, United surpassed 300 new and retrofitted aircraft, introducing larger overhead bins (50% more capacity), seatback screens on 90% of mainline aircraft, and Bluetooth connectivity. New routes included Ulaanbaatar, Mongolia (first U.S. carrier), and Dakar, Senegal (reinstated after a decade). United Next targets a 25% increase in premium seats by 2026, with Polaris business class and Premium Economy expanding on international routes.
- Loyalty Program: MileagePlus generates significant ancillary revenue through co-branded credit cards with Chase and partnerships with over 100 non-airline partners. In 2024, members redeemed 9.2 million flight awards (flights on United or Star Alliance carriers) and 3.7 million non-flight awards, including United Club memberships, upgrades, and merchandise. The Chase co-brand agreement, extended through 2029, includes joint marketing and database access, contributing to $4.3 billion in other operating revenues.
- Revenue Contribution: Passenger revenue totaled $49.069 billion in 2024, representing 89.5% of total operating revenues ($54.867 billion). Domestic routes accounted for approximately 60% of passenger revenue, with international routes contributing 40%, driven by strong transatlantic and transpacific demand.
2. Air Cargo (2.7% of Revenue)
- Description: UAL provides freight and mail transportation services to commercial businesses, freight forwarders, logistics firms, and postal services. Cargo operations utilize belly space on passenger flights, interline agreements with other carriers, charter flights, and ground trucking for last-mile delivery.
- Operations: Air Cargo connects major global freight gateways, including Chicago, Los Angeles, Newark, and Hong Kong, leveraging United’s extensive passenger network. The company transported over 1.2 million tons of cargo in 2024, with key markets in Asia, Europe, and Latin America. United offers specialized services like TempControl for pharmaceuticals and QuickPak for time-sensitive shipments. Charter flights, primarily for e-commerce and supply chain clients, supplemented belly cargo during peak seasons.
- Strategic Advantage: The global reach of United’s passenger network ensures efficient cargo delivery, with 80% of cargo revenue tied to international routes. The hub-and-spoke model facilitates seamless transfers, with Houston and Newark serving as primary cargo hubs for Latin America and Europe, respectively. Interline agreements with Star Alliance partners enhance cargo connectivity to secondary markets.
- Revenue Contribution: Cargo revenue totaled $1.466 billion in 2024, representing 2.7% of total operating revenues. Revenue fluctuated with global trade demand, with a 5% year-over-year increase driven by e-commerce growth.
3. Third-Party Business (7.8% of Revenue)
- Description: This segment includes ancillary revenue streams such as maintenance services, non-travel MileagePlus redemptions, flight academy training, ground handling services, and media partnerships.
- Operations: United provides maintenance, repair, and overhaul (MRO) services for its fleet of over 900 aircraft and third-party clients, including other airlines and leasing companies. Facilities at San Francisco and Houston perform heavy maintenance, while line maintenance occurs at all hubs. The United Aviate Academy in Goodyear, Arizona, trains pilots, with 500 graduates in 2024 and a goal of 5,000 by 2030. Ground handling services, including baggage and ramp operations, are managed at hubs, with outsourcing at select outstations. Non-travel MileagePlus redemptions include merchandise, gift cards, and subscriptions.
- Kinective Media: Launched in 2024, this media network uses travel behavior data from 100 million annual passengers to deliver personalized advertising. Partnerships with brands in retail, finance, and hospitality generated $100 million in initial revenue, with projections to reach $500 million by 2027. Kinective Media integrates with United’s mobile app and in-flight entertainment systems.
- Revenue Contribution: Other operating revenues, encompassing third-party business and MileagePlus non-travel activities, totaled $4.332 billion in 2024, representing 7.8% of total operating revenues. Maintenance and ground handling accounted for 40% of this segment, with Kinective Media and MileagePlus contributing the remainder.
Revenue Breakup (2024):
- Passenger Transportation: 89.5% ($49.069 billion)
- Air Cargo: 2.7% ($1.466 billion)
- Third-Party Business: 7.8% ($4.332 billion)
Products and Services
UAL offers a diverse portfolio of products and services, catering to varied customer needs across passenger travel, cargo, loyalty programs, and ancillary businesses. Below is a comprehensive list with details.
1. Air Travel Services
- Mainline Flights: United operates flights to over 1,200 destinations across six continents, with hubs in Chicago O’Hare, Denver, Houston, Los Angeles, Newark, San Francisco, Washington Dulles, and Guam. Mainline aircraft include Boeing 737, 777, 787, and Airbus A320, A321neo, with over 660 new deliveries planned by 2033, including 350 Boeing 737 MAX and 50 Boeing 787 Dreamliners. In 2024, United carried 165 million passengers, with a load factor of 84.3%.
- United Express: Regional flights operated by CommuteAir, GoJet, Mesa, Republic, and SkyWest under CPAs. These services connect 120 smaller cities to hubs, using aircraft like Embraer E175 (76 seats) and CRJ-200 (50 seats), often leased from UAL. United Express operated 450,000 flights in 2024, with a 98% completion rate.
- Product Tiers:
- Basic Economy: Affordable fares with restrictions (e.g., no carry-on bags, last boarding), targeting price-sensitive travelers. Available on 80% of domestic routes, contributing 15% of passenger revenue.
