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CHICAGO What remained of the airline-within-an-airline strategy for battling low-fare carriers was grounded this week when United Airlines said it would discontinue Ted Airlines.
United plans to reconfigure Ted’s fleet of 56 Airbus 320s with first-class seats and rebrand them as United planes starting in spring 2009. United also said it would remove 100 aircraft from its fleet, retiring the oldest and the least fuel-efficient planes. The move will reduce its domestic mainline capacity 18 percent by 2009.
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