United Airlines (UA, Chicago O'Hare) has announced it expects to record a special non-cash impairment charge of USD206 million, or USD160 million net of taxes, related to the loss of value of its Hong Kong business.

"Due to increased costs without sufficient corresponding increases in revenue in the Hong Kong market, the company determined that the value of its Hong Kong routes had been impaired. The collateral pledged under the company's term loan, including the Hong Kong routes, continues to be sufficient to satisfy the loan covenants," the carrier said in a statement prior to the full annual results disclosure planned for January 15, 2019.

According to the ch-aviation capacity module, United currently operates 21 weekly flights to Hong Kong Int'l from the mainland United States, including seven flights each from Chicago O'Hare, New York Newark, and San Francisco, CA. Services are operated with B777-200 and B777-300(ER) equipment. The carrier also operates 6x weekly to Hong Kong from Guam Int'l using B737-800 aircraft.

As such, United is the largest American airline serving Hong Kong, although its market share is only a quarter of the leader's, Cathay Pacific (CX, Hong Kong Int'l).