United President and CEO speaks about United Airlines and Continental merger.
One year ago, United Airlines and Continental Airlines came together in the largest airline merger in history to form the new United. The combined carrier is on track to achieve between $1 and $1.2 billion in annual synergies and has announced plans to invest substantially in its products and services.
"We're going to take the $1 billion to $1.2 billion a year we expect to achieve in merger synergies and plow it back into our product, technology, fleet, facilities and our most important asset: our people," says United President and CEO Jeff Smisek.
United will substantially increase the number of flat-bed seats available on long-haul flights and add Economy Plus seating to the Continental mainline fleet, allowing it to claim more of these popular seating amenities than any other U.S. carrier. In addition, the airline is installing wireless access on more than 200 aircraft, nearly doubling overhead storage space on about 150 aircraft, and retrofitting its popular p.s. trans-continental aircraft nose-to-tail, installing flat-bed seats, Economy Plus, audio and video on demand, Wi-Fi and in-seat power. The airline says it listened to customer feedback and is installing the popular Channel 9--an onboard channel featuring air traffic control audio--across the Continental fleet. United will also upgrade baggage systems at major hubs and make other airport facility improvements.
"We already have the world's most comprehensive network, but we're focused on making the right changes to our product so that we can compete effectively on a global scale," Smisek says. Still, he adds, there are thousands of decisions left to make about how to align products and services. "Integrating two airlines is complex, and it will take time."
The two carriers will continue to operate as two separate entities until they obtain a single operating certificate from the FAA later this year.
Smisek says that one of the airline's top integration priorities is building a strong company culture where employees enjoy coming to work and provide good service to customers. To drive that, United is implementing new reward and recognition programs for its more than 80,000 employees. So far, it has rolled out a monthly bonus program that kicks in when the carrier achieves its operational goals, a perfect-attendance reward program and a profit-sharing program.
"Our goal is to be the carrier customers want to fly, investors want to invest in and co-workers want to work for," says Smisek. "As we work to complete the integration, we'll stay focused on providing clean, safe and reliable air transportation; providing quality service and an industry-leading product; and creating a corporate culture built on working together."
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One year ago, United Airlines and Continental Airlines came together in the largest airline merger in history to form the new United. The combined carrier is on track to achieve between $1 and $1.2 billion in annual synergies and has announced plans to invest substantially in its products and services.
"We're going to take the $1 billion to $1.2 billion a year we expect to achieve in merger synergies and plow it back into our product, technology, fleet, facilities and our most important asset: our people," says United President and CEO Jeff Smisek.
United will substantially increase the number of flat-bed seats available on long-haul flights and add Economy Plus seating to the Continental mainline fleet, allowing it to claim more of these popular seating amenities than any other U.S. carrier. In addition, the airline is installing wireless access on more than 200 aircraft, nearly doubling overhead storage space on about 150 aircraft, and retrofitting its popular p.s. trans-continental aircraft nose-to-tail, installing flat-bed seats, Economy Plus, audio and video on demand, Wi-Fi and in-seat power. The airline says it listened to customer feedback and is installing the popular Channel 9--an onboard channel featuring air traffic control audio--across the Continental fleet. United will also upgrade baggage systems at major hubs and make other airport facility improvements.
"We already have the world's most comprehensive network, but we're focused on making the right changes to our product so that we can compete effectively on a global scale," Smisek says. Still, he adds, there are thousands of decisions left to make about how to align products and services. "Integrating two airlines is complex, and it will take time."
The two carriers will continue to operate as two separate entities until they obtain a single operating certificate from the FAA later this year.
Smisek says that one of the airline's top integration priorities is building a strong company culture where employees enjoy coming to work and provide good service to customers. To drive that, United is implementing new reward and recognition programs for its more than 80,000 employees. So far, it has rolled out a monthly bonus program that kicks in when the carrier achieves its operational goals, a perfect-attendance reward program and a profit-sharing program.
"Our goal is to be the carrier customers want to fly, investors want to invest in and co-workers want to work for," says Smisek. "As we work to complete the integration, we'll stay focused on providing clean, safe and reliable air transportation; providing quality service and an industry-leading product; and creating a corporate culture built on working together."
YOUR FULL OF CRAP JEFF
