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UNITED AIRLINES' CHICAGO-LONDON ROUTE WILL IMPROVE COMPETITION AND MAXIMIZE PUBLIC BENEFITS

 CHICAGO, April 19 /PRNewswire/ -- As the U.S. Department of Transportation (DOT) evaluates United Airlines' bid to operate a Chicago-London route, it must decide whether it will seize the opportunity to put U.S. aviation rights to their best and highest use or allow the authority to be ensnared in gridlock while the United States negotiates an entirely new aviation agreement with the United Kingdom. In its reply to comments by other carriers, filed today with the DOT, United urged the agency to bring the benefits of competition to the traveling and shipping public by approving United's application to transfer USAir's Philadelphia-London route authority to the Chicago- London Heathrow market.
 "United believes that this is a time for action, for considering, approving, and promptly implementing competitive service proposals which will counteract British Airways' new-found inroads into the U.S. market," United said in its filing.
 "The United/USAir proposal furthers the Clinton administration's commitment to change and tearing down institutional gridlock ...," United said. "The opposing carriers' positions will, in contrast, produce more of the same -- delay, protracted disputation, underutilized or unutilized international rights. These are the ingredients for diminished public service and competition from which British Airways and British, not U.S., workers, will be the long-term beneficiaries."
 United reached agreement March 29 with USAir to acquire the carrier's Philadelphia-London route on the condition that the route authority be transferred to the Chicago-London Heathrow market. Following United's action, a number of other U.S. carriers filed applications with the DOT to obtain the London routes USAir is required to relinquish and effectively block United's attempt to bring competitive balance to the U.S.-U.K. market.
 United emphasized that there is no reason to delay the public benefits that will be realized from United serving the Chicago-London Heathrow market.
 "Indeed, such delay would only prolong the imbalance in the U.S.- U.K. relationship created by the recent approval of the USAir/British Airways relationship," United pointed out.
 "United is prepared to begin to redress that imbalance now and it should be allowed to do so."
 United's proposed service between Chicago's O'Hare International Airport and London's Heathrow Airport would commence July 15. The carrier will fly the route using Boeing 747 aircraft.
 -0- 4/19/93
 /CONTACT: Joe Hopkins, corporate communications, 708-952-5770, or night, 708-952-4088, or Pamela Hanlon, investor relations, 708-952-7501, both of United Airlines/
 (UAL)


CO: United Airlines ST: Illinois IN: AIR SU: PDT

TM -- NY118 -- 7673 04/19/93 18:39 EDT
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Publication:PR Newswire
Date:Apr 19, 1993
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