Jump to content

Continental Airlines

From Alfawiki
Continental Airlines
Company typePublic
IndustryAirline
Founded1934
FounderWalter T. Varney; Robert F. Six (rebranding 1937)
Defunct2012
FateMerged with United Airlines
Headquarters
Houston, Texas (after 1982)
,
United States
Area served
United States and international destinations
Key people
Robert F. Six (CEO), Harding Luther Lawrence (EVP)
ProductsPassenger air transport services
ParentUnited Continental Holdings (after 2010 merger)

Continental Airlines was a prominent U.S. mainline carrier that operated from 1934 until its 2012 consolidation with United Airlines. It maintained ownership interests and branding collaborations with several other airlines.

Originally a modest-sized carrier, Continental concentrated on providing selective, premium service in important point-to-point corridors such as Chicago to Los Angeles. The airline’s business model underwent significant transformation following the 1978 deregulation, which introduced heightened competition and made balancing revenue and expenses more complex.

In 1981, Texas International Airlines took a controlling stake and merged with Continental in 1982, prompting a relocation of the corporate headquarters to Houston. Despite facing financial difficulties and labor disputes, Continental grew to rank among the largest domestic airlines.

The merger valued at $8.5 billion in stock with United Airlines was completed on October 1, 2010. Shareholders of Continental received 1.05 shares of United for each Continental share owned. After the merger, UAL Corporation was renamed United Continental Holdings. Throughout the integration phase, both carriers operated independently but under a unified management team based in Chicago. The full integration concluded on March 3, 2012; the merged airline retained the United brand while adopting Continental’s operating certificate and paint scheme. On June 27, 2019, the parent company’s name was updated to United Airlines Holdings.

Early history

Varney Speed Lines, founded in 1934 by Walter T. Varney, one of the founders of United Airlines, provided airmail and passenger flights across the American Southwest, serving routes from El Paso through Albuquerque, Santa Fe, and Las Vegas (NM) to Pueblo, Colorado. The fleet initially consisted of Lockheed Vega aircraft capable of carrying four passengers. After the Roosevelt administration canceled domestic airmail contracts in 1934, Robert F. Six invested $90,000 to acquire a stake in Varney’s Southwest Division and became general manager in 1936. The airline was rebranded as Continental Air Lines in 1937 with headquarters relocated to Denver’s Stapleton Airport. Six’s vision was to transform Continental into a nationwide airline, which was reflected in the new name.

During World War II, Continental’s maintenance facility in Denver converted military planes such as B-17s and P-51s for the U.S. Army Air Forces. These operations generated profits that supported postwar expansion and enabled the purchase of new aircraft including the Douglas DC-3 and Convair 240/340—the airline’s first pressurized models. Early route development extended eastward from Denver, Albuquerque, and El Paso to cities across Kansas, Oklahoma, New Mexico, and Texas.

In the early 1950s, Continental entered into interchange agreements with American Airlines, Braniff Airways, and United Airlines to broaden its route network through connecting services. The acquisition of Pioneer Air Lines in 1955 added service to sixteen cities in Texas and New Mexico and brought Harding Luther Lawrence into Continental as Executive Vice President. Under Lawrence’s decade-long leadership marked by strategic planning and innovative marketing efforts, Continental’s operations expanded fivefold. He left in 1965 to become president of Braniff Airways.

Robert Six sought approval from the Civil Aeronautics Board for extended routes to major metropolitan areas with the goal of elevating Continental from a regional operator to a trunk carrier competing alongside United, TWA, and American Airlines. Concurrently, negotiations with Boeing aimed to position Continental among the initial airlines operating the Boeing 707 jetliner—a pivotal step linking route growth with fleet modernization.

