1-C – Permitted Code Sharing, Marketing,
Ownership and Other Arrangements
1-C-1 – Feeder Flying
The Company or a Company Affiliate may enter into code
sharing with Feeder Carriers in conformance with the
provisions of this paragraph C-1. The Company or a
Company Affiliate may create, acquire, Control, manage,
take an Equity interest in, enter into code sharing
arrangements with, or sell, lease or transfer aircraft to
Feeder Carriers that comply with the provisions of this
paragraph C-1 below, without the flight operations of such air
carrier being considered Company Flying or the aircraft of
such air carrier being considered Company Aircraft.
1-C-1-a – Key Cities and Domicile Routes
1-C-1-a-(1) A Feeder Carrier shall not operate any
Feeder Flying Non-Stops between current or future
Company Key Cities without the prior written consent
of the Association.
1-C-1-a-(2) Without limiting paragraph a-(1), a Feeder
Carrier shall not operate Feeder Flying Round Trips
between current or future Company pilot domiciles or
between a current or future Company Key City and a
current or future Company pilot domicile unless the
Company demonstrates that a Company Round Trip
operating in that Market instead of the Feeder Carrier
Round Trip would not pass the Base Internal Rate of
Return Test ("BIRR Test").
1-C-1-a-(3) As an exception to the foregoing, Feeder
Carriers may operate in the IAD-LGA, IAD-EWR, and
IAD-JFK Markets provided that, in order to operate
Small Jets in such Markets, the Feeder Carriers do not
operate in excess of 38,200 actual block hours in those
Markets in any period of twelve consecutive months.
1-C-1-b – Connecting Operations
Feeder Carriers as a group shall schedule at least ninety
percent (90%) of their Feeder Flying Non-Stops into or out
of the following airports: IAD, DCA, MIA, LGA, EWR, JFK,
ORD, DEN, LAX, SFO, SEA, BOS, PDX, PHX, LAS, SJC,
SAN and any other airport that the parties later agree to
add to this list. Up to five percent (5%) of Feeder Flying
flights may be applied toward satisfying this requirement
even if such flights include multiple stops, as long as such
flights (i) originate or terminate at one of the foregoing
airports, (ii) maintain a single flight number on a single
aircraft for all the legs of such flight to or from such
airport, and (iii) operate with scheduled intermediate stops
of less than two (2) hours.
1-C-1-c – Feeder Flying Permitted Range
At least 80% of the Feeder Flying Non-Stops in any month
shall take place on routes of 850 nautical miles or less.
1-C-1-d – Feeder Carrier Ratio
In each calendar quarter Feeder Flying shall not exceed
the Feeder Carrier Ratio.
1-C-1-e – Feeder Flying on Company Routes
1-C-1-e-(1) A Feeder Carrier shall not initiate a new
scheduled Feeder Flying Round Trip in any Market
operated by the Company at any time in the preceding
twenty-four (24) months, unless the Company
demonstrates that a Company Round Trip that may be
initiated in the Market instead of the Feeder Flying
Round Trip would not pass the BIRR Test.
1-C-1-e-(2) The Company shall not remove a
scheduled Company Round Trip from any Market
served by Feeder Flying unless the Company
demonstrates that the Round Trip to be removed would
not pass the BIRR Test in the absence of a Feeder
Flying Round Trip scheduled to depart within thirty (30)
minutes of the Company Round Trip.
1-C-1-f – Number of Small Jets in Feeder Flying
1-C-1-f-(1) In order to permit the operation of up to
sixty-five (65) Small Jets in Feeder Flying, the
Company will maintain in its Active Fleet no fewer than
four hundred fifty-one (451) Large-Gauge Narrowbody
Aircraft. For increases over the number sixty-five (65),
the base numbers will be four hundred and fifty-one
(451) Large-Gauge Narrowbody Aircraft and one
hundred forty-one (141) Widebody Aircraft.
1-C-1-f-(2) When the Company permits the operation
of Small Jets in Feeder Flying over the base number of
sixty-five (65), it will, at its option, either:
1-C-1-f-(2)-(a) Where the Active Large-Gauge
Narrowbody Fleet is at least four hundred fifty-one
(451), add to the Active Fleet one (1) Small-Gauge
Narrowbody for each net addition of one (1) such
Small Jets; or
1-C-1-f-(2)-(b) Increase the base Active Large-
Gauge Narrowbody Fleet of four hundred fifty-one
(451) by one (1) Large-Gauge Narrowbody Aircraft
for each net addition of three (3) such Small Jets; or
1-C-1-f-(2)-(c) Increase the base Active Widebody
Fleet of one hundred forty-one (141) by one (1)
Widebody Aircraft for each net addition of five (5)
such Small Jets.
