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Bankruptcy Filing Won?Harm United Airlines?China Business


11-Dec-2002 -
United Airlines operations in China continued normally following the company's filing for bankruptcy on Monday. "The company's reorganization in the United States will not affect its ability to continue its operations in China," said Sidney Kwok, United Airlines general manager for China. According to Kwok, United Airlines is working hard to resolve the challenges currently facing the company. In the meantime, business will go on as usual. United Airlines filed for bankruptcy protection under Chapter 11, part of US Legal Code. The aim is to reorganize and strengthen its operations and finances. The company offers 42 flights for Chinese travelers a week from Beijing, Shanghai and Hong Kong to major US cities. It is the biggest US-based airline in the Chinese market. The current challenges are not expected to affect United's profitable operations in China, and the labor cost savings plan announced on November 18, does not affect operations in China. The popular routes from China to the US are some of the most successful among United Airlines global operation. "The news hasn't show its effect on the ticket booking yet," said an official, identified as Gu, from the booking department of China International Travel Service. He estimated that there should not be any change as long as United Airlines maintains all its flights services in China. Customers who had a clear idea about Chapter 11 would not bother themselves when booking an air ticket, Gu said.
11-Dec-2002 -

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