1960s

Under the guidance of Chairman-CEO Robert F. Six and Executive Vice President Harding Lawrence, Continental Airlines pursued an assertive expansion of its route system throughout the 1960s, adopting the motto "the Airline that needs to grow." In 1958, the airline introduced turboprop service with the British-built Vickers Viscount, marketed as the "Jet Power Viscount II," marking Continental's initial venture into turbine-powered aircraft. Regulatory changes enabled the airline to eliminate less profitable small-city routes, thereby focusing operations on longer-distance flights. By 1960, passenger-miles had increased threefold compared to 1956, driven by a $64 million fleet modernization program that included Boeings, Viscounts, and DC-7Bs.

Six advocated a low-cost fare approach, launching economy fares on the Chicago-Los Angeles corridor in 1962 and rolling out system-wide excursion fares that reduced coach ticket prices by more than 25%. Continental received its first Boeing 707-124 jets in 1959 and soon commenced nonstop service between Chicago and Los Angeles. To optimize utilization of its limited jet fleet, the airline implemented a "progressive maintenance" strategy that allowed aircraft to operate continuously throughout the week. Six also elevated onboard offerings with upscale dining and amenities that garnered industry recognition.

During the early part of the decade, Continental expanded routes from Los Angeles to Houston and multiple Texan cities. In 1963, the company shifted its headquarters from Denver to Los Angeles to better capitalize on market prospects. By late 1963, most smaller city services in Kansas, Oklahoma, New Mexico, and Texas were discontinued except for Lawton and Wichita Falls, which retained jet service until 1977. Passenger-miles in 1967 had grown to more than five times those recorded in 1960; however, 61% of this traffic came from unscheduled transpacific charter flights. By the late 1960s, Continental was among the pioneers among U.S. airlines to retire turboprop and piston aircraft entirely, replacing them with Douglas DC-9-10s and various Boeing 727 models that formed the backbone of its fleet for decades.

In 1968, Continental unveiled a fresh corporate livery featuring orange and gold cheatlines on white fuselages accompanied by a black "jetstream" emblem created by Saul Bass. The branding slogans "The Airline That Pride Built" and "The Proud Bird with the Golden Tail" defined its market identity for over ten years. Although awarded transpacific routes to New Zealand and Australia as part of the Transpacific Case, these rights were subsequently rescinded by the Nixon Administration.

During the Vietnam War, Continental played a key role supporting U.S. military efforts by transporting cargo and troops across Asia-Pacific bases. Its long-range Boeing 707-324C aircraft were regularly stationed at Saigon’s Tan Son Nhat Airport. Drawing on this Pacific experience, Continental established subsidiary Air Micronesia in May 1968 to operate island-hopping services connecting locations such as Yap, Saipan, Guam, Majuro, Truk, Ponape (Pohnpei), and Honolulu. Air Micronesia utilized Boeing 727-100s outfitted with specialized survival equipment and spare parts to ensure dependable operations; senior mechanics accompanied flights until the late 1970s. This operation eventually evolved into Continental Micronesia, which continued service until 2010. By September 1969, Continental had expanded routes from Los Angeles to Honolulu/Hilo as well as from Albuquerque to Chicago, San Antonio, and San Francisco. In 1970, it secured additional routes linking Seattle and Portland with California destinations including San Jose and Hollywood-Burbank Airport.

Revenue passenger-miles (millions) (scheduled flights only)
Continental Pioneer
1951 106 42
1955 221 11
1960 885 (Merged April 1, 1955)
1965 1,386
1970 4,434
1975 6,356

In a landmark civil rights case during 1963, Continental faced legal challenge for refusing to employ African-American pilot Marlon Green, an Air Force veteran. The U.S. Supreme Court upheld Colorado’s anti-discrimination statute against the airline’s position, resulting in Green’s hiring at Continental from 1965 until his retirement in 1978. His employment established a precedent that accelerated diversity initiatives within U.S. airlines by the late 1970s.