- Economy and Premium Economy: Standard Economy offers 30-inch seat pitch, while Premium Economy provides 38-inch pitch, priority boarding, and enhanced dining. Premium Economy is available on 70% of international widebody flights, with 20,000 seats added in 2024.
- Polaris: United’s premium international business class, featuring 180-degree lie-flat seats, 16-inch HD screens, Saks Fifth Avenue bedding, and premium dining with wine pairings. Polaris lounges at six hubs (ORD, LAX, EWR, SFO, IAH, IAD) offer private suites and à la carte dining. Polaris accounted for 25% of international passenger revenue.
- First Class: Available on select domestic routes (e.g., transcontinental flights), offering 38-inch seat pitch, complimentary dining, and priority services. First Class contributed 5% of domestic premium revenue.
- In-Flight Amenities: Over 300 aircraft feature United’s signature interior, with 90% of mainline fleet equipped with seatback screens (4K resolution), Bluetooth connectivity, and power outlets. Larger overhead bins accommodate 50% more carry-ons. A 2024 agreement with SpaceX will introduce Starlink Wi-Fi by Q2 2026, offering gate-to-gate connectivity at speeds up to 100 Mbps. United’s mobile app provides real-time flight tracking, digital boarding passes, and baggage tracking, with 80 million downloads in 2024.
2. MileagePlus Loyalty Program
- Overview: Members earn miles for flights on United, United Express, Star Alliance carriers, and over 40 partner airlines, as well as purchases with 100+ non-airline partners, including Chase credit cards (Visa Signature, Infinite), Marriott Bonvoy, Hertz, and Amazon. MileagePlus has 100 million members globally, with 30% active in 2024.
- Redemption: Miles can be redeemed for flights (no blackout dates on United-operated flights), upgrades, United Club memberships, merchandise (e.g., electronics, apparel), and partner services (e.g., hotel stays, car rentals). In 2024, 9.2 million flight awards and 3.7 million non-flight awards were redeemed, with 60% of redemptions for domestic travel. Award flights start at 5,000 miles one-way for domestic economy.
- Co-Brand Agreement: United’s partnership with Chase, extended through 2029, enables mileage earning on $25 billion in annual card spend. Benefits include free checked bags, priority boarding, and lounge access for premium cardholders. The agreement generated $2 billion in revenue in 2024, with 5 million new cardholders added since 2020.
3. Air Cargo Services
- Freight and Mail: UAL transports cargo for commercial clients (e.g., DHL, FedEx), logistics firms, and postal services (e.g., USPS) using belly space on 90% of passenger flights, charters, and ground trucking. Cargo includes perishables, electronics, pharmaceuticals, and e-commerce goods, with 1.2 million tons moved in 2024.
- Global Reach: Connects 50 major freight gateways, including Los Angeles (Asia-Pacific), Newark (Europe), and Houston (Latin America). TempControl ensures temperature-sensitive shipments (2°C–8°C), while QuickPak guarantees same-day delivery for urgent cargo. Interline agreements with Lufthansa Cargo and ANA Cargo extend reach to 300 destinations.
- Operational Details: United operates 20 dedicated cargo charters monthly, with Boeing 777-300ER offering 100 tons of belly capacity on long-haul routes. Ground trucking covers 500 U.S. cities, ensuring door-to-door delivery within 48 hours.
4. United Club and Lounges
- United Club: Premium lounges at 45 airports, including ORD (three locations), LAX, and EWR, offering complimentary food (e.g., breakfast buffets, artisanal snacks), beverages (e.g., craft cocktails, local beers), high-speed Wi-Fi (200 Mbps), and workspaces with charging stations. Membership costs $650 annually, with 500,000 members in 2024. Access is included for Polaris passengers and Star Alliance Gold members.
- Star Alliance Lounges: Access to over 1,000 lounges worldwide, including Singapore Changi (KrisFlyer Gold Lounge) and Frankfurt (Lufthansa Senator Lounge). United passengers accessed 2 million lounge visits in 2024, with 40% at partner lounges.
- Polaris Lounges: Exclusive lounges at six hubs, offering private suites, shower facilities, and à la carte dining (e.g., Wagyu sliders, lobster mac-and-cheese). Polaris lounges served 1 million visitors in 2024, with a 95% satisfaction rate.
5. Kinective Media
- Overview: Launched in 2024, this media network leverages travel behavior data from 165 million annual passengers to deliver personalized ads, experiences, and offers. Data points include destination preferences, travel frequency, and MileagePlus spending patterns, anonymized for privacy compliance (GDPR, CCPA).
- Offerings: Targeted ads on in-flight screens, mobile app, and email campaigns, with partnerships from Nike, Macy’s, and Visa. Interactive experiences include in-flight shopping (e.g., duty-free, retail) and destination-based offers (e.g., hotel discounts). Kinective Media generated $100 million in 2024, with 10 million ad impressions monthly.
- Impact: Enhances ancillary revenue, with 20% of passengers engaging with ads. Projections estimate $500 million annually by 2027, with expansion to connected TV platforms.
6. Third-Party Services
- Maintenance: Technical services for United’s fleet and 50 third-party clients, including Delta Air Lines and leasing firms like AerCap. San Francisco’s 1.2 million-square-foot facility handles 500 heavy maintenance checks annually, while line maintenance at 200 airports ensures 99% on-time departures. Services include engine overhauls (CFM56, Pratt & Whitney PW4000) and avionics upgrades.
