Business & Tech

United Flight Fiasco: Airline CEO Apologizes Again, Vows To 'Fix What's Broken'

PLUS: Stock falls | Doctor dragged from plane still in hospital | No guns for aviation cops: Chicago alderman.

CHICAGO, IL — United Airlines CEO Oscar Munoz vowed to "fix what's broken so this never happens again" in the second public apology the exec has made in the aftermath of a passenger being violently pulled from an overbooked Chicago-to-Louisville flight. The passenger, a doctor from Kentucky, was one of four people randomly chosen to be bumped from a flight Sunday night out of O'Hare International Airport so that airline employees could fly. When he refused, a Chicago airport security officer forcibly dragged the passenger down the aisle of the plane.

Since the incident, Munoz and United have been attempting to navigate — in many cases, not very successfully — through the public relations minefield they've found themselves embroiled in. The CEO's second statement looks to undo earlier missteps by issuing a more forceful apology for what transpired.

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"The truly horrific event that occurred on this flight has elicited many responses from all of us: outrage, anger, disappointment," Munoz said in the statement released Tuesday. "I share all of those sentiments, and one above all: my deepest apologies for what happened."

Although Munoz released an apology Monday, it was brief and measured, calling the incident an "upsetting event." The public statement then was followed by an email of support sent to United employees that some criticized for defending the actions taken.

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"Our employees followed established procedures for dealing with situations like this," the email stated. "While I deeply regret this situation arose, I also emphatically stand behind all of you, and I want to commend you for continuing to go above and beyond to ensure we fly right."

The following is the complete text of Munoz's apology released Tuesday:

Dear Team,
The truly horrific event that occurred on this flight has elicited many responses from all of us: outrage, anger, disappointment. I share all of those sentiments, and one above all: my deepest apologies for what happened. Like you, I continue to be disturbed by what happened on this flight and I deeply apologize to the customer forcibly removed and to all the customers aboard. No one should ever be mistreated this way.
I want you to know that we take full responsibility and we will work to make it right.
It's never too late to do the right thing. I have committed to our customers and our employees that we are going to fix what's broken so this never happens again. This will include a thorough review of crew movement, our policies for incentivizing volunteers in these situations, how we handle oversold situations and an examination of how we partner with airport authorities and local law enforcement. We'll communicate the results of our review by April 30th.
I promise you we will do better.
Sincerely,
Oscar

United Stock Drops

Whatever minor gains United Continental Holdings Inc. stock made by market close Monday had vanished by the closing bell Tuesday, as shares dropped 1.1 percent in the wake of the viral video footage of the United Airlines flight incident. The stock entered Tuesday down as much as 6 percent premarket and was falling 3.7 percent in early morning trading, according to MarketWatch. Shares of the airline were up 0.9 percent at the end of trading Monday, which added around $200 million to the airline's market capitalization, the report stated.

Tuesday's drop meant United lost around $255 million of its $22.5 billion market cap by the end of the trading day, the report stated. Traders seemed to be initially unfazed by United's latest media fiasco. But concern that the carrier's financial bottom line could take a significant hit grew Tuesday after the video of the bloodied passenger had spread around social media and online news sites the previous day, according to MarketWatch.

Doctor Pulled From Plane Convicted Of Writing Phony Prescriptions

Dr. David Dao, the Kentucky passenger involved in the United Airlines incident, was convicted on drug charges nearly 15 years ago after he was accused of filling phony prescriptions for narcotic painkillers as well as exchanging prescriptions for sex from a patient, according to Heavy.com, which posted the criminal complaint.


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United Airline's Image Takes Online Beating In Memes, Comments: Social media reaction to video footage of a passenger being dragged from a full flight Sunday night has been swift and merciless.


In 2003, Dao was indicted by a grand jury in Kentucky's Jefferson County on 98 felony counts of illegally prescribing and trafficking painkillers, including Oxycontin and Percocet, according to court records. He was found guilty in 2004 on six counts of complicity in obtaining a controlled substance by fraud and sentenced in 2005 to five years supervised probation. The doctor also had to give up his medical license, the records stated.

Dao appealed to have his license reinstated in 2007, but the request was denied. In 2015, however, the Kentucky Board of Medical Licensure allowed him to practice medicine again under certain conditions, according to the Louisville Courier-Journal. Dao, 69, is a pulmonologist, and he attended medical school in Vietnam before moving to the United States, the report added.

A statement released to CNBC on Dao's behalf Tuesday afternoon said he was being treated at a Chicago hospital and will not be commenting further until after his release.

"The family of Dr. Dao wants the world to know that they are very appreciative of the outpouring of prayers, concern and support they have received," Stephen L. Golan, Dao's lawyer, stated in the release. "Currently, they are only focused on Dr. Dao's medical care and treatment."

Incident Kills Idea To Arm Aviation Cops: Alderman

At least one Chicago alderman thinks the United Airlines incident has eliminated the possibility of allowing the city's aviation police officers to carry guns, the Chicago Sun-Times reports. The officer who was placed on leave for his role removing a passenger from Sunday's flight is a member of the Chicago Aviation Police, part of the city's Department of Aviation, which said in a statement Monday it did not condone the officer's actions.

Because the situation was "poorly handled from A to Z," Ald. Mike Zalewski (23rd Ward), who chairs the City Council's Aviation Committee, told the Sun-Times that any plan to arm the Chicago Aviation Police has been severely hindered if not completely squelched. The City Council had been discussing the idea of outfitting the officers with firearms, possibly by making them part of the Chicago Police Department, the report stated. Currently, the city's aviation officers — many who are veterans or work for suburban police departments — must graduate from the Chicago Police Training Academy.

But sources told the Sun-Times that Aviation Commissioner Ginger Evans is so incensed over Sunday's incident and the effect it might have on O'Hare International Airport's image that aviation officers could be out of jobs over it. Chicago employs 292 officers who earn an average annual salary between $50,000 to $88,000, the Sun-Times reports. Overall, the city spends $19 million to fund the Chicago Aviation Police.

More via the Chicago Sun-Times

UPDATED (7:03 p.m. Tuesday, April 11)


image via Audra D. Bridges | Facebook

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