United Airlines Holdings, Inc. · NASDAQ:UAL
United Airlines — United Continental Holdings — J.P. Morgan Aviation, Transportation and Defense Conference (March 2013)
16 slides from United Airlines's conference presentation, Mar 4, 2013
Slide 1: J.P. Morgan Aviation, Transportation and Defense Conference
J.P. Morgan Aviation, Transportation and Defense Conference United Continental Holdings, Inc. March 4, 2013 Exhibit 99.1
Slide 2: Chairman, President and CEO Jeff Smisek
Chairman, President and CEO Jeff Smisek
Slide 3: U.S. airline industry continues to transform
Less fragmentation Capacity discipline Unbundled fares and value-add products Stronger balance sheets Return-focused management teams U.S. airline industry continues to transform
Slide 4: We've built the foundation for the new United
We’ve built the foundation for the new United
Slide 5: We're leveraging United's best-in-class assets
We’re leveraging United’s best-in-class assets
Slide 6: We have three priorities for 2013
Deliver ROIC of greater than 10% Deliver great customer experience Deliver operational reliability We have three priorities for 2013
Slide 7: Running a reliable airline is critical to the bottom line
Arrival :14 Performance Jan Nov Sep Jul May Mar Jan Goal: 80% 1. Percentage of domestic mainline flights arriving within 14 minutes of scheduled arrival 2. Percentage of consolidated mainline flights which arrive to destinations, excluding those canceled due to weather Running a reliable airline is
Slide 8: Giving great customer service is core to United
Giving great customer service is core to United Providing co-workers the tools and training to give great service Offering customers a friendly and engaging experience on United Going the extra mile for our customers
Slide 9: We're investing in the customer experience
Global Satellite Wi-Fi On the ground In the air In our technology We’re investing in the customer experience, making travel easier and more comfortable than ever New United Club in ORD T-2
Slide 10: Customer Satisfaction Scores
Customer Satisfaction Scores Customers are experiencing United’s improved operations, service levels and product offering Customer satisfaction scores increasing from summer low Positive feedback from our corporate advisory board members on the improvements Note: Net Promoter Score methodology: % of
Slide 11: We're taking action to recover our revenue premium
We’re taking action to recover our revenue premium Jan 13 4Q12 3Q12 2Q12 1Q12 UAL PRASM Gap vs. Peers 1. UAL year-over-year PRASM percentage points H/(L) vs. A4A ex-UAL Recovering temporarily reduced corporate market share Using consolidated network demand history to make better revenue management d
Slide 12: We're growing ancillary revenue
Premium cabin upgrade Improve how we offer existing products and services Introduce new value-add products and services Economy Plus Global Satellite Wi-Fi We’re growing ancillary revenue 2013 Goal: Grow ancillary revenue / passenger by 9%
Slide 13: We're managing all aspects of the business with discipline
Source: SEC filings and investor updates We’re managing all aspects of the business with discipline (1.0%) (1.5%) (0.2%) Consolidated Capacity Year-over-Year % Change in ASMs 2013E 0% Fleet Flexibility Measured approach to aircraft replacement Expect fleet count to remain roughly flat over next five
Slide 14: We've strengthened the balance sheet by reducing debt
Note: Results prior to 4Q 2010 pro forma; Debt outstanding includes on balance sheet debt and capital leases; 2013E interest expense is midpoint of non- operating expense guidance in January 24, 2013 Investor Update Interest Expense ($B) Debt Outstanding ($B) 12.4 13.2 12.7 15.1 We’ve strengthened t
Slide 15: We're managing United for returns
Return on Invested Capital (ROIC) We’re managing United for returns Note: Results prior to 4Q 2010 pro forma Source: Earnings releases and SEC filings Route analysis and network optimization Fleet decisions Capital investments and allocation Executive compensation
Slide 16: Deliver ROIC, customer experience, operational reliability
Deliver ROIC of greater than 10% Deliver great customer experience Deliver operational reliability By achieving these priorities in 2013, United will create economic value and a solid base for future performance