OREANDA-NEWS. United Airlines will hold a conference call to discuss full-year and fourth-quarter 2014 financial results on Thursday, Jan. 22, at 9:30 a.m. CT/10:30 a.m. ET.

The webcast will be available for replay within 24 hours of the conference call and then archived on the website for a limited time. 

Fourth-Quarter Special Charges

The company expects to record special charges of \\$226 million (\\$232 million before income taxes) for the fourth quarter of 2014. Details are as follows (in millions):

Three Months Ended

Dec. 31, 2014

Severance and benefit costs

\\$141

Integration-related costs

17

Impairment of assets

16

Other special charges

5

            Subtotal special charges recorded as part of Operating Expense

179

Non-operating loss on extinguishment of debt and other, net

53

            Subtotal special charges

232

Income tax benefit

6

            Total special charges, net of income taxes

\\$226

Severance and benefit costs: The company recorded \\$141 million of costs related primarily to a voluntary early-out program for its flight attendants.  More than 2,500 participants elected a one-time opportunity to voluntarily separate from the Company and will receive a severance payment, with a maximum value of \\$100,000 per participant, based on years of service, with retirement dates from Nov. 30, 2014 through the end of 2015.  The company will record additional expense associated with this program through 2015 over the remaining required service periods.

Integration-related costs: Integration-related costs include compensation costs related to systems integration and training. 

Impairment of assets: The company recorded a charge of \\$16 million (\\$10 million net of related income tax benefits) related to its annual assessment of impairment of its indefinite-lived intangible assets (primarily international Pacific routes).

Loss on extinguishment of debt and other special charges, net: On Oct. 10, 2014, United used cash to retire, at par, the entire \\$248 million principal balance of the 6% Convertible Junior Subordinated Debentures and the 6% Convertible Preferred Securities, Term Income Deferrable Equity Securities (TIDES). The \\$53 million expense is primarily associated with the write off of non-cash debt discounts recorded on the TIDES due to purchase accounting during the merger with Continental Airlines in 2010.