Positive booking information moved United Airlines (NASDA:UAL) stock price on Monday (21%)Today, United Airlines, Inc. a wholly-owned subsidiary of United Airlines Holdings, Inc. reported that it continues to expect total adjusted capital expenditures for 2020 to be below $4.5 billion. The Company currently expects total adjusted capital expenditures for 2021 to be close to $2 billion. As previously disclosed, UAL plans to only take delivery of aircraft that are fully financed. In 2022, the Company does not expect to be required to take delivery of any new aircraft and expects that non-aircraft adjusted capital expenditures will not exceed $500 million.
In April, the Company experienced gross bookings that were down over 95% compared to April 2019, with customer cancellation rates reaching unprecedented highs.
As of May 18, 2020, the Company has seen a reduction in customer cancellation rates and a moderate improvement in demand in the Domestic United States and certain international destinations for the remainder of the second quarter of 2020. As such, UAL expects its scheduled capacity, relative to 2019 levels, for July 2020 to be down approximately 75%. Scheduled capacity for May and June 2020 were reduced by approximately 90% from 2019 levels. The Company plans to continue to proactively evaluate and cancel flights on a rolling 60-day basis until it sees signs of a recovery in demand.
United Airlines Holdings Inc (NASDAQ: UAL) stock is still very low compare to pre-corona times.