United / Continental: Another monopolistic merger?

Dear Mr. ——

Today we announced that United Airlines and Continental Airlines will combine to create the world’s leading airline, offering unmatched benefits and opportunities for business and leisure travelers and frequent flyers.

More Access to More Destinations
The new airline will be called United Airlines and will offer exceptional international gateways to Asia, Europe, Latin America and the Middle East from anywhere in the United States. Among other things, Continental’s fuel-efficient fleet, New York hub and extensive Latin American routes, will combine with United’s excellent domestic hub structure, Pacific routes and leading global brand.

The airline will have ten hubs, including hubs in the four largest U.S. cities. The new airline will serve 144 million customers per year as it flies to 370 destinations in 59 countries. We will also continue to provide service to all of the communities that United or Continental currently serve, including more than 140 small metropolitan areas and communities.

Shared Commitment to Performance and Service
Our new airline will combine our shared commitment to customer service with industry-leading on-time performance. We will be positioned to invest in globally competitive products, upgrade technology, refurbish and replace older aircraft, and implement best-in-class practices of both airlines. Our combined airline will have the most modern, fuel-efficient fleet (adjusted for cabin mix) and 75 new technology planes on order.

Enhanced Redemption Options
After the merger closes, which is expected to occur near the end of the year, you will participate in the industry’s leading loyalty program. Your miles in both programs continue to be valid and can be used according to existing program rules. After the merger closes, we plan to combine our loyalty programs and when that happens, your miles in both programs will be combined into one account. And you will continue to experience the benefits of Star Alliance, including service to more than 1,000 destinations, more connecting opportunities, additional scheduling flexibility and access to reciprocal frequent flyer and airport lounge benefits with Star Alliance’s 24 other member airlines around the world.

Based on our ongoing codeshare and joint venture partnerships and collaboration in Star Alliance, we are confident that we can successfully and seamlessly integrate our companies. Until the merger closes, United and Continental will operate independently as competitors and remain focused on improving your flying experience.

As for now, enjoy all the benefits of Mileage Plus, which was named the “Best Frequent Flyer Program” by the readers of Global Traveler Magazine. Recently, we’ve made the program even better by introducing One Way Awards, our Miles and Money Awards program and Hotel and Car Rental redemption options.

What’s Next
Although announced today, the merger is subject to the approval of United and Continental shareholders, as well as regulatory clearance and certain other closing conditions. We are committed to obtaining the necessary approvals and clearances in a timely manner and hope to close the merger by the end of the year.

This announcement does not affect any travel today or in the near future that you may be planning on United or Continental. You can continue to make reservations for your travel and redeem miles with your airline of choice, as well as continue to earn miles with your Mileage Plus credit card. You will not have to redeem your miles before the merger is closed.

This is an exciting development for all United and Continental customers, but especially for members of our loyalty programs. We will keep you updated on the status of the merger and Mileage Plus developments, and you can also see the latest information on www.UnitedContinentalmerger.com or on www.mileageplus.com.

We look forward to continuing to serve you on United Airlines.

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