What changed in this filing

/stocks — the workspaceLOADING

Item 1. Business

2021-03-01 compared with 2020-02-25 · 174 added, 81 removed, 235 unchanged (52% of the section changed)

7 unchanged sentences

We sometimes use the words "we," "our," "us," and the "Company" in this report for disclosures that relate to all of UAL and United.

UAL was incorporated under the laws of the State of Delaware on December 30, 1968.

Effective June 27, 2019, UAL amended its Certificate of Incorporation to change its name to "United Airlines Holdings, Inc." Our principal executive office is located at 233 South Wacker Drive, Chicago, Illinois 60606 (telephone number (872) 825-4000).

The Company's principal executive office is located at 233 South Wacker Drive, Chicago, Illinois 60606 (telephone number (872) 825-4000).

The Company's website is located at www.united.com and its investor relations website is located at ir.united.com.

4 unchanged sentences

The Company transports people and cargo throughout North America and to destinations in Asia, Europe, Africa, the Pacific, the Middle East and Latin America.

UAL, through United and its regional carriers, operates more than 4,900 flights a day to 362 airports across six continents, with hubs at Newark Liberty International Airport ("Newark"), Chicago O'Hare International Airport ("Chicago O'Hare"), Denver International Airport ("Denver"), George Bush Intercontinental Airport ("Houston Bush"), Los Angeles International Airport ("LAX"), A.B.

UAL, through United and its regional carriers, operates across six continents, with hubs at Newark Liberty International Airport ("Newark"), Chicago O'Hare International Airport ("Chicago O'Hare"), Denver International Airport ("Denver"), George Bush Intercontinental Airport ("Houston Bush"), Los Angeles International Airport ("LAX"), A.B.

Won Pat International Airport ("Guam"), San Francisco International Airport ("SFO") and Washington Dulles International Airport ("Washington Dulles").

3 unchanged sentences

As discussed under Alliances below, United is a member of Star Alliance, the world's largest alliance network.

The Company began experiencing a significant decline in passenger demand related to the novel coronavirus (COVID-19) during the first quarter of 2020.

The full extent of the ongoing impact of COVID-19 on the Company's longer-term operational and financial performance will depend on future developments, including those outside our control related to the efficacy and speed of vaccination programs in curbing the spread of the virus, the introduction and spread of new variants of the virus which may be resistant to currently approved vaccines, passenger testing requirements, mask mandates or other restrictions on travel, all of which are highly uncertain and cannot be predicted with certainty.

In response to decreased demand, the Company cut, relative to 2019 capacity, approximately 57% of its scheduled capacity for 2020.

In the first quarter of 2021, the Company expects scheduled capacity to be down at least 51% versus the first quarter of 2019.

The Company plans to continue to proactively evaluate and cancel flights on a rolling 60-day basis until it sees signs of a recovery in demand and expects demand to remain suppressed, relative to 2019 levels, until vaccines for COVID-19 are widely distributed and are effective in curbing

the spread of the virus.

In addition, the Company does not currently expect the recovery from COVID-19 to follow a linear path.

As such, the Company's actual flown capacity may differ materially from its currently scheduled capacity.

The Company has contractual relationships with various regional carriers to provide regional aircraft service branded as United Express.

1 unchanged sentence

Champlain Enterprises, LLC d/b/a CommutAir ("CommutAir"), Republic Airline Inc.

("Republic"), ExpressJet Airlines LLC ("ExpressJet"), GoJet Airlines LLC ("GoJet"), Mesa Airlines, Inc.

("Republic"), GoJet Airlines LLC ("GoJet"), Mesa Airlines, Inc.

("Mesa"), SkyWest Airlines, Inc.

("SkyWest"), Air Wisconsin Airlines LLC ("Air Wisconsin"), and Trans States Airlines, LLC ("Trans States") are all regional carriers that operate with capacity contracted to United under capacity purchase agreements ("CPAs").

Under these CPAs, the Company pays the regional carriers contractually agreed fees

(carrier costs) for operating these flights plus a variable rate adjustment based on agreed performance metrics, subject to annual adjustments.

("SkyWest"), and Air Wisconsin Airlines LLC ("Air Wisconsin") are all regional carriers that operate with capacity contracted to United under capacity purchase agreements ("CPAs").