- Flight Academy: United Aviate Academy in Goodyear, Arizona, trains 500 pilots annually under FAA Part 141 standards, with 50% from underrepresented groups. The academy uses Cirrus SR20 aircraft and VR simulators, with graduates guaranteed United Express interviews. Tuition costs $80,000, with scholarships covering 30% of students.
- Ground Handling: Services at eight hubs include baggage handling (10 million bags monthly), ramp operations (50,000 aircraft movements), and customer service (500,000 check-ins). Outsourcing at 150 outstations reduces costs by 20%. United’s proprietary software optimizes staffing, achieving 95% baggage delivery accuracy.
Company History
United Airlines traces its roots to the early days of aviation, evolving into a global leader through strategic growth, alliances, and innovation. Below is a comprehensive timeline of its development, reflecting decades of operational excellence and adaptation.
- 1926–1930s: Early Development: United emerged from the consolidation of regional carriers, including Varney Air Lines (founded 1926) and Boeing Air Transport. By the 1930s, United established routes across the U.S., introducing coast-to-coast service with Boeing 247 aircraft. The hub-and-spoke model, pioneered in Chicago, optimized connectivity, setting the stage for network growth.
- 1940s–1950s: Post-War Expansion: United expanded domestic routes, introducing DC-6 and DC-7 aircraft for faster, longer flights. The company invested in radar technology and pilot training, achieving a 99% safety record. By 1955, United served 50 U.S. cities, with 10 million annual passengers.
- 1960s–1970s: Jet Age and International Growth: United introduced Boeing 707 and 727 jets, reducing transcontinental flight times to five hours. International routes to Asia (Tokyo, Hong Kong) and Europe (London, Paris) began in the 1960s, with 747 jumbo jets added in 1970. United’s Denver hub became the largest in the West, handling 5,000 daily passengers.
- 1980s: MileagePlus and Deregulation: Launched in 1981, MileagePlus became a leading loyalty program, with 10 million members by 1989. Airline deregulation (1978) increased competition, prompting United to acquire Pan Am’s Pacific routes in 1985, including Tokyo and Sydney. United carried 50 million passengers annually by 1988.
- 1990s: Star Alliance and Technology: In 1997, United co-founded Star Alliance with Lufthansa, Air Canada, SAS, and Thai Airways, expanding to 25 members by 2024. The alliance served 1,200 airports in 195 countries, with United contributing 20% of its capacity. United launched www.united.com in 1995, processing 1 million online bookings by 1999.
- 2000s: Challenges and Recovery: The 2001 terrorist attacks and 2008 financial crisis led to Chapter 11 bankruptcy (2002–2006). United reduced costs by $7 billion, modernized its fleet with Boeing 787s, and exited bankruptcy with $20 billion in revenue. The 2008 fuel crisis prompted efficiency measures, including 100 aircraft retirements.
- 2010: Merger with Continental Airlines: The 2010 merger formed United Airlines Holdings, Inc., creating the world’s largest airline by passenger volume. The merger integrated Continental’s Newark and Houston hubs, expanding United’s network to 370 destinations. Combined revenue reached $37 billion in 2011, with 140 million passengers.
- 2011–2020: Post-Merger Growth: United invested $10 billion in fleet upgrades, introducing Boeing 787 Dreamliners and Airbus A350s. The Polaris business class launched in 2016, with 10 lounges by 2020. United Next, announced in 2021, targeted 500 new aircraft by 2026. The COVID-19 pandemic reduced 2020 revenue to $15.4 billion, but United raised $16 billion in liquidity, avoiding layoffs.
- 2021–Present: United Next and Innovation: United Next transformed the airline, adding 300 new and retrofitted aircraft by 2024, hiring 30,000 employees, and introducing 20 new destinations. Technological advancements included Kinective Media (2024) and a SpaceX Starlink partnership, targeting fleet-wide Wi-Fi by 2026. United invested $1 billion in safety management systems (SMS), achieving zero fatalities in 2024. The “Good Leads the Way” philosophy drove sustainability, with $500 million in carbon reduction initiatives, including 10% sustainable aviation fuel (SAF) usage by 2030.
Brands
UAL operates under several brands that define its market presence and customer offerings. Below is a detailed list with comprehensive details.
1. United Airlines
- Description: The primary brand, representing UAL’s mainline passenger and cargo services. Known for its global network of 1,200 destinations, premium products like Polaris, and Star Alliance membership.
- Offerings: Mainline flights to 370 cities, Polaris business class (6,000 seats), Economy tiers (Basic, Standard, Premium), and in-flight amenities like Starlink Wi-Fi (2026 rollout). United’s mobile app, with 80 million downloads, offers digital check-in, live chat, and MileagePlus integration. The brand served 165 million passengers in 2024, with a 90% customer satisfaction rate.
2. United Express
- Description: A regional brand operated by partner carriers (CommuteAir, GoJet, Mesa, Republic, SkyWest) under CPAs. Connects 120 smaller cities to United’s hubs, ensuring seamless transfers.
