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Author: abecassis Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 610  
Subject: UAL Emergency Plan in 12 points Date: 10/26/2001 8:57 AM
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Recommendations: 4
1. Improve Customer Service, focusing on following Value Proposition:
1.1. Benefit for Business customer: drastic reduction of UAL flight delays.
1.2. Benefit for all customers: serving good quality meals in eco & first class.
1.3. Benefit For Tourism market segment: equip eco seats with free entertainment facilities (video, gaming) + casino gambling (this money will flow right into the Cash Flow !).
1.4. Have special program for families travelling with children.

2. Marketing campaign on all of the above.

3. Incentive program for sales channel: ticket agents, Travel brokers, online travel agencies.

4. Implement superior security measures, noticeable and in the background. Let each customer know about the noticeable ones via mail. Security measures example. Noticeable: double security door in each plane to access to the cockpit. Non-noticeable: each bag X-rayed and computer recorded before loading in the plane, security officer randomly on board of the planes in civilian clothing, planes celled during night parking, etc.

5. Seek for new flight route between connections not well served by competition.

6. Cut 10% Top salaries for 1 year. Index bonus to EBITDA.

7. Eliminate distinction between First and Business Class, rename Business Class as First Class, make all Business Class seats becoming 180 deg. seats. and increase 20% Business passengers prices.

8. Create a special UAL Jet service for former First Class passengers, outside of the normal boarding procedures.

9. Establish new partnership programs with other airlines (also inside USA) to focus on most profitable segments with reduced competition.

10. Reduce long term debt, increase Account Payable to improve Cash Flow. Lease planes instead of buying them to improve Return on Equity.

11. Outsource non strategic activities, including part of IT.

12. Offer UAL shares in UAL frequent flyer program.
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