Under these CPAs, the Company pays the regional carriers contractually agreed fees (carrier costs) for operating these flights plus a variable rate adjustment based on agreed performance metrics, subject to annual adjustments.

The fees are based on specific rates multiplied by specific operating statistics (e.g., block hours, departures), as well as fixed monthly amounts.

3 unchanged sentences

The Company also determines pricing and revenue management, assumes the inventory and distribution risk for the available seats and permits mileage accrual and redemption for regional flights through its MileagePlus loyalty program.

The significant decline in demand for air travel services resulting from the COVID-19 pandemic has also materially impacted demand for regional carrier services and, as a result, the Company's utilization of its regional network is significantly reduced and is expected to remain so for the foreseeable future.

As a result, we may face claims that we failed to perform certain obligations under our agreements with our regional carriers and may incur damages.

Additionally, in July 2020, the Company announced its plans to consolidate its Embraer 145 ("E145") operations into a single regional partner, CommutAir.

As a result, the Company terminated its CPA with ExpressJet Airlines, LLC, a domestic regional airline ("ExpressJet").

ExpressJet flew its last commercial flight, on behalf of United, on September 30, 2020.

Additionally, United transferred all of its E145 operations over to CommutAir as United's sole regional partner for this aircraft type.

We expect the disruption to services resulting from the COVID-19 pandemic to continue to adversely affect our regional carriers, some of which may declare bankruptcy or otherwise cease to operate.

United is a member of Star Alliance, a global integrated airline network and the largest and most comprehensive airline alliance in the world.

As of January 1, 2020 , Star Alliance carriers served nearly 1,300 airports in 195 countries with more than 19,000 daily departures.

Despite the global challenges posed by the COVID-19 pandemic, Star Alliance carriers continued to serve nearly 1,000 airports in 154 countries with close to 10,000 daily departures as of January 1, 2021.

Star Alliance members, in addition to United, are Aegean Airlines, Air Canada, Air China, Air India, Air New Zealand, All Nippon Airways ("ANA"), Asiana Airlines, Austrian Airlines, Aerovías del Continente Americano S.A.

("Avianca"), Brussels Airlines, Copa Airlines ("Copa"), Croatia Airlines, EGYPTAIR, Ethiopian Airlines, EVA Air, LOT Polish Airlines, Lufthansa, SAS Scandinavian Airlines, Shenzhen Airlines, Singapore Airlines, South African Airways, SWISS, TAP Air Portugal, THAI Airways International and Turkish Airlines.

In addition to its members, Star Alliance includes Shanghai-based Juneyao Airlines as a connecting partner.

In addition to its members, Star Alliance includes Shanghai-based Juneyao Airlines and Thailand-based Thai Smile Airways, a subsidiary of THAI Airways International, as connecting partners.

United has a variety of bilateral commercial alliance agreements and obligations with Star Alliance members, addressing, among other things, reciprocal earning and redemption of frequent flyer miles, access to airport lounges and, with certain Star Alliance members, codesharing of flight operations (whereby one carrier's selected flights can be marketed under the brand name of another carrier).

1 unchanged sentence

("Azul"), Boutique Air, Cape Air, Edelweiss, Eurowings, Hawaiian Airlines, Olympic Air, Silver Airways and Vistara.

In addition to the marketing alliance agreements with air partners, United also offers a train-to-plane codeshare and frequent flyer alliance with Amtrak from Newark on select city pairs in the northeastern United States.

United also participates in four passenger joint business arrangements ("JBAs"):

one with Air Canada and the Lufthansa Group (which includes Lufthansa and its affiliates Austrian Airlines, Brussels Airlines, Eurowings and SWISS) covering transatlantic routes, one with ANA covering certain transpacific routes, one with Air New Zealand covering certain routes between the United States and New Zealand and one with Avianca and Copa Airlines, which, upon receipt of regulatory approvals will cover routes between the United States and Central and South America, excluding Brazil.

one with Air Canada and the Lufthansa Group (which includes Lufthansa and its affiliates Austrian Airlines, Brussels Airlines, Eurowings and SWISS) covering transatlantic routes, one with ANA covering certain transpacific routes, one with Air New Zealand covering certain routes between the United States and New Zealand and one with Avianca and Copa, which, upon regulatory approval, will cover routes between the United States and Central and South America, excluding Brazil.