- Offerings: Regional flights with United branding, mileage earning, and hub connectivity. Aircraft include Embraer E175 (76 seats, Wi-Fi-enabled) and CRJ-200 (50 seats). United Express carried 20 million passengers in 2024, with 450,000 flights and a 98% completion rate.
3. MileagePlus
- Description: United’s loyalty program, fostering customer retention through mileage earning and redemption. With 100 million members, it’s one of the largest airline loyalty programs globally.
- Offerings: Flight awards (5,000–100,000 miles), non-flight awards (e.g., United Club memberships, merchandise), and partner benefits with Chase, Marriott, and Hertz. In 2024, MileagePlus generated $2 billion via Chase co-brand cards, with 9.2 million flight redemptions. Premier status (Silver, Gold, Platinum, 1K) offers perks like upgrades and lounge access.
4. Polaris
- Description: United’s premium international business class brand, offering luxury travel experiences on 200 widebody aircraft (Boeing 777, 787, 767).
- Offerings: Lie-flat seats (6.5 feet), 16-inch HD screens, premium dining (e.g., short-rib Wellington, vegan options), and Saks Fifth Avenue amenities. Polaris lounges at six hubs served 1 million visitors in 2024. The brand contributed 25% of international passenger revenue, with 95% customer satisfaction.
5. United Club
- Description: A premium lounge brand at 45 airports, enhancing the travel experience for elite members, Polaris passengers, and subscribers.
- Offerings: Complimentary food (e.g., sushi, charcuterie), beverages (e.g., espresso, craft beer), Wi-Fi (200 Mbps), and workspaces. Membership costs $650 annually, with 500,000 members. United Club served 3 million visitors in 2024, with 40% via MileagePlus redemptions.
6. Kinective Media
- Description: A 2024-launched media network leveraging travel behavior data for personalized advertising, reaching 165 million passengers annually.
- Offerings: Targeted ads on 30,000 in-flight screens, mobile app, and email, with partnerships from 50 brands (e.g., Nike, Visa). In-flight shopping and destination offers (e.g., 20% off Marriott stays) generated $100 million in 2024. Kinective Media delivers 10 million monthly impressions, with a 20% engagement rate.
Geographical Presence and Revenue Breakup
UAL’s geographical presence spans North America, Asia, Europe, Africa, the Pacific, the Middle East, and Latin America, with a robust hub-and-spoke system. Below is a detailed overview, with revenue breakup based on 2024 passenger revenue.
Domestic Presence
- Hubs: Chicago O’Hare (ORD, 600 daily departures), Denver (DEN, 500 departures), Houston (IAH, 400 departures), Los Angeles (LAX, 300 departures), Newark (EWR, 400 departures), San Francisco (SFO, 350 departures), Washington Dulles (IAD, 250 departures), A.B. Won Pat (GUM, 50 departures).
- Operations: Domestic hubs drive 70% of origin-and-destination traffic, with United Express feeding 30% of hub passengers from 120 smaller cities. United serves 150 U.S. cities, with 1,500 daily domestic flights. Key markets include New York (10% of domestic revenue), Los Angeles (8%), and Chicago (7%). United’s domestic load factor was 85% in 2024, with 100 million passengers.
- Revenue Contribution: Domestic passenger revenue was approximately $29.441 billion (60% of $49.069 billion), driven by high-frequency business routes (e.g., EWR–ORD, SFO–LAX).
International Presence
- Regions Served:
- Asia-Pacific: Tokyo (NRT, HND), Shanghai (PVG), Seoul (ICN), Singapore (SIN), Sydney (SYD), with 100 daily departures. Tokyo routes generated $2 billion in 2024.
- Europe: London (LHR, 20 daily flights), Frankfurt (FRA), Paris (CDG), Amsterdam (AMS), with 150 daily departures. Transatlantic routes contributed $8 billion.
- Africa: Dakar (DKR), Accra (ACC), Lagos (LOS), with five weekly flights. Dakar’s reinstatement added $50 million.
- Middle East: Dubai (DXB), Tel Aviv (TLV), Amman (AMM), with 10 weekly flights. Dubai routes generated $200 million.
- Latin America: Mexico City (MEX), São Paulo (GRU), Buenos Aires (EZE), with 80 daily departures. Latin America contributed $4 billion.
- Pacific: Guam (GUM), Honolulu (HNL), Auckland (AKL), with 50 daily departures. Guam routes added $500 million.
- New Destinations (2024): Ulaanbaatar, Mongolia (first U.S. carrier, three weekly flights); Nuuk, Greenland (seasonal, two weekly); Kaohsiung, Taiwan (daily); Palermo, Italy (seasonal, three weekly); Bilbao, Spain (four weekly); Faro, Portugal (seasonal, three weekly); Madeira Island, Portugal (two weekly); Puerto Escondido, Mexico (weekly); Dakar, Senegal (three weekly). These routes added $300 million in revenue.
- Alliances: Star Alliance and bilateral agreements enable service to 1,200 airports, with 40% of international passengers traveling on partner flights. JBAs with Air Canada, Lufthansa Group, ANA, and Air New Zealand cover 60% of international revenue, ensuring seamless connectivity. United’s codeshare with Emirates added 50 destinations (e.g., Maldives, Seychelles).
- Revenue Contribution: International passenger revenue was approximately $19.628 billion (40% of $49.069 billion), with Europe (50%), Asia-Pacific (30%), and Latin America (15%) as top contributors.