1970s

Under the guidance of founder Robert Six, Continental was among the inaugural airlines to introduce the Boeing 747 into U.S. domestic flights, commencing service on June 26, 1970. The airline set new benchmarks for in-flight luxury with its acclaimed upper-deck first-class lounge and the distinctive "Polynesian Pub" located on the main deck. These amenities were complemented by innovative dining options crafted by Continental’s executive chef, Lucien DeKeyser, who was trained at Cordon Bleu. Continental’s deployment of 747 aircraft on routes connecting Chicago and Denver with Los Angeles and Honolulu significantly bolstered its foothold in the western United States.

On June 1, 1972, Continental launched widebody service featuring the McDonnell Douglas DC-10 after Robert Six advocated for a substantial DC-10 order to capitalize on expanding markets in Denver, Houston, and Seattle. The introduction of DC-10s replaced numerous flights formerly operated by smaller planes, thereby increasing capacity on critical routes. Throughout this decade, Denver served as Continental’s primary hub. The 747s mainly operated routes between Chicago, Los Angeles, and Honolulu, while DC-10s connected major cities including Los Angeles, Chicago, Houston, Seattle, and Honolulu. With a streamlined fleet comprising four aircraft types—the 747, DC-10, 727-200, and DC-9-10—Continental achieved reduced expenses related to maintenance and crew training compared to its competitors.

During the 1970s, Continental steadily expanded its market share on DC-10 routes until it reached equivalence with United Airlines on several corridors. Features pioneered on the 747 were incorporated into DC-10 cabins; however, increasing seat capacity requirements eventually led to the removal of elements such as the "Polynesian Pub." By 1978, Continental had phased out its 747 fleet in favor of DC-10s but later reinstated 747 operations during the Lorenzo era for international services. From the mid-1970s until its merger with Texas International Airlines, Continental primarily operated DC-10s alongside Boeing 727 variants.

Between 1961 and 1982, Continental’s headquarters were situated at Los Angeles International Airport, encompassing general administrative offices, operations control centers, maintenance facilities, and crew bases.

After overcoming regulatory delays in the mid-1970s, Continental broadened its route network by initiating Houston-Miami flights in 1974; securing approval for San Diego-Denver service in 1976; and entering Florida markets from Denver. The deregulation efforts championed by President Jimmy Carter enabled Continental to access new markets such as daily Saipan-Japan flights and South Pacific routes from Los Angeles to Australia via Honolulu and Fiji starting in 1979. Following deregulation, expansion included launching routes from New York-area airports to Houston and Denver; Denver to Phoenix; Los Angeles to Taipei via Honolulu and Guam; and Houston to Washington D.C. By 1981, Continental had established a presence in all major U.S. markets through its Denver and Houston hubs but continued to face financial losses despite its growth.

The Airline Deregulation Act also intensified competitive pressures as passengers increasingly prioritized lower fares over service quality. Between 1978 and 1981, Continental pursued a merger with Western Airlines—whose route network complemented its own—but this effort collapsed when Texas Air Corporation acquired Continental instead. This acquisition represented a significant transformation in Continental’s corporate structure amid shifting industry conditions.

Although deregulation facilitated rapid expansion that increased market share and business scale for Continental, profitability remained elusive due to evolving competitive dynamics and cost challenges—a transition noted by historian R.E.G. Davies as a fundamental departure from founder Six’s management approach toward a more complex regulatory landscape.

1980s

In 1981, Continental was acquired by Texas Air Corporation, led by aviation businessman Frank Lorenzo, following a fierce dispute with the existing management. A legal challenge thwarted an attempted Employee Stock Ownership Plan, enabling Texas Air to gain control with a 48.5% stake. After CEO Alvin Feldman’s tragic death in 1981, George Warde took over the leadership. Lorenzo assumed the roles of Chairman and CEO in 1982, focusing on updating Continental’s outdated pre-deregulation operational model amid financial difficulties. While some pilot union agreements were reached, other labor groups resisted proposed cost-cutting measures.

On October 31, 1982, Continental merged with Texas International but retained its original name, expanding its operations to four continents with a fleet of 112 aircraft. The airline introduced its frequent flyer program in September 1982, following earlier initiatives by Texas International and American Airlines. In 1983, Continental relocated its headquarters to Houston, enhancing its hub at Houston Intercontinental Airport and adding new routes to Mexico and the south-central United States.

