PRESS RELEASE: Atlantic Coast Air Updates Talks With Utd Air
Dow Jones News Service via Dow Jones
Atlantic Coast Airlines Update on Negotiations With United Airlines, Inc.
DULLES, Va., July 2 /PRNewswire-FirstCall/ -- Atlantic Coast Airlines, the
Dulles, VA-based United Express regional carrier (ACA) (Nasdaq: ACAI) today
announced the following with regard to its United Express program.
The Company has been engaged in discussions periodically with United Airlines,
Inc. related to the terms of a new agreement to replace the existing United
Express Agreements between the parties. Although the Company and United have
recently exchanged proposals, the parties were unable to reach an agreement on
terms the Company believes acceptable during their last discussions on June 30.
The Company continues to develop contingency plans to allow it to establish an
alternative to the United business in the event that satisfactory arrangements
for future United Express service cannot be agreed with United. The Company
would pursue such an alternative if it is considered by management to offer more
favorable prospects than offered by United. The Company cannot predict the
timing or outcome of any decision by United with respect to the Company's code
share arrangements.
Statements in this press release and by Company executives regarding its
relationship with United Airlines, Inc. and the implementation of alternative
business plans, as well as regarding projections and expectations of future
aircraft deliveries, availability of financing, future payments by United,
operations, earnings, revenues and costs represent forward-looking information.
A number of risks and uncertainties exist which could cause actual results to
differ materially from these projected results. Such factors include, among
others: United's decision to elect either to affirm all of the terms of the
Company's United Express Agreement, or to reject the agreement in its entirety,
the timing of such decision, efforts by United to negotiate changes prior to
making a decision on whether to affirm or reject the contract, the ability and
timing of agreeing upon rates with United, the Company's ability to collect
pre-petition obligations from United or to offset pre-petition obligations due
to United, the Company's ability to collect post- petition amounts it believes
are due from United for rate adjustments and United's ability to successfully
reorganize and emerge from bankruptcy; the continued financial health of Delta
Air Lines, Inc.; changes in levels of service agreed to by the Company with its
code-share partners due to market conditions, and willingness of finance parties
to continue to finance aircraft in light of the United situation and of market
conditions generally, the ability of these partners to manage their operations
and cash flow, and ability and willingness of these partners to continue to
deploy the Company's aircraft and to utilize and pay for scheduled service at
agreed upon rates; general economic and industry conditions; additional acts of
war; and risks and uncertainties arising from the events of September 11, the
impact of the outbreak of Severe Acute Respiratory Syndrome on travel and from
the slow economy, any of which may impact the Company, its code-share partners,
and aircraft manufacturers in ways that the Company is not currently able to
predict. These and other factors are more fully disclosed under "Risk Factors"
and "Management's Discussion and Analysis of Financial Condition and Results of
Operations" in ACAI's Annual Report on Form 10-K for the year ended December 31,
2002 and in its Quarterly Report on Form 10-Q for the three-month period ended
March 31, 2003. These statements are made as of July 2, 2003 and ACA undertakes
no obligation to update any such forward-looking information, even in the event
that the status of its negotiations with United changes, or as a result of any
other new information, future events, changed expectations or otherwise.
ACA operates as United Express and Delta Connection in the Eastern and
Midwestern United States as well as Canada. The Company has a fleet of 148
aircraft -- including a total of 118 regional jets -- and offers over 840 daily
departures, serving 84 destinations.
Atlantic Coast Airlines employs over 4,800 aviation professionals. The common
stock of parent company Atlantic Coast Airlines Holdings, Inc. is traded on the
Nasdaq National Market under the symbol ACAI. For more information about ACA,
visit our website at www.atlanticcoast.com.
SOURCE Atlantic Coast Airlines
/CONTACT: Rick DeLisi, Director, Corporate Communications, of Atlantic
Coast Airlines, +1-703-650-6550/
/Web site: http://www.atlanticcoast.com/
(ACAI)
CO: Atlantic Coast Airlines; United Airlines, Inc.
ST: Virginia
IN: AIR TRA LEI TRN
SU:
(END) Dow Jones Newswires
07-02-03 0906ET
- - 09 06 AM EDT 07-02-03
DJBTviaNewsEdge
:TICKER: ACAI UALAQ
:SUBJECT: AIR HYBM IL VA
Copyright (c) 2003 Dow Jones and Company, Inc.
