=20 ---------------------------------------------------------------------- This article was sent to you by someone who found it on SFGate. The original article can be found on SFGate.com here: http://www.sfgate.com/cgi-bin/article.cgi?file=3D/n/a/2007/05/17/financial/= f163653D52.DTL --------------------------------------------------------------------- Thursday, May 17, 2007 (AP) United Airlines' parent UAL to trim 2007 domestic capacity (05-17) 16:36 PDT Chicago (AP) -- United Airlines' parent company UAL Corp. said Thursday it will trim its 2007 mainline domestic capacity by up to 3 percent from prior-year levels as it adjusts to flagging growth in domestic traffic. The company said it will move some capacity to international routes, whi= ch have recently performed better than domestic routes. For example, United is adding Los Angeles-Hong Kong and Washington-Rio de Janeiro service in the fall. For the full year 2007, UAL said mainline domestic capacity will fall 2 percent to 3 percent from 2006 levels, while international mainline capacity will grow 3 percent to 4 percent. "Given the domestic market's slow revenue growth and excess capacity, we believe that removing marginal domestic capacity is the appropriate response," Chief Revenue Officer John Tague said in a statement. Analysts recently have said the airline industry would do well to cut ba= ck on domestic capacity, as results have begun to sputter. By limiting the number of available seats, the industry can boost its unit revenue and gain more pricing power. UAL executives had disclosed their intentions to cut capacity last month when announcing a first-quarter loss of $152 million. Shares in the company rose $1.01, or 2.9 percent, to $35.63 Thursday. Th= ey have ranged between $21.90 and $51.57 over the past year. -----------------= ----------------------------------------------------- Copyright 2007 AP <<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>> If you wish to unsubscribe from the AIRLINE List, please send an E-mail to: "listserv@xxxxxxxxxxxxxxxxx". Within the body of the text, only write the following:"SIGNOFF AIRLINE".