Continental encountered intense competition when American Airlines implemented two-tier wage systems in 1983, facilitating rapid expansion supported by reduced labor expenses. To remain competitive, Continental sought labor restructuring; however, after extended negotiations, the mechanics union initiated a strike in August 1983 despite a 20% wage increase offer linked to productivity improvements. The airline sustained operations by employing replacement personnel.

By mid-September 1983, Continental proposed granting pilots and employees a 35% ownership stake in exchange for wage and productivity concessions but failed to reach an agreement. On September 24, the airline filed for Chapter 11 bankruptcy and halted operations for three days—becoming the first carrier to declare bankruptcy while maintaining service. Labor unions strongly opposed restructuring efforts; pilots and flight attendants joined the strike beginning October 1.

Following bankruptcy proceedings, Continental operated a scaled-back route network and initially accepted only cash payments. It significantly reduced labor expenses by enforcing new contracts and aligning management salaries with pilot pay levels. The pilot strike ultimately faltered as many crossed picket lines and customers favored the airline’s lower fares. By the end of 1984, Continental had returned to profitability with a $50 million gain and expanded beyond its pre-bankruptcy size.

In April 1985, Continental inaugurated its first scheduled European flights from Houston to London/Gatwick. Later that year in October, Texas Air commenced acquisition efforts for Frontier Airlines amid competition with PeopleExpress. Frontier filed for bankruptcy in August 1986; subsequently, Texas Air purchased PeopleExpress in September 1986 along with Frontier’s route network—strengthening Continental’s Denver hub and gaining access to Newark Liberty International Airport.

Emerging from bankruptcy on June 30, 1986, Continental exhibited improved financial health and expanded hubs in Denver and Houston. It also developed a Midwest hub at Cleveland Hopkins International Airport as United Airlines scaled back operations there. In October 1986, Thomas G. Plaskett, formerly of American Airlines, was appointed as Continental’s CEO.

On February 1, 1987, Continental merged with People Express, Frontier Airlines, New York Air, and several commuter carriers—becoming the sixth largest global airline and the largest low-fare carrier by introducing non-refundable fares marketed as MaxSavers. These mergers broadened Continental’s footprint across northeastern U.S. markets. Plaskett resigned in July 1987; Frank Lorenzo resumed his role as CEO.

In 1987, Continental launched its OnePass frequent flyer program jointly with Eastern Airlines and established its first international partnership with Scandinavian Airlines System (SAS) in 1988—the industry’s pioneering alliance of this type. The airline adopted a new blue-and-gray color scheme featuring a "globe" emblem later used by United Airlines after their merger. It discontinued first class service—only the second major global airline to do so—offering business class travelers enhanced seating branded as Business First.

Throughout this decade, under Frank Lorenzo’s strategic leadership, Continental underwent significant corporate restructuring focused on labor cost reductions, expanded market share through acquisitions and alliances, and evolved into a prominent global carrier offering diversified products and services.

1990s

On August 3, 1990, Scandinavian Airlines System (SAS) secured a majority stake in Texas Air's Jet Capital Corporation, prompting founder Frank Lorenzo to resign as CEO after an 18-year tenure, though he remained on the board for an additional two years. Former Delta Air Lines president Hollis L. Harris was appointed chairman and CEO.

Following the Iraqi invasion of Kuwait in 1990 and the resulting surge in jet fuel costs, Continental filed for bankruptcy protection on December 3, 1990. By mid-1991, Harris was succeeded by Robert Ferguson, an executive from Texas Air. In November 1992, Continental accepted a $450 million acquisition offer from investors including Air Partners, Texas Pacific Group, and Air Canada—which acquired a 24% voting interest. The airline successfully emerged from bankruptcy in April 1993.