Received by NewsEDGE/LAN: 7/2/03 9:02 AM
Dow Jones News Service via Dow Jones
Atlantic Coast Airlines Update on Negotiations With United Airlines, Inc.
DULLES, Va., July 2 /PRNewswire-FirstCall/ -- Atlantic Coast Airlines, the
Dulles, VA-based United Express regional carrier (ACA) (Nasdaq: ACAI) today
announced the following with regard to its United Express program.
The Company has been engaged in discussions periodically with United Airlines,
Inc. related to the terms of a new agreement to replace the existing United
Express Agreements between the parties. Although the Company and United have
recently exchanged proposals, the parties were unable to reach an agreement on
terms the Company believes acceptable during their last discussions on June 30.
The Company continues to develop contingency plans to allow it to establish an
alternative to the United business in the event that satisfactory arrangements
for future United Express service cannot be agreed with United. The Company
would pursue such an alternative if it is considered by management to offer more
favorable prospects than offered by United. The Company cannot predict the
timing or outcome of any decision by United with respect to the Company's code
share arrangements.
Statements in this press release and by Company executives regarding its
relationship with United Airlines, Inc. and the implementation of alternative
business plans, as well as regarding projections and expectations of future
aircraft deliveries, availability of financing, future payments by United,
operations, earnings, revenues and costs represent forward-looking information.
A number of risks and uncertainties exist which could cause actual results to
differ materially from these projected results. Such factors include, among
others: United's decision to elect either to affirm all of the terms of the
Company's United Express Agreement, or to reject the agreement in its entirety,
the timing of such decision, efforts by United to negotiate changes prior to
making a decision on whether to affirm or reject the contract, the ability and
timing of agreeing upon rates with United, the Company's ability to collect
pre-petition obligations from United or to offset pre-petition obligations due
to United, the Company's ability to collect post- petition amounts it believes
are due from United for rate adjustments and United's ability to successfully
reorganize and emerge from bankruptcy; the continued financial health of Delta
Air Lines, Inc.; changes in levels of service agreed to by the Company with its
code-share partners due to market conditions, and willingness of finance parties
to continue to finance aircraft in light of the United situation and of market
conditions generally, the ability of these partners to manage their operations
and cash flow, and ability and willingness of these partners to continue to
deploy the Company's aircraft and to utilize and pay for scheduled service at
agreed upon rates; general economic and industry conditions; additional acts of
war; and risks and uncertainties arising from the events of September 11, the
impact of the outbreak of Severe Acute Respiratory Syndrome on travel and from
the slow economy, any of which may impact the Company, its code-share partners,
and aircraft manufacturers in ways that the Company is not currently able to
predict. These and other factors are more fully disclosed under "Risk Factors"
and "Management's Discussion and Analysis of Financial Condition and Results of
Operations" in ACAI's Annual Report on Form 10-K for the year ended December 31,
2002 and in its Quarterly Report on Form 10-Q for the three-month period ended
March 31, 2003. These statements are made as of July 2, 2003 and ACA undertakes
no obligation to update any such forward-looking information, even in the event
that the status of its negotiations with United changes, or as a result of any
other new information, future events, changed expectations or otherwise.
ACA operates as United Express and Delta Connection in the Eastern and
Midwestern United States as well as Canada. The Company has a fleet of 148
aircraft -- including a total of 118 regional jets -- and offers over 840 daily
departures, serving 84 destinations.
Atlantic Coast Airlines employs over 4,800 aviation professionals. The common
stock of parent company Atlantic Coast Airlines Holdings, Inc. is traded on the
Nasdaq National Market under the symbol ACAI. For more information about ACA,
visit our website at www.atlanticcoast.com.
SOURCE Atlantic Coast Airlines
/CONTACT: Rick DeLisi, Director, Corporate Communications, of Atlantic
Coast Airlines, +1-703-650-6550/
/Web site: http://www.atlanticcoast.com/
(ACAI)
CO: Atlantic Coast Airlines; United Airlines, Inc.
ST: Virginia
IN: AIR TRA LEI TRN
SU:
(END) Dow Jones Newswires
07-02-03 0906ET
- - 09 06 AM EDT 07-02-03
DJBTviaNewsEdge
:TICKER: ACAI UALAQ
:SUBJECT: AIR HYBM IL VA
Copyright (c) 2003 Dow Jones and Company, Inc.
Received by NewsEDGE/LAN: 7/2/03 9:02 AM