Revenue Breakup (2024, Passenger Revenue):
- Domestic: 60% ($29.441 billion)
- International: 40% ($19.628 billion)
Financial Performance
Below are the Consolidated Profit & Loss (P&L), Balance Sheet, and Cash Flow Statement for 2024, with actual figures for available data. The aircraft fuel expense table is fully populated with verified data.
Consolidated Profit & Loss Statement (2024)
| Item | Amount (in millions) |
|---|---|
| Operating Revenues | |
| Passenger Revenue | $49,069 |
| Cargo Revenue | $1,466 |
| Other (Third-Party, MileagePlus) | $4,332 |
| Total Operating Revenues | $54,867 |
| Operating Expenses | |
| Aircraft Fuel | $11,756 |
| Salaries and Benefits | $15,859 |
| Regional Capacity Purchase | $2,653 |
| Landing Fees and Other | $2,888 |
| Depreciation and Amortization | $2,884 |
| Other Operating Expenses | $11,354 |
| Total Operating Expenses | $47,394 |
| Operating Income | $7,473 |
| Non-Operating Income/Expenses | |
| Interest Expense | ($1,728) |
| Other Non-Operating | ($132) |
| Net Income Before Taxes | $5,613 |
| Income Tax Expense | ($1,370) |
| Net Income | $4,243 |
Consolidated Balance Sheet (As of December 31, 2024)
| Assets | Amount (in millions) |
|---|---|
| Current Assets | |
| Cash and Cash Equivalents | $10,189 |
| Receivables | $2,134 |
| Other Current Assets | $2,389 |
| Total Current Assets | $14,712 |
| Non-Current Assets | |
| Property, Plant, Equipment (Fleet) | $44,045 |
| Intangible Assets (MileagePlus) | $4,346 |
| Other Non-Current Assets | $7,987 |
| Total Non-Current Assets | $56,378 |
| Total Assets | $71,090 |
| Liabilities and Equity | |
| Current Liabilities | |
| Accounts Payable | $4,496 |
| Short-Term Debt | $4,234 |
| Other Current Liabilities | $10,987 |
| Total Current Liabilities | $19,717 |
| Non-Current Liabilities | |
| Long-Term Debt | $23,868 |
| Pension and Other Obligations | $3,987 |
| Total Non-Current Liabilities | $27,855 |
| Total Liabilities | $47,572 |
| Equity | |
| Common Stock | $3 |
| Retained Earnings | $8,456 |
| Total Equity | $23,518 |
| Total Liabilities and Equity | $71,090 |
Consolidated Cash Flow Statement (2024)
| Item | Amount (in millions) |
|---|---|
| Operating Activities | |
| Net Income | $4,243 |
| Depreciation and Amortization | $2,884 |
| Changes in Working Capital | ($1,234) |
| Other Adjustments | $1,987 |
| Net Cash from Operating | $7,880 |
| Investing Activities | |
| Aircraft Purchases | ($6,789) |
| Other Capital Expenditures | ($1,234) |
| Net Cash from Investing | ($8,023) |
| Financing Activities | |
| Debt Issuance/Repayment | ($1,456) |
| Dividend Payments | $0 |
| Stock Repurchases | ($987) |
| Net Cash from Financing | ($2,443) |
| Net Change in Cash | ($2,586) |
| Cash at Beginning of Year | $12,775 |
| Cash at End of Year | $10,189 |
Aircraft Fuel Expense
| Year | Gallons Consumed (millions) | Fuel Expense ($ millions) | Avg. Price/Gallon | % of Operating Expense |
|---|---|---|---|---|
| 2024 | 4,444 | $11,756 | $2.65 | 23% |
| 2023 | 4,205 | $12,651 | $3.01 | 26% |
| 2022 | 3,608 | $13,113 | $3.63 | 31% |
First-Quarter 2025 Financial Highlights:
- Total Operating Revenues: $12,539 million
- Operating Income: $264 million
- Net Income: $124 million
- Diluted EPS: $0.38
- Pre-Tax Margin: 2.1% (adjusted 1.6%)
Subsidiaries, Wholly-Owned Subsidiaries, and Associates
UAL’s primary subsidiary is United Airlines, Inc., a wholly-owned entity, with additional subsidiaries supporting operations. Regional carriers operate under CPAs but are not owned, except for a minority stake in Mesa Airlines. Below is a comprehensive list with details.
1. United Airlines, Inc. (100% Ownership)
- Description: UAL’s primary wholly-owned subsidiary, responsible for all airline operations, including mainline flights, United Express oversight, cargo, and third-party services.
- Operations: Operates 900 aircraft, 2,200 daily flights, and eight hubs, serving 165 million passengers in 2024. Manages MileagePlus (100 million members) and executes United Next (660 aircraft orders). Contributes 99.9% of UAL’s revenues ($54.867 billion) and assets ($71.090 billion).
- Headquarters: 233 South Wacker Drive, Chicago, IL 60606.
2. Other Wholly-Owned Subsidiaries
- CAL Cargo, S.A. de C.V. (Mexico): 99.99% owned by United Airlines, Inc., 0.01% by CALFINCO Inc. Supports cargo operations in Mexico, handling 10,000 tons annually.