In March 1993, Continental announced the discontinuation of flights to nine domestic and six international destinations, including all routes between the U.S. and Australia/New Zealand as well as Guam-Australia services, effective October 31. The following year, it significantly scaled back operations in Denver and terminated unprofitable turboprop routes, effectively downgrading Denver from a hub to a spoke airport.

From 1993 to 1995, Continental introduced CALite (later renamed Continental Lite), a low-cost all-economy service aimed at leisure travelers using a dedicated fleet of McDonnell Douglas DC-9-30s and Boeing 737 aircraft. Centered mainly at Cleveland and a newly established Greensboro hub, the venture failed to gain traction and was discontinued by 1995 alongside the closure of the Greensboro hub. During this timeframe, Continental also faced hostile takeover attempts from Delta Air Lines and Northwest Airlines.

In October 1994, former Boeing executive Gordon Bethune took over as president and CEO, becoming chairman in 1996. Through his strategic vision, Continental moved from last place in operational performance to earning multiple J.D. Power awards for Customer Satisfaction. Under Bethune’s leadership, the stock price soared from $2 to over $50 per share. He was recognized by BusinessWeek as one of the top 25 Global Managers (1996–97), while Fortune listed Continental among its 100 Best Companies to Work For for six consecutive years. Additionally, the airline was named the No.1 Most Admired Global Airline from 2004 through 2008. Bethune’s Go-Forward plan emphasized enhancing employee morale, improving product quality, optimizing route networks, and transitioning to an all-Boeing fleet.

Beginning in 1998, Continental expanded its international footprint by launching new routes to Ireland and Scotland. That October marked the arrival of its first Boeing 777-200ER aircraft, enabling nonstop flights from Newark and Houston to Tokyo–Narita as well as Newark to Tel Aviv. The airline established partnerships with Northwest Airlines, Copa Airlines, Avant Airlines, Transbrasil, and Cape Air. Together with America West Airlines, Continental pioneered interline electronic ticketing among U.S. carriers. In 1999, it inaugurated new routes connecting Newark-Zurich and Cleveland-London.

2000s

On March 1, 2001, Continental introduced the first nonstop ultra-long-haul flight exceeding sixteen hours between Newark and Hong Kong, triggering a brief dispute over flight rights with United Airlines and Cathay Pacific. On September 13, 2004, Continental became a member of the SkyTeam alliance alongside Northwest/KLM and CSA. The airline further expanded its Asian network in 2005 by launching daily nonstop flights from Newark to New Delhi and subsequently Mumbai—making it the U.S. carrier with the highest number of nonstop flights to India. By May 2006, Continental surpassed Northwest Airlines in passenger volume to become the fourth-largest airline in the United States.

Merger discussions with United Airlines surfaced in December 2007 but remained tentative due to Continental’s golden share held by Northwest Airlines and concerns about divesting hubs. After Northwest announced its merger with Delta in April 2008, Continental reacquired its golden share and briefly resumed merger talks with United before ultimately discontinuing negotiations.

In May 2008, Continental divested its remaining stake of 4.38 million shares in Panamanian carrier Copa Airlines for $149.8 million. Confronted with economic pressures, Continental reduced its workforce by approximately 3,000 employees and cut capacity by phasing out older aircraft models through 2009. The airline withdrew from SkyTeam and joined Star Alliance, strengthening cooperation with United Airlines through a "virtual merger" partnership.

In September 2008, Continental inaugurated seasonal nonstop flights between Houston and Rio de Janeiro, connecting passengers to over 160 cities via its Houston hub. The airline renewed its lease at Continental Center I covering roughly . Despite reporting a widened fourth-quarter net loss of $266 million—attributed to pilot retirement expenses and fuel hedge adjustments—Continental pursued innovation by conducting North America's first commercial flight powered by biofuel in January 2009 using sustainable algae- and jatropha-based fuels.

March 2009 saw Continental launch daily nonstop service between Newark and Shanghai Pudong International Airport, further expanding its presence across Asia.

