Avolar and Airbus Join in U.S. Partnership.

Business Editors

ARLINGTON HEIGHTS, Ill.--(BUSINESS WIRE)--Nov. 20 2001

Avolar (United BizJet), a subsidiary of Chicago-based UAL Corporation, and Airbus, the world's joint number one aircraft manufacturer, announced their agreement for an "Airbus Corporate Jet Program."

The program will provide the Airbus Corporate Jetliner (ACJ) to corporations, including those with domestic and international executive shuttle requirements, sports teams and individuals in the North American market.

Under the terms of the agreement, Avolar will market, but not own, up to 15 ACJs under the Airbus Corporate Jet Program. Avolar customers may purchase a whole aircraft or, in certain cases, may share ownership of one. Avolar will operate the ACJs for these customers to the standards of Federal Air Regulations (FAR) Part 121 under the command of mainline United Airlines pilots. In addition, United Services, a division of United Airlines, will provide round-the-clock total maintenance support with a "one call handles all" service, as it has for ACJ customers over the past two years.

North American customers that buy an ACJ directly from Airbus may also call upon Avolar to manage it for them.

"We are delighted that business aviation specialist Avolar will complement its core fractional ownership business by marketing the ACJ," said Noel Forgeard, Airbus Chief Executive Officer. "With the experience and the operating knowledge provided by United's crews and the dynamic combination of the Avolar management and its dedicated marketing team, Airbus is now well positioned to grow in the corporate market in North America, where Airbus will continue to market directly the ACJ with its own Corporate Jet Division. The ACJ is a powerfully productive business tool, with the ability to meet virtually any need. With the widest and most spacious cabin, and the efficiency and fuel to fly long legs, it offers unmatched flexibility for Avolar's customers."

"Avolar has been carefully studying the ultra-large cabin corporate jet market for two years", said Stuart Oran, Chief Executive Officer. "We have a solid business plan and now we have the right planes for the job. The Airbus Corporate Jetliner is ideal because it is a dedicated aircraft that can be configured to accommodate any type of clientele, from a private individual to a group of 40 business executives," he said. "We are delighted that Airbus and Avolar are now partners in this new business travel option that will be operated under the guidelines of FAR Part 121."

This major deal for the ACJ demonstrates the unmatched appeal of Airbus' product offering for the business aviation market. The ACJ can fly 12 executives in a luxurious layout up to 6,000 nm/6,900 sm, for example, enough to fly non-stop routes such as New Orleans-Geneva or London-Johannesburg. It can also carry 40 passengers in exclusive comfort up to 4,500 nm/5,175 sm. As a full-fledged member of Airbus' best-selling A320 family of airliners, the ACJ shares full commonality with all other Airbus fly-by-wire aircraft.

Offering the most modern and comprehensive airliner family in the world, Airbus is the joint number one manufacturer in the market for large commercial aircraft. With head quarters in Toulouse, France, Airbus is an EADS joint company with BAE SYSTEMS.

Avolar is a wholly-owned subsidiary of UAL Corporation, the parent company of United Airlines. Avolar's core business is the sale of fractional interests in business aircraft to individuals and corporations. It also plans to conduct a corporate shuttle business using the Airbus Corporate Jetliner. Under the terms of the agreement, Avolar would acquire these Airbus Corporate Jetliners on behalf of customers, which provide all of the money to purchase them (without the use of funds from Avolar).

Note to editors:

Avolar, launched in May of this year, is an investment of UAL Corporation that will provide a fractional business aircraft ownership program, corporate shuttle operations, aircraft management, and charter services. Aircraft deliveries and operations are scheduled to commence in the spring of 2002. New owners who purchase shares before then will be provided with interim lift using two Falcon 50EX aircraft and preferential charter arrangements.

Avolar orders aircraft and places the initial and progress deposits for the aircraft ordered. Prior to aircraft delivery, the owners who have purchased shares in the aircraft make full payment and take title in the aircraft directly from the manufacturer. Avolar manages the aircraft, including all maintenance and scheduling, as well as providing flight crews and cabin concierges, and all initial and recurrent training.