United Airlines 2010 Annual Report Download - page 32

Firm Order and Option Aircraft.
As of December 31, 2010, United and Continental had firm commitments and options to purchase the
following aircraft:
• Firm commitments to purchase 125 new aircraft (50 Boeing 737 aircraft, 50 Boeing 787 aircraft and 25
Airbus A350XWB aircraft) scheduled for delivery from 2011 through 2019. Of these commitments,
four Boeing 737 aircraft are scheduled to be delivered in 2011. UAL has not received a revised Boeing
787 aircraft delivery schedule from Boeing, but it currently expects the first of its Boeing 787 aircraft
to be delivered in the first half of 2012;
• Purchase options for 94 additional Boeing 737 and 787 aircraft, and 42 Airbus A319 and A320 aircraft;
and
• Purchase rights for 50 Boeing 787 aircraft and 50 Airbus A350XWB aircraft.
See Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations, and
Note 17 in Item 8 of this report for information related to future capital commitments to purchase these aircraft.
Facilities
United’s and Continental’s principal facilities relate to leases of airport facilities, gates, hangar sites,
terminal buildings and other airport facilities in most of the municipalities they serve with their most significant
leases at airport hub locations. United has major terminal facility leases at SFO, Washington Dulles, Chicago
O’Hare, LAX and Denver with expiration dates ranging from 2011 to 2025. Continental has major facility leases
at New York Liberty, Houston Bush, Cleveland Hopkins and Guam with expiration dates ranging from 2011
through 2030. Substantially all of these facilities are leased on a net-rental basis, resulting in the Company’s
responsibility for maintenance, insurance and other facility-related expenses and services.
United and Continental also maintain administrative offices, terminal, catering, cargo and other airport
facilities, training facilities, maintenance facilities and other facilities to support operations in the cities served.
United also has multiple leases, which expire from 2022 through 2026 and include approximately 890,000 square
feet of office space for its corporate headquarters and operations center in downtown Chicago. Continental also
leases approximately 670,000 square feet of office and related space for its executive and other offices and
operations center in downtown Houston.
United also owns a 66.5-acre complex in suburban Chicago consisting of more than 1 million square feet of
office space, including a computer operations facility and a training center. The Company is in the process of
moving most its employees out of this location to its leased facilities in downtown Chicago. Most of the
operations in suburban Chicago are expected to be relocated by the end of 2011. United is attempting to sell the
suburban facility as part of its plans to relocate employees to its downtown Chicago facilities.
United owns a flight training center in Denver. The flight training center accommodates 36 flight simulators
and more than 90 computer-based training stations. United also owns a crew hotel in Honolulu which is
mortgaged. United’s maintenance operation center at SFO occupies 130 acres of land, 2.9 million square feet of
floor space and nine aircraft hangar bays under a lease expiring in 2013. United has an option to renew the lease
through 2023.
For additional information on aircraft and aircraft-related assets that are encumbered by debt agreements,
aircraft leases, guarantees relating to facilities, including Continental’s contingent liability for US Airways’
obligations under a lease agreement covering the East End Terminal at LaGuardia, see Notes 14, 15 and 17 to the
financial statements in Item 8 of this report.
30