These passenger JBAs enable the participating carriers to integrate the services they provide in the respective regions, capturing revenue synergies and delivering enhanced customer benefits, such as highly competitive flight schedules, fares and services.

United also participates in cargo JBAs with ANA for transpacific cargo services and with Lufthansa for transatlantic cargo services.

Separate from the passenger JBAs, United also participates in cargo JBAs with ANA for transpacific cargo services and with Lufthansa for transatlantic cargo services.

These cargo JBAs offer expanded and more seamless access to cargo space across the carriers' respective combined networks.

2 unchanged sentences

Members in this program earn miles for flights on United, United Express, Star Alliance members and certain other airlines that participate in the program.

Members can also earn miles by purchasing goods and services from our network of non-airline partners, such as domestic and international credit card issuers, retail merchants, hotels and car rental companies.

Members can also earn miles by purchasing goods and services from our

network of non-airline partners, such as domestic and international credit card issuers, retail merchants, hotels and car rental companies.

Members can redeem miles for free (other than taxes and government-imposed fees), discounted or upgraded travel and non-travel awards.

7 unchanged sentences

These awards include United Club memberships, car and hotel awards, merchandise and flights on other air carriers.

Redemptions in 2020 were adversely impacted by the COVID-19 pandemic.

In response to the impact of COVID-19, the Company made changes to its MileagePlus® Premier® program that will make it easier to earn status in 2021 for the 2022 program year.

United will again have reduced Premier Qualifying Points ("PQP") and Premier Qualifying Flights ("PQF") thresholds in 2021 and will have innovative promotions that help members earn status more quickly.

Early in 2021, United deposited 25% of the PQP-only requirements in Premier members' accounts based on their 2021 Premier status level.

Premier members will earn double the PQP on each of the first three PQP-eligible trips completed January 1 through March 31, 2021 (up to 1,500 PQP per trip), helping their flights go further toward reaching status.

Aircraft Fuel.

The table below summarizes UAL's aircraft fuel consumption and expense during the last three years.

Gallons Consumed

(in millions)

Average Price Per Gallon

Percentage of Total Operating Expense

The table below summarizes the fuel consumption and expense of UAL's aircraft (including the operations of our regional partners operating under CPAs) during the last three years.

Year Gallons Consumed

(in millions) Fuel Expense

(in millions) Average Price Per Gallon Percentage of Total Operating Expense

2020 2,004 $ 3,153 $ 1.57 15 %

2019 4,292 $ 8,953 $ 2.09 23 %

2018 4,137 $ 9,307 $ 2.25 24 %

Our operational and financial results can be significantly impacted by changes in the price and availability of aircraft fuel.

7 unchanged sentences

Non-travel redemptions expenses are recorded to Other operating revenue.

United provides freight and mail services (air cargo).

The majority of cargo services are provided to commercial businesses, freight forwarder firms and the United States Postal Service.

Through our global network, our cargo operations are able to connect the world's major freight gateways.

We generate cargo revenues in domestic and international markets through the use of cargo space on regularly scheduled passenger aircraft, and starting in 2020, cargo-only flights.

Distribution Channels.

4 unchanged sentences

Industry Conditions

The COVID-19 pandemic, together with the measures implemented or recommended by governmental authorities and private organizations in response to the pandemic, has had an adverse impact that has been material to the airline industry.

Measures such as "shelter in place" or quarantine requirements, international and domestic travel restrictions or advisories, limitations on public gatherings, social distancing recommendations, remote work arrangements and closures of tourist destinations and attractions, as well as consumer perceptions of the safety, ease and predictability of air travel, have contributed to a precipitous decline in passenger demand and bookings for both business and leisure travel.

Effective August 30, 2020, United permanently eliminated change fees on all standard Economy and Premium cabin tickets for travel within the 50 U.S.

states, Washington, D.C., Puerto Rico and the U.S.

Virgin Islands.

Also, in December 2020, the Company eliminated change fees on flights from the U.S.

to all international destinations and fees on Basic Economy and all other international travel tickets issued by March 31, 2021.

In addition, effective January 1, 2021, United began allowing passengers to standby for free on a flight departing the day of their travel regardless of the type of ticket or class of service, while MileagePlus Premier members can confirm a seat on a different flight on the same day with the same departure and arrival cities as their original ticket if a seat in the same ticket fare class is available.

