Ted Celebrates Its First Birthday and Customers Get the Gifts

United Marks the Successful First Year of Its Low-Fare Operation, Ted, and Thanks Customers by Offering 15% Off Their Next Qualifying Ted Flight

Happy Birthday, Ted. Low Fares Never Get Old.

CHICAGO, Feb. 10 /PRNewswire-FirstCall/ — United today announced that to celebrate the successful first year of Ted(SM), its low-fare operation launched on Feb. 12, 2004, Mileage Plus customers who’ve flown Ted in its first year will receive a gift of their own: a 15% discount coupon for their next Ted flight.*

In its first year, Ted carried more than seven million passengers — reaching a load factor for 2004 of greater than 80%. Daily flights have increased as well, beginning with 20 flights per day last February to 208 each day now, initially serving four cities and now flying between 15 — carrying more than 27,000 customers on a daily basis to destinations across the system.

“We are very pleased with Ted’s performance in its first year of operation, as we have seen strong year-over-year margin improvement since its inception,” says Sean Donohue, vice president-Ted and United Express. “The combination of simple and easy-to-understand low fares, a good quality experience, and the benefits of Mileage Plus(R) and Economy Plus(R) seating has proven a winning formula with customers in year one.”

With Ted, more passengers are flying United than in the year before, illustrated by Ted’s achievement of strong 2004 market share gains. Not only has flying by United’s elite customers increased, but Ted has also attracted new fliers to United. Ted is consistently achieving high customer satisfaction ratings, and 77% of Ted’s customers say they would recommend Ted to a friend.

The upcoming expansion of Ted service to Chicago Midway Airport, beginning April 3, 2005, gives Ted’s customers the ability to connect to destinations worldwide through United’s Denver and Washington Dulles hubs. Midway service will include three daily flights between Midway and Denver, and two daily flights between Midway and Washington Dulles.

In addition, Ted’s service to popular destinations in Mexico has continued to return strong results, and its daily service to Puerto Vallarta from Denver and San Francisco and to Los Cabos from San Francisco is thriving. Service on these routes began in December.

Ted’s birthday celebration begins in Denver today and continues through the weekend at stations across the Ted system with a variety of activities, including: birthday cards (at select airports) containing discount e- certificates on future qualifying Ted flights; “random acts of Ted kindness” throughout the Denver area; and a birthday party at Denver International Airport, the home of Ted’s first flight. Happy birthday, Ted. Low fares never get old.

About Ted

Ted operates Airbus A320s that are configured with 156 seats, including a large Economy Plus section of 66 seats with four inches more legroom. Combining outstanding service with unique onboard amenities and entertainment, including Tedevision(SM), TedTunes(SM) and TedSelect(SM) SnackBoxes, along with full participation in United’s award-winning Mileage Plus program, Ted offers a unique experience among low-fare carriers. More information and current fares can be found at flyted.com.

About United

United Airlines (BULLETIN BOARD: UALAQ) is the world’s second largest airline, operating more than 3,500 flights a day on United, United Express and Ted 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 the largest international carrier based in the United States.** United is also a founding member of Star Alliance, which provides connections for our customers to more than 700 destinations in more than 130 countries worldwide. United’s 61,200 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.

* Terms and Conditions of 15% Discount Offer: Customers must have registered e-mail addresses with United or Ted in order to receive discount e- coupon. Discount Amount: 15% off a minimum fare of $200 (exclusive of taxes and fees) or more on a qualifying roundtrip flight purchased at united.com. Ticketing period: Feb. 11, 2005 through May 27, 2005. Travel period: Apr. 7, 2005 through May 27, 2005. Valid Carrier: This discount may be applied to United, United Express(R) and Ted(SM) operated flights, but not to flights operated by other airlines (such as United-marketed code share and Star Alliance flights). Valid Routing: To take advantage of this discount you must travel within the domestic 50 United States, Puerto Rico, U.S. Virgin Islands and to Canada during the above travel period. Qualifying Fares: This discount may be used on published United Economy(R) class minimum fares of $200 (exclusive of taxes and fees) or more for travel within the 50 United States, Puerto Rico, the U.S. Virgin Islands or Canada. Restricted Fares: This discount may not be used on the following fare types: United First(R) (F,A,P) class, United Business(R) (C,D,Z) class, internet-only fares, companion, travel industry G class, contract, bulk, convention, tour conductor, children, family plan, government, group, military, senior citizen, student, youth, infant, tour basing, Round the World, Circle the Pacific, Visit USA, or any non-published fares. Fare Rules: The published fare you qualify for depends on what class of service is available on the days you travel. Some markets may have lower fares available without the discount. You must travel roundtrip on United. Open jaw and circle trips are not allowed. This discount may not be used when you travel one-way. Maximum number of passengers per itinerary: 4. Blackout Dates: None. Ticketing: You may redeem this electronic certificate on united.com only. Discount only applies when ticket is purchased on united.com using the certificate number and a credit card that has a valid U.S. billing address. Electronic certificates cannot be redeemed by calling United Airlines or your travel professional. Fulfillment: Electronic certificates will only be delivered to a valid e-mail address. Electronic Certificate is valid towards qualifying roundtrip flight purchase of a $200 minimum fare at united.com between 12:01 am CST Feb. 12, 2005 through 11:59 pm CST May 27, 2005 only, for travel through May 27, 2005. Mileage Plus Accrual: The passenger may accrue Mileage Plus miles with this discount. Upgrades: To determine if an upgrade certificate may be used together with this discount, refer to the terms and conditions and booking class restrictions associated with each upgrade. Changes/Refunds: The rules of the United fare you purchase will determine what changes or refunds are allowed. Any refund due is based on the amount actually paid. The electronic certificate discount may not be reapplied toward the purchase of another ticket when exchanging or refunding your original ticket, except when the original ticket qualifies for a reduced fare (guaranteed airfare rule applies). Check with United. Important Notes: Not all flights are eligible for an electronic certificate discount. In some instances you may find flights that are not electronic certificate eligible, because they have already been discounted and are less expensive than the electronic certificate eligible flights. This discount may only be applied toward the purchase of one new ticket and may not be applied to previously ticketed reservations. This e- certificate is transferable, but void if sold or bartered. Offer subject to change without notice. Other restrictions may apply.

** Measured by revenue passenger miles as reported to the U.S. Department of Transportation for 12 months ending September 2004, the most recent comparison data available.

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