United we stand

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FLEET: United is careful about the types of aircraft it purchases and dispels the view that carriers are unable to afford new, more efficient planes.

As the global credit crunch continues to claim victims, America's second largest airline is determined not to be among the casualties.

In the face of economic recession United Airlines has been forced to make substantial fleet reductions and cut some 1100 jobs. But following the carrier's recent launch into Dubai, senior vice president, Jeff Foland, is resolute that United will continue to fly the flag.

The operations from Washington Dulles to the UAE, which began at the end of October, have already proved popular. "We are pleased and encouraged by the performance we've achieved on this particular route," says Foland.

"We remain confident that it's a good market for our business. The market segments in this area are pretty clear; they include oil, energy, construction, contractors, government and military, which are all sectors we can do business with," he adds.

However, given the current financial climate, Foland is careful not to jump the gun. "We all recognise that we're in an interesting and challenging time on an economic basis right now," he says.

"We will continue to add international routes but will do so on a very disciplined basis. We've been disciplined about what type of aircraft we fly in the market place, where we fly and the staff numbers we need to operate the airline as efficiently and productively as we can."

The Dubai service marks the second Middle East destination for the carrier, which began operations to Kuwait in 2007. Realising the region was a lucrative market with plenty of room for development; management increased the thrice-weekly flights to a daily service last year.

"We saw how quickly the area was growing and Kuwait provided very nice revenue opportunities for us," explains Foland. "That route was certainly a launching point for us to expand our service to the region at large."

The carrier chose Dubai, rather than neighbouring capital city, Abu Dhabi, for several reasons. "We very much want to benefit from the strategic position of Dubai; it does well in terms of business and tourism" explains Marcel Fuchs, United's managing director for Europe, Africa and the Middle East.

"I think overall Dubai just offers that mix of attractions that other places are still working on so it felt like the natural choice." In addition, market research enabled the airline to make its final decision. "Our customers guided us to where they would like to fly in the Middle East which worked quite well for us," says Foland.

Henry Harteveldt, vice president and principal analyst for Forrester, airline travel research, argues that US carriers are operating less fuel efficient aircraft than other markets, such as the Middle East.

And as a result of the financial downturn, which has hit America harder than elsewhere in the world, carriers are unable to afford new, more efficient planes. Foland dispels this argument, saying: "I think our fleet is holding up fine. We always allocate the appropriate aircraft type for the markets we fly. In addition we have a relatively young fleet and are careful about the new types of aircraft we purchase."

At present, United operates Boeing 747s, 647s and 777s on its international flights. "In the Dubai market place we fly the 777," says Foland.

"It has 10 United first suites, 45 business seats and 198 economy seats, of which 84 are economy plus which is our premium economy seating."

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