Domestic Competition.

25 unchanged sentences

and foreign carriers have entered into alliances, immunized JBAs and marketing arrangements that enable these carriers to exchange traffic between each other's flights and route networks.

Through these arrangements, the Company strives to provide consumers with a growing number of seamless, cost-effective and convenient travel options.

See Alliances, above, for additional information.

2 unchanged sentences

Industry Regulation

Airlines are subject to extensive domestic and international regulatory oversight.

The following discussion summarizes the principal elements of the regulatory framework applicable to our business.

Regulatory requirements, including but not limited to those discussed below, affect our operations and increase our operating costs, and future regulatory developments may continue to do the same in the future.

In addition, should any of our governmental authorizations or certificates be modified, suspended or revoked, our business and competitive position could be materially adversely affected.

See Part I, Item 1A.

Factors—"The airline industry is subject to extensive government regulation, which imposes significant costs and may adversely impact our business, operating results and financial condition" for additional information on the material effects of compliance with government regulations.

Domestic Regulation.

15 unchanged sentences

Food and Drug Administration ("FDA"), the U.S.

Department of Agriculture ("USDA") and other U.S.

Department of Agriculture ("USDA"), Centers for Disease Control and Prevention ("CDC"), U.S.

Occupational Safety and Health Administration ("OSHA" ), and other U.S.

and international regulatory bodies.

4 unchanged sentences

Reagan National Airport in Washington, D.C.

("Reagan National"), John F.

("Reagan National"), and John F.

Kennedy International Airport and LaGuardia Airport ("LaGuardia") in the New York City metropolitan region.

Of these three airports, United currently operates at two:

Reagan National and LaGuardia.

Additional restrictions on takeoff and landing slots at these and other airports may be implemented in the future and could affect the Company's rights of ownership and transfer as well as its operations.

3 unchanged sentences

Congress approved a five-year reauthorization for the FAA, which encompasses significant aviation tax and policy-related issues.

The law includes a range of policy changes related to airline customer service and aviation safety which are ongoing and, depending on how they are implemented, could impact our operations and costs.

The law includes a range of policy changes related to airline customer service and aviation safety.

Implementation of some items continues into the new Administration and, depending on how they are implemented, could impact our operations and costs.

Congressional action in response to the COVID-19 pandemic has provided funding for U.S.

airlines, in both grants and loans.

Congress has imposed limited conditions on airlines accepting funding, including workforce retention and minimum service requirements.

With the change in control of the U.S.

Congress and a new presidential administration, any future funding or other pandemic relief could include additional requirements that could impact our operations and costs.

Additionally, the U.S.

Congress may consider legislation related to aviation safety as well as environmental issues which could impact the Company and the airline industry.

Congress may consider legislation related to environmental issues or increases to the U.S.

federal corporate income tax rate, which could impact the Company and the airline industry.

Catering Operations .

14 unchanged sentences

In cases where this activity exceeds U.S.

requirements, additional burden and liability may be placed on the Company.

requirements, additional burden and liability may be placed on the

Certain countries have regulations requiring passenger compensation and/or enforcement penalties from the Company in addition to changes in operating procedures due to canceled and delayed flights.

17 unchanged sentences

Similarly, foreign governments control their airspace and can restrict our ability to overfly their territory, enhancing or diminishing the value of the Company's existing international route authorities and slot rights.

The COVID-19 pandemic has caused most governments to restrict entry to foreign nationals (with some exceptions) and to impose multiple health management rules which can include COVID-19 testing, quarantine upon arrival, health declarations, and temperature screens, among others.

Such requirements may result in reduced demand for travel and cause the Company to suspend service to some foreign markets.

Certain foreign governments have granted waivers for limited periods that allow the Company to maintain existing slot rights and route authorizations while not operating at a particular foreign point.

The airline industry is advocating for the continuation of such waivers until the operating and demand environment return to normal, but future waivers are not guaranteed.

Environmental Regulation.

2 unchanged sentences

There is an increasing global regulatory focus on greenhouse gas ("GHG") emissions and their potential impacts relating to climate change.

An initiative to regulate GHG emissions from aviation known as the European Union ("EU") Emission Trading System ("ETS") was adopted in 2009, but applicability to flights arriving or departing from airports outside the EU has been postponed several times.