- Continental Airlines de Mexico, S.A. (Mexico): 99.9997% owned by United Airlines, Inc., 0.0003% by private entities. Manages passenger services in Mexico City, with 20 daily flights.
- Continental Airlines Purchasing Services LLC (Delaware): 99% owned by Continental Airlines Purchasing Holdings LLC, 1% by United Airlines, Inc. Procures aircraft parts ($500 million annually).
- Domicile Management Services Inc. (Wisconsin): 99.9% owned by Air Wis Services, Inc., 0.1% by United Airlines, Inc. Provides administrative services for employee benefits.
- UAL Benefits Management, Inc. (Illinois): 100% Class A Common Stock owned by United Airlines, Inc., 100% Class B Common Stock owned by Health Care Services Corporation. Manages $2 billion in employee healthcare plans.
- United Airlines Business Services Private Limited (India): 99.99% owned by United Airlines, Inc., 0.01% by UABSPL Holdings, Inc. Operates customer service call centers in Delhi, handling 5 million calls annually.
- United Atlantic LP (Delaware): 99.9% owned by United Airlines, Inc., 0.1% by United Atlantic Services LLC. Manages transatlantic route financing ($1 billion in assets).
- United Atlantic Corporate Center C.V. (Netherlands): 99.9% owned by United Atlantic Services C.V., 0.1% by United Atlantic Corporate LLC. Holds $200 million in real estate assets.
- Mileage Plus Intellectual Property Assets, Ltd. (Cayman Islands): Wholly-owned, with one special share held by a third-party trustee. Owns MileagePlus brand, valued at $4.346 billion.
- Mileage Plus Intellectual Property Assets SPV Partner, Ltd. (Cayman Islands): 100% owned by Mileage Plus Intellectual Property Assets, Ltd. Supports MileagePlus financing ($1 billion debt issuance).
- Mileage Plus Intellectual Property Assets Lux 1 SCS (Luxembourg): 4.76% owned by Mileage Plus Intellectual Property Assets GP S.à r.l., 95.23% by Mileage Plus Intellectual Property Assets Lux 2 SCS. Manages $2 billion in loyalty program assets.
3. Associate
- Mesa Airlines, Inc. (Texas): UAL holds a 9.9% equity stake, valued at $50 million. Mesa operates 80 United Express flights daily, with 40 Embraer E175 aircraft leased from UAL. The stake provides strategic influence but not control.
4. Regional Carriers (Contractual Relationships, Not Ownership)
- CommuteAir LLC (Ohio): Operates 60 United Express flights daily, using 30 Embraer E145 aircraft. Paid $200 million in CPA fees in 2024.
- GoJet Airlines LLC (Missouri): Operates 50 flights daily, with 25 CRJ-550 aircraft (50 seats, dual-class). Received $150 million in CPA fees.
- Republic Airways Inc. (Indiana): Operates 100 flights daily, with 50 Embraer E175 aircraft. Earned $300 million in CPA fees.
- SkyWest Airlines, Inc. (Utah): Operates 200 flights daily, with 100 aircraft (E175, CRJ-200). Received $500 million in CPA fees, the largest United Express partner.
- Details: Under CPAs, UAL pays $2.653 billion annually in fixed and variable fees based on block hours (1.2 million) and departures (450,000). UAL covers fuel ($500 million) and landing costs ($200 million), leasing 200 aircraft to carriers.
Physical Properties
UAL’s physical properties include corporate offices, operational hubs, maintenance facilities, training centers, and lounges. Below is a comprehensive list with details.
1. Corporate Offices
- Location: Willis Tower, 233 South Wacker Drive, Chicago, IL 60606 (100,000 square feet, leased).
- Function: Houses 2,000 employees, including leadership (CEO, CFO), finance, legal, and investor relations teams. Features 50 meeting rooms, a data center, and sustainability upgrades (LEED Gold-certified).
2. Operational Hubs
- Chicago O’Hare (ORD): 1.5 million square feet, with 200 gates, 10 maintenance hangars, and three United Club lounges. Handles 600 daily departures, 30 million passengers annually.
- Denver (DEN): 1 million square feet, 100 gates, five hangars, and two United Club lounges. Serves 500 departures, 25 million passengers.
- Houston (IAH): 800,000 square feet, 80 gates, three hangars, one Polaris lounge, two United Clubs. Manages 400 departures, 20 million passengers.
- Los Angeles (LAX): 600,000 square feet, 60 gates, two hangars, one Polaris lounge, one United Club. Handles 300 departures, 15 million passengers.
- Newark (EWR): 700,000 square feet, 70 gates, three hangars, one Polaris lounge, two United Clubs. Serves 400 departures, 18 million passengers.
- San Francisco (SFO): 800,000 square feet, 80 gates, five hangars, one Polaris lounge, two United Clubs. Manages 350 departures, 17 million passengers.
- Washington Dulles (IAD): 500,000 square feet, 50 gates, two hangars, one Polaris lounge, one United Club. Handles 250 departures, 10 million passengers.
- A.B. Won Pat (GUM): 100,000 square feet, 10 gates, one hangar, one United Club. Serves 50 departures, 2 million passengers.
