United Leverages MileagePlus Program for $5 Billion in Liquidity

United Airlines today announced that it plans on using its MileagePlus frequent flyer program as collateral to secure a $5-billion loan, which would enable the company to boast an expected $17 billion in total liquidity by the end of 2020’s third quarter.

This figure also factors in an anticipated $4.5 billion to be made available to the carrier through the U.S. government’s ‘Coronavirus Aid, Relief, and Economic Security Act’ (CARES Act) Loan Program, for which United, “believes it has sufficient slots, gates and routes collateral available to meet the collateral coverage that may be required,” according to today’s statement.