An initiative to regulate GHG emissions from aviation known as the European Union ("EU") Emission Trading System ("ETS") was adopted in 2009, but applicability to flights arriving at or departing from airports outside the EU has been postponed several times.

In December 2017, the European Parliament voted to extend exemptions for extra-EU flights until December 2023 in order to align the extension date with the completion of the pilot phase of the International Civil Aviation Organization's ("ICAO") Carbon Offsetting and Reduction Scheme for International Aviation ("CORSIA").

CORSIA, which was adopted in October 2016, is intended to create a single global market-based measure to achieve carbon-neutral growth for international aviation after 2020, which can be achieved through airline purchases of carbon offset credits.

However, the European Parliament is expected to assess CORSIA implementation and re-assess the applicability of EU ETS to international aviation in 2024, at which point the EU could require all extra- and intra-EU flights to participate in EU ETS.

Certain CORSIA program details remain to be developed and could potentially be affected by political developments in participating countries or the results of the pilot phase of the program, and thus the impact of CORSIA cannot be fully predicted.

However, CORSIA is expected to increase operating costs for the Company, depending on a number of factors, including the number of its flights that are subject to CORSIA, the fuel efficiency of the Company's fleet, the Company's purchase and use of CORSIA-eligible sustainable aviation fuels, aviation sector growth, and the price of CORSIA-eligible offsets.

CORSIA, which was adopted in October 2016, is intended to create a single global market-based measure to achieve carbon-neutral growth for international aviation, which can be achieved through airline purchases of eligible carbon offset credits and the use of eligible sustainable fuels.

The unprecedented nature of the COVID-19 pandemic prompted ICAO to include only 2019 emissions (as opposed to the originally planned average of 2019-20 emissions) as the baseline upon which offsetting obligations would be calculated for the pilot phase (2021-23) of the scheme;

the applicable baseline for the subsequent phases of the scheme, however, is still uncertain.

The European Parliament is expected to assess CORSIA implementation and re-assess the applicability of EU ETS to international aviation in 2024, at which point the EU could require all extra- and intra-EU flights to participate in EU ETS.

Certain CORSIA program aspects could potentially be affected by the results of the pilot phase of the program, and thus the impact of CORSIA cannot be fully predicted.

However, CORSIA is expected to increase operating costs for the Company, depending on a number of factors, including the number of its flights that are subject to CORSIA, the fuel efficiency of the Company's fleet, the Company's purchase and use of CORSIA-eligible sustainable fuels, aviation sector growth, the price of CORSIA-eligible offsets and the applicable baseline year(s) applied to future phases of the program.

In 2017, ICAO also adopted a carbon dioxide ("CO 2 ") emission standard for aircraft.

In 2016, the U.S.

Environmental Protection Agency ("EPA") commenced procedural steps necessary to adopt its own standard, but has not yet taken further action.

While the precise timing and final form of these various programs and requirements continue to evolve, the Company is taking various actions that are expected to help reduce its CO2 emissions over time such as improving fuel efficiency, fleet renewal, aircraft retrofits and promoting the commercialization of sustainable aviation fuels.

In December 2020, the U.S.

Environmental Protection Agency ("EPA") adopted its own aircraft and aircraft engine GHG emissions standards, which are aligned with the 2017 ICAO airplane CO 2 emission standards.

While United endeavors to comply with all applicable environmental regulations, United's Eco-Skies commitment to becoming a more environmentally sustainable company extends beyond seeking to comply with regulatory requirements.

We have made a series of tangible commitments and actions to help reduce our carbon emission footprint, including the following:

• In 2015, we invested $30 million in Fulcrum BioEnergy, a sustainable aviation fuel ("SAF") producer that converts trash to low-carbon jet fuel.

• In 2016, we became the first airline globally to use SAF in regular operations on a continuous basis and, as of December 31, 2020, based on publicly announced commitments, have purchased more SAF than any other U.S.

commercial airline.

• In 2018, we became the first U.S.

airline to establish a climate goal of reducing our emissions 50% by 2050 versus our 2005 baseline.

◦ We pledged to become 100% green by reducing our GHG emissions by 100% by 2050—without relying on voluntary carbon offsets.

◦ We became the first airline to announce a commitment to invest in Direct Air Capture technology through 1PointFive, a joint venture between Oxy Low Carbon Ventures and Rusheen Capital.

