SF Gate: United taking flight into low-fare skies/Southern California one of 14 destinations

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Thursday, September 18, 2003 (SF Chronicle)
United taking flight into low-fare skies/Southern California one of 14 dest=
inations
David Armstrong, Chronicle Staff Writer


   United Airlines on Wednesday said it will launch its long-awaited low-fa=
re
unit in February from Denver International Airport.
   The still-unnamed unit, which has used the code-name Starfish, will fly
initially to 14 locations, including one in California, before a rollout
nationally, United spokespeople said.
   Ontario International Airport, in Southern California, is the only
California destination among the original 14 destinations, which also
include Reno, Las Vegas, Phoenix, New Orleans and Tampa, Fla.
   The new unit is designed in part to recapture once-lucrative business
travelers, who have historically paid high walk-up fares and who have
defected in recent years to low-fare carriers to save on travel costs
during the three- year economic slump.
   United spokesman Jeff Green said San Francisco International Airport and
other Golden State airports will eventually get the new service, but he
would not supply a timetable.
   He also said United is not yet ready to reveal the name of the new unit,
which will compete with established low-cost carriers such as Southwest,
JetBlue, ATA, Air Trans and America West.
   United's new low-fare unit will also face a stiff challenge from discount
carrier Frontier Airlines in Denver.
   United, which has been operating under Chapter 11 bankruptcy protection
since December and has lost some $7 billion since late 2000, is the second
established network carrier to create its own low-fare arm, following
Delta Air Lines, which started Song in April.
   United said its new low-fare unit would operate with assigned seats and
sell on-board meals.
   E-mail David Armstrong at davidarmstrong@xxxxxxxxxxxxxxxx=20
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Copyright 2003 SF Chronicle

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