President of UAL Resigns

UAL Corp. President and Chief Operating Officer John A. Edwardson resigned Friday under pressure from United Airlines’ unions, which opposed him as the eventual chief executive.

“I believe it is in everyone’s best interests--our employees’, the company’s and mine--for me to step aside and clear the way for Jerry’s eventual successor,” Edwardson said in a statement. “United does not need a distracting or disruptive succession process.”

Edwardson, 49, joined United as president in July 1994 and was given the additional title of chief operating officer in April 1995.

“John Edwardson is an outstanding business leader who has earned the respect of the airline industry, the vbusiness community, and the affection and admiration of our employees,” Chief Executive Gerald Greenwald said.

United spokesman Tony Molinaro said the Chicago-based carrier would have no further comment.

Normally, union opposition to a successor is not necessarily a death blow. But the machinists union and the Air Line Pilots Assn. own a majority of the stock in UAL, the carrier’s parent, and their support was crucial for Edwardson.

Workers reportedly were concerned that Edwardson would be more inclined to cut wages and benefits than is Greenwald, who is expected to retire in July.

UAL shares eased 44 cents to close at $69.50 on the NYSE.