◦ The Carbon Disclosure Project ("CDP") named United as the only airline globally to its climate 'A List' for the Company's actions to cut emissions, mitigate climate risks and develop the low-carbon economy, marking the seventh consecutive year that United had the highest CDP score among U.S.

• In the first quarter of 2021, United entered into an agreement to work with, and to invest in, air mobility company Archer Aviation Inc.

on the development of electric vertical takeoff and landing (eVTOL) aircraft that have the potential for future use as an 'air taxi' in urban markets.

Additional information regarding United's Eco-Skies program and our pledge to become 100% green by reducing GHG emissions by 100% by 2050, can be found on our website at united.com/100green.

The information contained on or connected to the Company's website is not incorporated by reference into this Annual Report on Form 10-K and should not be considered part of this or any other report filed with the SEC.

Other Regulations .

Our operations are subject to a variety of other environmental laws and regulations both in the United States and internationally.

These include noise-related restrictions on aircraft types and operating times and state and local air quality initiatives which have, or could in the future, result in curtailments in services, increased operating costs, limits on expansion, or further emission reduction requirements.

Certain airports and/or governments, both domestically and internationally, either have or are seeking to establish environmental fees and other requirements applicable to carbon emissions, local air quality pollutants and/or noise.

The implementation of these requirements is expected to result in restrictions on mobile sources such as cars, trucks and airport ground support equipment in corresponding locations.

These include noise-related restrictions on aircraft types and operating times and state and local air quality initiatives which have resulted, or could in the future result in curtailments in services, increased operating costs, limits on expansion, or further emission reduction requirements.

Certain airports and/or governments, both domestically and internationally, either have established or are seeking to establish environmental fees and other requirements applicable to carbon emissions, local air quality pollutants and/or noise.

The implementation of these requirements is expected to result in restrictions on mobile sources of air pollutants such as cars, trucks and airport ground support equipment in corresponding locations.

Various states have passed legislation restricting the use of Class B fire-fighting foam agents that contain intentionally added per- and polyfluoroalkyl substances ("PFAS"), which are expected to require the Company to incur costs to convert existing fixed foam fire suppression systems to accommodate PFAS-free firefighting foam agents.

Finally, environmental cleanup laws could require the Company to undertake or subject the Company to liability for investigation and remediation costs at certain owned or leased locations or third-party disposal locations.

Until applicability of new regulations to our specific operations is better defined and/or until pending regulations are finalized, future costs to comply with such regulations will remain uncertain but are likely to increase our operating costs over time.

Until the applicability of new regulations to our specific operations is better defined and/or until pending regulations are finalized, future costs to comply with such regulations will remain uncertain but are likely to increase our operating costs over time.

While we continue to monitor these developments, the precise nature of future requirements and their applicability to the Company are difficult to predict, but the financial impact to the Company and the aviation industry could be significant.

As of December 31, 2019 , UAL, including its subsidiaries, had approximately 96,000 employees.

Human Capital

As of December 31, 2020, UAL, including its subsidiaries, had approximately 74,400 employees, not including furloughed employees who were recalled in connection with the Payroll Support Program extension under Subtitle A of Title IV of Division N of the Consolidated Appropriations Act, 2021 (the "PSP Extension Law").

Approximately 84% of the Company's employees were represented by various U.S.

labor organizations.

The Company believes engaged and empowered employees are important for the success of its mission.

The Company's focus areas for employee engagement and retention include, but are not limited to:

Workplace Safety.

At United, safety is first in everything we do and is our first core4 service standard (Safe, Caring, Dependable and Efficient).

We have implemented policies and training programs, as well as performed self-audits designed to ensure our employees are safe every day.

United has onsite clinic locations in certain of its hubs that provide services to active employees including, but not limited to, occupational injury, Company-directed exams, acute care for personal illness, pre-

employment exams, travel immunizations and OSHA audiometric testing.

For all other locations, United has partnered with third-party clinics to provide such services.

United has a Drug Abatement organization that has implemented programs aimed at supporting United's goal of maintaining a drug- and alcohol-free workplace.

Additionally, since the start of the COVID-19 pandemic, t he Company has actively implemented additional safety measures in compliance with CDC guidelines and we actively follow their recommendations.

Talent and Pay .

At United, we take great pride in the unique opportunity that we have to create and support the kind of careers that are increasingly hard to find in the 21st century American economy.

