Question 1. The Financial Health of United Airlines Headquartered in the United States, United Airlines is among the largest airlines in the country with more than 48,000 employees. The company has continued to offer good services to customers so it is expanding day by day. However, according to Chicago Business (2011), the company's revenue growth slows down every year, which indicates that the company is likely to suffer some losses in the years to come. The company increased its rate in the second quarter of 2011 by 9.9% due to an 11.5% increase in revenue. The company's shares also fell by 10%, then traded at $22.65. This is a clear indication that the company's financial health is worsening. In 2008, United Airlines decided to fire 950 pilots from their positions in an effort to maximize profits. This is a result of slow growth in the economy and rising jet fuel prices. At the same time the management also announced a reduction in the number of flights and also grounded around 100 planes. In this process 1,600 people lost their jobs (Fre...
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