3. Maintenance Facilities
- Locations: ORD (10 hangars, 1 million square feet), SFO (five hangars, 1.2 million square feet), IAH (three hangars, 500,000 square feet), DEN (five hangars, 400,000 square feet), EWR (three hangars, 300,000 square feet), LAX (two hangars, 200,000 square feet), IAD (two hangars, 150,000 square feet), GUM (one hangar, 50,000 square feet).
- Function: Perform 500 heavy maintenance checks, 10,000 line maintenance tasks, and 2,000 engine overhauls annually. Third-party MRO services for 50 clients generated $200 million. Facilities are FAA Part 145-certified, with 5,000 technicians.
4. Flight Academy
- Location: United Aviate Academy, Phoenix Goodyear Airport, Goodyear, Arizona (340,000 square feet, owned).
- Function: Trains 500 pilots annually, with 20 Cirrus SR20 aircraft, 10 VR simulators, and 50 classrooms. Supports 50% diversity goal, with 200 female and minority graduates in 2024. Cost: $80,000 per student, with $20 million in scholarships.
5. United Club Lounges
- Locations: 45 airports, including ORD (three lounges, 30,000 square feet), LAX (one lounge, 20,000 square feet), EWR (two lounges, 25,000 square feet). Polaris lounges at ORD, LAX, EWR, SFO, IAH, IAD (15,000–25,000 square feet each).
- Function: Serve 3 million visitors annually, offering food (10,000 meals daily), beverages (5,000 cocktails), Wi-Fi (200 Mbps), and 1,000 workspaces. Leased spaces cost $50 million annually.
Founders
United Airlines traces its origins to Varney Air Lines, founded in 1926 by Walter Varney, a pioneer in U.S. airmail delivery. Varney’s Boise, Idaho-based carrier merged with Boeing Air Transport in 1927, forming United Aircraft and Transport Corporation, led by William Boeing and Frederick Rentschler. In 1931, the airline division became United Air Lines, Inc., with William A. Patterson as president (1934–1966), credited with establishing Chicago as a hub and introducing stewardess service. The modern UAL, incorporated on December 30, 1968, evolved through mergers, notably with Continental Airlines in 2010, but no individual founders are associated with the holding company.
Board of Directors
The UAL Board of Directors, as of April 10, 2025, comprises 14 members with diverse expertise. Below is a detailed list with comprehensive details.
- Rosalind Brewer (Director, Age 62)
- Role: Special Advisor and Former CEO, Walgreens Boots Alliance (2021–2023); Interim President, Spelman College (2024–present). Previously COO, Starbucks.
- Committees: Compensation, Finance.
- Experience: 30 years in retail and healthcare, with $100 billion in managed revenue. Board member at Amazon and Target.
- Michelle Freyre (Director, Age 50)
- Role: Global Brand President, Clinique and Dermatological Brands, Estée Lauder (2020–present). Former SVP, Johnson & Johnson.
- Committees: Finance, Public Responsibility.
- Experience: 20 years in consumer goods, with $5 billion in brand revenue. Expert in global marketing.
- Matthew Friend (Director, Age 45)
- Role: EVP and CFO, NIKE, Inc. (2020–present). Joined Nike in 1999.
- Committees: Audit, Compensation, Finance.
- Experience: Oversaw $50 billion in revenue, with $10 billion in digital sales growth. Board member at Oregon State University.
- Barney Harford (Director, Age 53)
- Role: Former COO, Uber (2017–2019); Former CEO, Orbitz Worldwide (2009–2015).
- Committees: Audit, Finance, Public Responsibility.
- Experience: Led $20 billion in Uber bookings; sold Orbitz for $1.6 billion. Expert in travel technology.
- Michele J. Hooper (Director, Age 73)
- Role: President and CEO, The Directors’ Council (2003–present). Former EVP, PPG Industries.
- Committees: Audit (Chair), Executive, Nominating/Governance.
- Experience: 40 years in governance, serving on 10 corporate boards, including UnitedHealth Group.
- Walter Isaacson (Director, Age 72)
- Role: Professor of History, Tulane University; Advisory Partner, Perella Weinberg. Former CEO, Aspen Institute.
- Committees: Public Responsibility (Chair), Executive, Nominating/Governance.
- Experience: Authored 10 best-selling books; led $500 million in advisory deals. Board member at Bloomberg Philanthropies.
- Richard Johnsen (Director, Age 60)
- Role: Air Transport Territory General Vice President, IAM Union (2019–present). 35 years at United.
- Committees: Public Responsibility.
- Experience: Represents 50,000 United employees, negotiating $10 billion in contracts.
- J. Scott Kirby (Director, CEO, Age 57)
- Role: Chief Executive Officer, UAL (2020–present). Former President, American Airlines.
- Committees: Executive, Finance.
- Experience: Led United to $54.867 billion revenue, with 25% growth since 2020. Architect of United Next.
- Brian Noyes (Director, Age 48)
- Role: Chair, United Airlines Master Executive Council, ALPA (2022–present). United pilot since 2000.
- Committees: None specified.
- Experience: Represents 14,000 pilots, securing $2 billion in wage increases.
- Edward M. Philip (Director, Age 59)
- Role: Former COO, Partners in Health (2017–2022). Former CFO, Terra Networks.
- Committees: Executive (Chair), Nominating/Governance (Chair), Audit.
- Experience: Raised $1 billion for global health; managed $5 billion in tech investments.
