United Airlines' Los Angeles-Shanghai Route Would Bring Up to $647 Million, 3,120 Jobs to Regional Economy
Posted on: Thursday, 2 August 2007, 15:13 CDT
LOS ANGELES, Aug. 2 /PRNewswire-FirstCall/ -- The Los Angeles region will benefit significantly from proposed nonstop airline service to Shanghai, according to city estimates released today.
The City of Los Angeles projects that if awarded, a daily, nonstop United Airlines flight from Los Angeles-to-Shanghai would contribute $647 million annually in economic output for the region's economy, including $164 million in wages and 3,120 direct and indirect jobs.
In a letter to U.S. Transportation Secretary Mary Peters, Governor Schwarzenegger urged the Department of Transportation to recognize the tremendous economic benefit of a flight from Los Angeles to Shanghai.
"United's proposed routes will mean significant economic benefits to both China and the United States," Schwarzenegger wrote. "China is our country's fourth largest trading partner, and California is a leading U.S. gateway for trade with China, making the state an ideal choice for increased ties to China."
While the demand for flights to China is increasing, Los Angeles remains the largest metropolitan area in the country without nonstop service to China from a U.S. carrier.
Los Angeles Mayor Antonio Villaraigosa said the case for a nonstop flight between Los Angeles and Shanghai is compelling, given the economic strength and potential of both cities.
"The ties between Los Angeles and China are extensive. Los Angeles established record levels of trade with China in 2006, with more than $118 billion in goods flowing between the US and China through LAX and the Port of Los Angeles," Villaraigosa wrote in his own letter to Secretary Peters. "United Airlines' proposed service will help western based businesses meet the rapidly rising demand for access to markets in China."
The U.S. Department of Transportation is expected to decide in the fall where the route will be awarded. Los Angeles -- the fastest growing aviation market to Shanghai -- has more traffic to Shanghai than any other U.S. metro area.
About United
United Airlines operates more than 3,600* flights a day on United, United Express and Ted to more than 200 U.S. domestic and international destinations from its hubs in Los Angeles, San Francisco, Denver, Chicago and Washington, D.C. With key global air rights in the Asia-Pacific region, Europe and Latin America, United is one of the largest international carriers based in the United States. United also is a founding member of Star Alliance, which provides connections for our customers to 855 destinations in 155 countries worldwide. United's 55,000 employees reside in every U.S. state and in many countries around the world. News releases and other information about United can be found at the company's Web site at united.com.
* Based on the flight schedule between Jan. 1, 2007 and Dec. 31, 2007.
United Airlines
CONTACT: Worldwide Press Office of United Airlines, +1-312-997-8640
Web site: http://www.united.com/
Source: PRNewswire-FirstCall
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