1-C-1-f-(3) In addition to the Small Jets provided for in
paragraph 1-C-1-f-(1) and paragraph 1-C-1-f-(2)
above, the Company may permit an increase in Small
Jets operated in Feeder Flying, without increasing
Active Fleet numbers by:
1-C-1-f-(3)-(a) Permitting Feeder Carriers to replace
on a one for one basis up to one hundred and fifty
(150) Turbo/Prop Aircraft in Feeder Flying service
on [DOS] and that are thereafter retired from Feeder
Flying; or
1-C-1-f-(3)-(b) Permitting the replacement of BAe-
146 aircraft as provided in subparagraph (4) below.
1-C-1-f-(4) In addition to the Small Jets provided for in
paragraphs 1-C-1-f-(1) through (3) above, Feeder
Carrier Air Wisconsin Airlines Corp. ("AWAC") may
operate up to eighteen (18) aircraft with seating
capacity in excess of fifty (50) seats (the "AWAC
Quota"). Currently, the AWAC Quota is filled by BAe-
146 aircraft with the following tail numbers: N463AP,
N179US, N181US, N183US, N606AW, N607AW,
N608AW, N609AW, N610AW, N611AW, N612AW,
N614AW, N615AW, N616AW, N290UE, N291UE,
N292UE, and N156TR. As needed, AWAC may replace
any aircraft within the AWAC Quota with: (i) any other
BAe-146 or AVRO 85 aircraft each with no more
passenger seats than were carried in the actual
operation of the replaced aircraft, or (ii) any other
aircraft with a maximum certificated seating capacity in
the United States of eighty-five (85) seats and a
maximum certificated gross takeoff weight in the United
States of up to ninety thousand (90,000) pounds, or (iii)
up to two Small Jets.
1-C-1-f-(5) In order to satisfy the requirements set forth
in this paragraph 1-C-1-f, including sub-paragraphs 1-
C-1-f-(1) through (3) above, the Narrowbody and
Widebody Aircraft in the Company's Active Fleet must
maintain the Average Utilization Rate.
1-C-1-g – Numbers of Pilots
The absolute number of captains plus first officers
employed by the Company shall not be reduced below
9592 captains plus first officers employed on Date of
Signing as a result of Feeder Flying under the terms of
this Agreement.
1-C-1-h – Feeder Carriers Conducting Operations for
Themselves and Other Carriers
1-C-1-h-(1) An air carrier that is acting as a Feeder
Carrier (other than a Company Affiliate) may also
operate jet aircraft with a maximum certificated seating
capacity in the United States of up to seventy (70)
seats and a maximum certificated gross takeoff weight
in the United States of up to eighty thousand (80,000)
pounds on its own behalf or pursuant to agreements
with air carriers other than the Company or Company
Affiliate;
1-C-1-h-(2) An Affiliate of a Feeder Carrier (other than
a Company Affiliate) may operate any size and weight
aircraft on its own behalf and pursuant to agreements
with other carriers.
1-C-1-i – Feeder Carrier Branding
1-C-1-i-(1) Feeder Carriers may not conduct
commercial flight operations under the name United
Airlines, United Shuttle, or other names used by the
Company except as provided in subparagraph (2) below.
1-C-1-i-(2) Aircraft operated in Feeder Flying may bear
the Company's logo or aircraft livery only if such
aircraft bear the name United Express or similar name
connoting a connection with United Airlines (other than
the names United Airlines, United Shuttle or other
name used by the Company).
1-C-2 – Other Domestic Code Sharing Agreements
1-C-2-a – The Company may enter into or maintain code
sharing with Domestic Air Carriers ("Domestic Code
Sharing Agreements") that permit such carriers to apply
the Company's designator code to their operations as long
as:
1-C-2-a-(1) The number of quarterly block hours
scheduled to be operated by such carriers utilizing the
Company's designator code does not exceed one
percent (1%) of the Company's total scheduled block
hours for the same quarter within the United States and
Territories; and
1-C-2-a-(2) Domestic Code Sharing Agreements do not
take place in any operations between any current or
future Company Key Cities or Company gateway
airports.
1-C-2-a-(3) Except as provided in paragraphs C-2-a-(1)
and (2) above and C-2-b below, the Company will not
enter into schedule coordination agreements with other
Domestic Air Carriers for the purpose of creating
greater schedule connectivity. Notwithstanding the
foregoing, the Company shall not be prevented from
participating in IATA Scheduling or Slot Conferences
nor from engaging in slot exchanges with Domestic Air
Carriers.
1-C-2-b – The restrictions contained in paragraph C-2-a
above shall not apply to (i) Feeder Flying, (ii) code-share
flying operated by Aloha Airlines, Inc. in the Hawaiian
Islands under the current United-Aloha agreement and
renewals thereof or (iii) code share flying operated by a
Domestic Air Carrier that replaces Aloha Airlines under a
similar agreement limited to the Hawaiian Islands,
provided that the replacement air carrier and any major
Domestic Air Carrier Parent it may have maintain their
headquarters, executive offices, and offices for senior
flight operations personnel within the State of Hawaii.