United pilots contract, MOU 17-01 — Administration of LTD Payroll Deductions

1. Commencing with the LTD Plan Year beginning January 1, 2018, and continuing for each Plan Year thereafter while this MOU remains in effect, Participant payroll deductions for LTD contributions for the Plan Year will be computed using an “Annual Benefits Base Rate” (“ABBR”). Once established each Plan Year, the ABBR shall remain in effect for the remainder of the Plan Year, without regard to any increase or decrease in the Pilot’s actual pay rate during the course of the Plan Year. Thus, any changes to pay rates throughout the Plan Year will not affect the amount of Participant LTD Plan contributions for that Plan Year.

2. The annual LTD valuation performed each year by the Plan Actuary will continue to determine the required contributions based on the Original Procedures. In addition, so long as this MOU remains in effect, the Plan Actuary will annually determine the additional expense to the Plan associated with the new ABBR Methodology (the “ABBR Expense”), utilizing for such determination actuarial assumptions and methodology approved by the Administrative Committee of the Plan. To the extent that the difference between the Plan’s administrative expenses for actuarial valuation purposes utilizing the Original Procedures and the Plan’s administrative expenses after inclusion of the ABBR Expense is greater than zero, the Company will reimburse the Plan an amount equal to such difference, with interest equal to the Plan’s assumed rate of investment return as in effect from time to time. Such reimbursement shall be transmitted by the Company to the Trust concurrent with Company required contributions.

3. The parties recognize that adoption of the ABBR Methodology for purposes of administration of Pilot contribution payroll deductions by the Company primarily benefits the Company and that, without the methodology adopted under this MOU, would entail additional administrative expense to the Plan, a portion of which additional expense would necessarily be passed through to participating Pilots. The purpose of this MOU is to ensure that the administrative burden on the Company can be fairly ameliorated without imposing additional expense to the Plan or to participating Pilots. Accordingly, it is expressly understood that adoption of the ABBR Methodology with Company reimbursement of all ABBR Expenses, shall not adversely affect Plan funding requirements, Company or Pilot contributions to the Plan, Pilot imputed income derived from Company contributions, the amount of benefits payable to participating Pilots or the tax-free character of such benefits.

4. The amount of Pilot benefits under the LTD Plan shall be based on the greater of: (i) actual Pilot compensation or (ii) the ABBR, as in effect on the Pilot’s date of disability as determined by the Administrative Committee.

5. This Memorandum of Understanding shall become effective upon signing and shall run concurrent with the provisions of Section 25 of the basic Agreement, provided, however, that, by written notice delivered not later than November 1 of any year subsequent to the effective date of the MOU, either party may withdraw from this agreement, for any reason whatsoever, effective January 1 of the following year. The notifying party will fund the actual cost of reversing the administrative change.

IN WITNESS HEREOF, the parties have executed this Memorandum of Understanding this 25th day of October, 2017.

FOR UNITED AIRLINES, INC. FOR THE UNITED MASTER EXECUTIVE COUNCIL

Richard Mayes Captain Todd Insler, Chairman Managing Director United Airlines MEC Health and Welfare Air Line Pilots Association, International

P. Douglas McKeen Senior Vice President Labor Relations