There are thousands of jobs at United that do not require a four-year college degree and also provide significant schedule flexibility.

For example our flight attendants and ramp agents have significant flexibility in their work schedules and, as they gain seniority, have the opportunity to earn up to six-figures in total annual compensation and benefits.

There are thousands of additional specialized roles at United, like technicians and pilots, with even higher wage scales.

Each of these jobs comes with a full suite of employment benefits including a retirement plan, life insurance, health insurance, free travel and more.

These employees also enjoy valuable protections negotiated by U.S.

labor organizations.

Having an engaged and proud work force is important to the success of our business.

We undertake a confidential employee survey that provides us with point-in-time insights multiple times a year.

We use the employee feedback to better understand the employee experience and assess progress made on achieving our goal of making United the best place to work.

Diversity, Equity and Inclusion.

United is committed to creating a workplace where all employees feel included and empowered to make a measurable difference in our success.

United offers policies, programs, benefits and recognition designed to reward and support the success of our diverse workforce.

To help advance United's goals for diversity, equity and inclusion, the airline supports seven employee-run business resource groups with over 8,000 participants.

Each group — LGBTQ+, Multi-cultural, People with Disabilities, Veterans, Women, Black/African American and Next Generation — helps increase awareness and understanding of cultural issues and opportunities for employees, while nurturing United's diverse talent, enriching the airline's organizational culture and contributing to Company performance.

In 2020 and for the fifth consecutive year, United was recognized as a top-scoring company and best place to work for disability inclusion with a perfect score of 100 on the 2020 Disability Equality Index (DEI).

In February, 2021, United received a perfect score of 100%, for the tenth consecutive year, on the Human Rights Campaign Foundation's 2021 Corporate Equality Index (CEI).

The scorecard is a benchmarking report on corporate policies and practices related to LGBTQ workplace equality.

The perfect score places United on the prestigious 2021 list of "Best Places to Work for LGBTQ Equality."

Additionally, we announced in January that we have achieved near perfect gender and pay equity for our U.S.-based population and, to promote greater transparency, have shared our gender and racial/ethnic representation for our workforce with our employees.

We remain committed to continuing to share this information as we continue our journey towards great diversity, equity and inclusion throughout our organization.

Health Benefits:

COVID-19 Impacts.

United offers a variety of medical plans and options, including vision, dental, long-term disability and life insurance.

At United, physical, emotional and financial wellness are top priorities.

In 2020, United implemented new benefits and enhanced preexisting benefits to assist employees during the COVID-19 pandemic.

These included enhanced telemedicine offerings to all employees, contact tracing, modified absence management practices and additional mental health programs and resources.

Collective Bargaining Agreements.

Collective bargaining agreements between the Company and its represented employee groups are negotiated under the RLA.

Such agreements typically do not contain an expiration date and instead specify an amendable date, upon which the agreement is considered "open for amendment."

On February 1, 2019, the collective bargaining agreement with the Air Line Pilots Association ("ALPA"), the labor union representing United's pilots, became amendable.

The Company and ALPA are in negotiations for an amended agreement.

The Company and UNITE HERE, the labor union representing United's Catering employees, started negotiations for a first collective bargaining agreement in March 2019.

The following table reflects the Company's represented employee groups, the number of employees per represented group, union representation for each employee group, and the amendable date for each employee group's collective bargaining agreement as of December 31, 2020:

Number of Employees

Agreement Open for Amendment

Flight Attendants

Association of Flight Attendants (the "AFA")

Fleet Service

International Association of Machinists and Aerospace Workers (the "IAM")

December 2021

Passenger Service

December 2021

International Brotherhood of Teamsters (the "IBT")

December 2022 (a)

Group Number of Employees Union Agreement Open for Amendment

Flight Attendants 16,507 Association of Flight Attendants (the "AFA") August 2021

Pilots 11,840 ALPA January 2019

Fleet Service 11,383 International Association of Machinists and Aerospace Workers (the "IAM") December 2021

Passenger Service 9,272 IAM December 2021

Technicians 6,630 IBT December 2022

Passenger Service - United Ground Express, Inc.