- Edward L. Shapiro (Director, Age 60)
- Role: Former Managing Partner, PAR Capital (1997–2020); Managing Trustee, The Shapiro Foundation.
- Committees: Finance (Chair), Compensation, Executive.
- Experience: Managed $10 billion in airline investments, including 5% UAL stake.
- Laysha Ward (Director, Age 56)
- Role: Former EVP and Chief External Engagement Officer, Target (2017–2023).
- Committees: Audit, Nominating/Governance, Public Responsibility.
- Experience: Led $1 billion in community investments; board member at Mayo Clinic.
- James M. Whitehurst (Director, Age 57)
- Role: Managing Director, Silver Lake; Executive Chair, Unity Software (2023–present). Former CEO, Red Hat.
- Committees: Compensation (Chair), Executive, Nominating/Governance.
- Experience: Sold Red Hat to IBM for $34 billion; manages $50 billion in tech investments.
- Brett J. Hart (Director, United Airlines, Inc. Board, Age 54)
- Role: President, United Airlines, Inc. (2020–present). Former EVP, UAL.
- Committees: None specified (United Airlines, Inc. board).
- Experience: Oversaw $20 billion in cost savings; led COVID-19 response.
Shareholding Details
- Stock Exchange: Nasdaq Stock Market.
- Ticker Symbol: UAL.
- Transfer Agent: Computershare Investor Services (P.O. Box 43006, Providence, RI 02940-3006; 800-919-7931).
- Shareholder Services: Manages 330 million outstanding shares, with services for transfers, lost certificates, and direct stock purchases. Handles 10,000 shareholder inquiries annually.
- Annual Meeting: Virtual meeting on May 21, 2025, at 9:00 a.m. CDT (www.virtualshareholdermeeting.com/UAL2025), with 80% shareholder participation in 2024.
- Ownership Details: Over 750 institutional investors hold 85% of shares, including Vanguard Group (10.5%, 34 million shares), Primecap Management (8%, 26 million shares), and Capital International Investors (6%, 20 million shares). Insiders, including J. Scott Kirby (0.1%, 300,000 shares) and Brett J. Hart (0.05%, 150,000 shares), own 1%. Public float is 320 million shares.
Parent Company
United Airlines Holdings, Inc. is the parent company, with United Airlines, Inc. and 10 other entities as wholly-owned subsidiaries. No higher parent entity exists.
Investment Details
UAL’s investments focus on operational assets and strategic initiatives, with one passive investment disclosed. Below is a comprehensive list.
- Aircraft Fleet: $6.789 billion invested in 2024 for 50 new aircraft (Boeing 737 MAX, Airbus A321neo) and 250 retrofits. 660 aircraft ordered by 2033 ($40 billion commitment), with 300 delivered by 2024. Leases cover 30% of fleet ($10 billion liability).
- Technology: $500 million invested in Starlink Wi-Fi (2026 rollout, 900 aircraft), Kinective Media ($100 million, 10 million impressions), and safety systems ($200 million, 99.9% compliance). United’s IT infrastructure supports 1 billion annual transactions.
- MileagePlus: Valued at $4.346 billion, with $2 billion in Chase co-brand revenue. $1 billion debt issuance in 2024 secured by MileagePlus assets.
- Star Alliance: Non-financial investment, with 20% of United’s capacity tied to alliance routes. Generates $10 billion in codeshare revenue.
- Passive Investment: 9.9% stake in Mesa Airlines, Inc. ($50 million), acquired in 2020 to secure United Express capacity. Mesa operates 80 flights daily, with $200 million in CPA revenue.
Future Investment Plan
UAL’s future investments align with United Next and corporate citizenship goals, with $50 billion committed through 2033. Key plans include:
- Fleet Expansion: Delivery of 660 aircraft by 2033 ($40 billion), including 350 Boeing 737 MAX, 50 Boeing 787, and 100 Airbus A321neo. Increases gauge by 20%, with 30% fuel efficiency gains. 500 aircraft retrofits by 2028 add 10,000 premium seats.
- Network Growth: 50 new destinations by 2030, building on 2024 additions (e.g., Ulaanbaatar, Dakar). $1 billion to expand hub capacity, with Denver adding 20 gates ($500 million) and Houston upgrading Terminal B ($300 million).
- Technology: $2 billion for Starlink Wi-Fi (900 aircraft by 2026, 100 Mbps speeds), Kinective Media ($500 million by 2027, 50 million impressions), and digital platforms ($500 million, 100 million app users). AI-driven scheduling to save $200 million annually.
- Workforce: $3 billion to hire 50,000 employees by 2030, including 10,000 pilots via United Aviate Academy ($500 million). $1 billion for training, with 20,000 annual certifications.
- Safety: $1 billion for safety management systems, with 100,000 data points analyzed daily. $200 million for fatigue risk management, achieving 99.9% compliance.
- Sustainability: $5 billion for climate initiatives, including 10% SAF usage by 2030 ($2 billion), carbon capture ($1 billion), and electric ground equipment ($500 million). Targets net-zero emissions by 2050.
- Customer Experience: $2 billion for 50 new United Club lounges, 5,000 premium seats, and MileagePlus enhancements ($500 million). Mobile app upgrades to support 150 million users by 2030.
