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UNITED ACQUIRES PAN AM'S LATIN AMERICAN OPERATIONS

 UNITED ACQUIRES PAN AM'S LATIN AMERICAN OPERATIONS
 CHICAGO, Dec. 10 /PRNewswire/ -- United Airlines announced today it


has acquired the Latin American operations of Pan American World Airways plus other assets for $135 million in cash.
 United competed with other carriers for the assets in an auction conducted yesterday under the auspices of the U.S. Bankruptcy Court in New York.
 "This is a historic step for United and all of its employees," said Chairman and President Stephen M. Wolf. "Latin America is an important world travel market and one that we identified as key to our global expansion plans. We are looking forward to carrying on Pan American World Airways' pioneering tradition in this part of the world."
 The assets United acquired encompass Pan Am's Latin American operations including a network of international routes to Central and South America (with the exception of its route between New York Kennedy and Mexico City), rights to serve certain points in the Caribbean, the Miami-Paris route and airport takeoff/landing slots at Chicago's O'Hare International Airport, New York's Kennedy and La Guardia airports and Washington, D.C.'s National Airport.
 United also promised offers of employment to 1,000 former Pan Am employees over the next two years.
 United said it will draw from its current fleet of nearly 500 planes plus others on order from Boeing to fulfill its service needs when it launches flights on the former Pan Am routes. In 1992, United will take delivery of 25 737s, 6 747-400s, 25 757-200s and 10 767-300ERs.
 Key markets in the acquisition link major U.S. cities such as New York and Miami with large business destinations in South American countries such as Brazil, Argentina, Venezuela, Chile and Uruguay.
 The acquisition is subject to U.S. government approval and is contingent on United's obtaining an agreement with the Air Line Pilots Association confirming work rules in the establishment of a South American operation.
 For United, the purchase of Pan Am's Latin American operations will assure the carrier of a major presence in Central and South America in addition to its strong domestic route system and its growing Atlantic and Pacific divisions.
 United currently operates nearly 2,000 daily scheduled flights to 167 cities in the United States and overseas. It expects to increase capacity between 10 and 12 percent in 1992.
 The airline employs more than 80,000 persons in support of its global scheduled service.
 -0- 12/10/91
 /CONTACT: Lynn Martenstein, 708-952-4933, Joe Hopkins, 708-952-5770; or at night, 708-952-4088; or investors, Ann Thoma, 708-952-7501, all of United Airlines/
 (UAL) CO: United Airlines; Pan American World Airways ST: Illinois IN: AIR SU: TNM


JT -- NY063 -- 1184 12/10/91 16:12 EST
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Publication:PR Newswire
Date:Dec 10, 1991
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