United we stand

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MARCEL FUCHS: United's managing director for Europe, Africa and the Middle East says Dubai offers attractions that other places do not.

In terms of the economy, management remains  positive.

"We have seen evidence of this [financial crisis] coming for a number of months throughout the year which is why we have been very disciplined in terms of where we fly to, so we can make sure that we can have the appropriate return after allocating these assets to the various markets," says Foland.

"We have announced substantial capacity cuts in our fleet this year in anticipation of such events occurring. Initially the rapid rise in fuel costs was a concern for not only us but the industry which was a catalyst for our fleet cutbacks."

Despite the dramatic fall in fuel prices, Foland refuses to become complacent. "When you really think about why oil prices have come down as much as they have, a degree of that has to do with real demand and the structure in the market place and the slowing economies in respect to that," he explains.

"And while we've all certainly benefited from the lower fuel costs we are competing in a market place with less demand than before the economy started to wane."

To keep costs down, the airline has launched several fuel conservation projects in the past few months. As part of the Asia and South Pacific Initiative to Reduce Emissions (ASPIRE), United has begun using up to the minute flight data, priority take off clearance, the opening of restricted air space and new arrivals procedures.

"It also deals with how aircraft ascend and descend from their cruising altitudes in for landing," says Foland.  "Evidence has shown that fuel costs can fall by 5-15% by implementing fuel conservation activities. We have more additional activities with the ground and supporting equipment for the aircraft itself."

Meanwhile, environmental concerns continue to occupy the airline's agenda. "We're very supportive of green efforts in the market place and 98% of our CO2 emissions are jet fuel- as is the case with most carriers," points out Foland.

"As such we take an interest in making sure we minimise the fuel we use and the emissions. Once again there's ground operation elements to the programme as well as in-flight operations to the programme, as well as waste management, recycling and conservation components."

At present, the airline, which is a founding member of Star Alliance, operates some 3000 flights a day to more than 200 destinations. And although the world's current financial outlook is gloomy, the carrier is determined to continue its modest growth.

"We've recently announced that we'll be launching a service to Geneva from Washington this year. That route will start on April 19 and we've also announced we'll be launching a new service from Washington Dulles to Moscow on March 27, both connecting to our main east coast gateway."

When asked if launch regions were chosen due to their lesser financial problems, Foland is clear. "I don't think any market in the world is immune or insulated from the current economic and financial climate.

"New services are a result of the high demand. Moscow in Russia, for example is a region our business passengers in particular are keen to fly to, and we respond accordingly."

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