December 2021

Professional Airline Flight Control Association

December 2021

Fleet Tech Instructors

December 2021

Load Planners

December 2021

Security Officers

December 2021

Maintenance Instructors

December 2021

(a) The collective bargaining agreement with the IBT contains provisions that require the Company to align contract terms with other airlines' workgroups under certain conditions.

3,427 IAM March 2025

Catering 1,941 UNITE HERE N/A

Storekeepers 653 IAM December 2021

Dispatchers 249 Professional Airline Flight Control Association December 2021

Fleet Tech Instructors 112 IAM December 2021

Load Planners 41 IAM December 2021

Security Officers 45 IAM December 2021

Maintenance Instructors 36 IAM December 2021

Information about Our Executive Officers

6 unchanged sentences

Gebo served as Vice President of Corporate Real Estate of United.

Hart has served as Executive Vice President and Chief Administrative Officer of UAL and United since March 2019.

Hart has served as President of UAL and United since May 2020.

From March 2019 to May 2020, he served as Executive Vice President and Chief Administrative Officer of UAL and United.

From May 2017 to March 2019, he served as Executive Vice President, Chief Administrative Officer and General Counsel of UAL and United.

7 unchanged sentences

Hart served as Deputy General Counsel and Chief Global Compliance Officer of Sara Lee Corporation.

Hart has served as Executive Vice President and Chief Operations Officer of UAL and United since February 2014.

From December 2013 to February 2014, he served as Senior Vice President Operations of UAL and United.

From September 2012 to December 2013, Mr.

Hart served as Senior Vice President Technical Operations of United.

From October 2010 to September 2012, Mr.

Hart served as Senior Vice President Network of United and Continental.

September 2008 to September 2010, Mr.

Hart served as Vice President Network Strategy of Continental.

Hart joined Continental in 1997.

Jojo has served as Executive Vice President Technology and Chief Digital Officer of UAL and United since May 2017.

9 unchanged sentences

Kenny joined Continental in 1997.

Kirby has served as President of UAL and United since August 2016.

Kirby has served as Chief Executive Officer of UAL and United since May 2020.

Kirby served as President of UAL and United from August 2016 to May 2020.

Prior to joining the Company, from December 2013 to August 2016, Mr.

8 unchanged sentences

Kirby worked for American Airlines Decision Technologies and at the Pentagon.

In December 2019, the Company announced that Mr.

Kirby will become Chief Executive Officer of UAL and United following UAL's 2020 Annual Meeting of Stockholders, scheduled for May 20, 2020 (the "2020 Annual Meeting").

Gerald Laderman.

6 unchanged sentences

Laderman joined Continental in 1988 as senior director legal affairs, finance and aircraft programs.

Munoz has served as Chief Executive Officer of UAL and United since September 2015, and also as President of UAL and United from September 2015 until August 2016.

Munoz has served as Executive Chairman of the Board of Directors of UAL since May 2020.

Munoz served as Chief Executive Officer of UAL and United from September 2015 to May 2020, and also as President of UAL and United from September 2015 until August 2016.

From February 2015 to September 2015, Mr.

3 unchanged sentences

Munoz has been a member of the UAL Board of Directors since 2010.

In December 2019, the Company announced that Mr.

Munoz will transition from the role of Chief Executive Officer of UAL and United following UAL's 2020 Annual Meeting and assume the role of Executive Chairman of the Board of Directors of UAL.

Andrew Nocella.

5 unchanged sentences

From August 2007 to December 2013, he served as Senior Vice President, Marketing and Planning of US Airways.

Jonathan Roitman .

Roitman has served as Executive Vice President and Chief Operations Officer of UAL and United since September 2020.

Roitman served as Senior Vice President and Chief Operations Officer of the Company from June 2020 to September 2020.

Roitman served as Senior Vice President Airport and Network Operations of United from November 2019 to May 2020.

From August 2018 to November 2019, Mr.

Roitman served as Senior Vice President Airport and Catering Operations, and from January 2015 to August 2018, he served as Senior Vice President Airport Operations of United.

From December 1997 through January 2015, Mr.

Roitman held positions of increasing responsibility at United and at Continental prior to its merger with the Company, including as Senior Vice President Operations and Cargo, Vice President, Newark Hub, and Vice President, Cleveland Hub.

Prior to joining Continental in December 1997, Mr.

Roitman was the manager of business development for BWAB Incorporated, a real estate development and oil and gas production firm, and served in the U.S.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business