United Continental Holdings Inc. (UAL): Altimeter Capital Management Reaches Agreement with Company

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As revealed in a recent 13D filing with the US SEC,  Brad Gerstner‘s Altimeter Capital Management entered into a settlement agreement with the United Continental Holdings Inc. (NYSE:UAL) together with  Paul Reeder and Edward Shapiro‘s PAR Capital Managementunder the terms of which the fund granted to retreat its notice of nomination sent to the company in March current year, and the board agreed to increase its size to 17 directors and appoint Edward Shapiro, Barnaby Harford. The company will as well include Messrs. Shapiro and Harford in its slate of nominees for election to the Board of Directors at the 2016 annual meeting of stockholders and will plead in their favor. United Continental Holdings Inc. (NYSE:UAL) also granted to agree mutually with the Altimeter Capital Management to determine and appoint a new independent director to the board. Altimeter Capital Management owns 11.51 million shares of United Continental Holdings Inc. (NYSE:UAL), which account for 3.2% of the company’s outstanding stock.

United Continental Holdings Inc. (NYSE:UAL) is a holding company that offers a broad specter of transportation services mainly through its fully owned subsidiary – United Air Lines. Over the last 12 months, the company’s shares have dropped by 4.7%. For the fourth quarter of 2015, the company reported revenue of $9.04 billion and EPS of $2.54, versus slightly higher estimates of $9.11 billion and $2.62, respectively.

At the end of 2015, 73 investors, among those followed by Insider Monkey, were bullish on this stock, including Altimeter Capital Management with the biggest position, worth about $610.2 million. The second largest stake was held by  PAR Capital Management, and other investors that reported long positions in this stock are Cliff Asness’s AQR Capital Management, Thomas E. Claugus’ GMT Capital and Donald Chiboucis’s Columbus Circle Investors.

Hedge funds that have lost interest in this stock, and cut off their shares are Will Snellings’ Marianas Fund Management, which dropped the biggest position, worth about $74.3 million, Mike Masters’s Masters Capital Management, which dumped about 57.3 million worth of shares.

You can access the original SEC filing by clicking here.

Ownership Summary Table

Name Sole Voting Power Shared Voting Power Sole Dispositive Power Shared Dispositive Power Aggregate Amount Owned Power Percent of Class
ALTIMETER CAPITAL MANAGEMENT 0 11,509,268 0 11,509,268 11,509,268 3.2%
ALTIMETER PARTNERS FUND 0 11,509,268 0 11,509,268 11,509,268 3.2%
BRAD GERSTNER 0 11,509,268 0 11,509,268 11,509,268 3.2%
BARNABY HARFORD 40,000 0 40,000 0 40,000 Less than 0.1%

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Page 1 of 8 – SEC Filing

Washington, D.C. 20549
(Amendment No. 2)*
Under the Securities Exchange Act of 1934

United Continental
Holdings, Inc.

(Name of Issuer)

Common Stock,
par value $0.01 per share

(Title of Class of Securities)


(CUSIP Number)

Altimeter Capital Management, LP

One International Place

Suite 2400

Boston, MA 02110

with a copy to:

Marc Weingarten, Esq.

Eleazer Klein, Esq.

Schulte Roth & Zabel LLP

919 Third Avenue

New York, New York 10022

(212) 756-2000

(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)

April 19,

(Date of Event Which Requires Filing of This Statement)

If the filing person has previously filed a statement on Schedule
13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of Rule 13d-1(e), Rule
13d-1(f) or Rule 13d-1(g), check the following box. [ ]

(Page 1 of 8 Pages)


* The remainder of this cover page shall be filled out for a reporting
person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing
information which would alter disclosures provided in a prior cover page.

The information required on the remainder of this cover page shall
not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934 (“Act”)
or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however,
see the Notes).

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