Collective Bargaining Agreement


Exchange Rates

February 28, 2012

Gregory E. Davidowitch, President
UAL/AFA Master Executive Council
Association of Flight Attendants-CWA
6250 North River Road, Suite 4020
Rosemont, IL 60018

Dear Mr. Davidowitch:

In the discussions leading to the 2012-2016 Agreement, the Company and the Association agreed to address foreign currency exchange rates for International Domicile Flight Attendant compensation in the manner addressed below:

The parties agreed that, whenever necessary, the following floor exchange rates will be utilized for Flight Attendant compensation purposes:

Domicile To $1 US
LHRSW .56 Pound Sterling
FRASW .79762 Euro
HKGSW 7.25 Hong Kong Dollar
NRTSW 101.0 Japanese Yen

The purpose of these floor exchange rates is to insure a minimum compensation level for Flight Attendants based at the International domiciles. If on the day payroll is calculated the actual exchange rate for any of the listed locations exceeds the floor rate, the higher rate will be utilized. On a semi-annual basis, the Company and the Association will review the use of these floor exchange rates for the prior year, to determine whether an adjustment is necessary. The Company will provide the Association with a monthly recap by domicile of the actual exchange rates used for each pay period.

If substantial fluctuation in any of the above listed currencies occurs as a result of political or governmental changes, the parties will immediately meet to discuss whether an adjustment is appropriate. The Union's recommendations will be considered in any final decision.



/s/ John D. Nelson                 

John D. Nelson
Managing Director Labor Relations -Inflight