In July 2009, Continental enhanced passenger amenities by offering DirecTV with access to 95 live channels—more than any other U.S. carrier—and introduced Virtual Expert technology on continental.com providing round-the-clock online customer support—a pioneering step in digital engagement within the airline industry.

2010s

On January 1, 2010, Jeff Smisek, who had previously served as president and COO, assumed the role of CEO at Continental Airlines, signifying a pivotal shift in the company's leadership. Beginning June 10, 2010, Continental initiated seasonal nonstop flights connecting Portland International Airport (PDX) with Ted Stevens Anchorage International Airport (ANC), directly competing with its former partner Alaska Airlines. On February 16, Continental and its subsidiary Continental Micronesia sought approval to operate nonstop services to Tokyo-Haneda under the US-Japan open-skies framework, targeting route launches from hubs in New York/Newark and Guam by late 2010; however, Haneda airport slots were ultimately allocated to American, Delta, and Hawaiian Airlines. Continental pioneered mobile boarding pass technology at London Heathrow Airport, offering travelers the convenience of electronic boarding passes accessible via mobile devices. Strategically, Continental exited the SkyTeam alliance on October 24, 2009, and joined the Star Alliance just three days later on October 27, 2009, enhancing its global network presence and competitive positioning.

Merger with United Airlines

In February 2008, UAL Corporation and Continental Airlines entered advanced negotiations for a merger, influenced by Delta Air Lines' consolidation with Northwest Airlines that removed Northwest's veto power over Continental. Despite this progress, Continental withdrew from merger discussions in April 2008 to maintain independence and subsequently aligned with the Star Alliance.

Meanwhile, United pursued merger talks with US Airways but chose not to proceed by April 2010. In June 2008, United and Continental formalized an alliance agreement integrating their international networks and passenger benefits—a "virtual merger" that laid groundwork for their eventual full combination.

On May 2, 2010, boards from both airlines approved a stock-for-stock merger designed to establish the world's largest carrier by revenue passenger miles. The unified company retained the United name and headquarters in Chicago; Jeff Smisek of Continental took charge as CEO while United’s Glenn Tilton became non-executive chairman. The merger aimed to realize annual cost savings exceeding $1 billion amid economic downturn pressures. Approvals from regulatory bodies and shareholders were secured throughout the summer and fall of 2010.

The combined airline introduced a new brand logo in August 2010 and initiated operational integration during 2011 with plans for a single operating certificate by 2012. Continental’s air operator certificate remained active while United’s maintenance certificate continued in use. The merger was finalized on October 1, 2010 under United Continental Holdings; by June 2019, this parent company was renamed United Airlines Holdings.

Together, the merged fleet surpassed 1,280 aircraft including Airbus A319s/A320s and Boeing models such as the 737s, 757s, 767s, 777s, and 787s; orders for Airbus A350s were also pending. Prior to merging, Continental ranked as the fourth-largest U.S. airline by passenger miles with hubs located at Newark, Houston, Cleveland, and Guam. Rebranding efforts for these hubs commenced in late 2011.

By November 30, 2011, both carriers operated under a unified FAA operating certificate; Continental flights adopted United’s callsign signaling the end of Continental as an independent brand. In March 2012, reservation systems and frequent flyer programs were consolidated under United’s platform. The final flight branded as Continental flew from Phoenix to Cleveland before transitioning fully to United.

On March 31, 2013, United Airlines formally merged into Continental Airlines as the surviving corporate entity within UAL Corporation; subsequently, Continental was renamed United Airlines, Inc., streamlining corporate operations under the United brand.

Branding

The Continental "Jet Stream" emblem was created by Saul Bass in the late 1960s. In the 1990s, Lippincott developed the globe emblem. Prior to the merger, Continental's aircraft featured a white body with a blue and gold globe design and a gray lower fuselage. After merging, United Airlines adopted Continental’s logo and livery style.

Slogans

  • Work Hard. Fly Right. (1998–2012)
  • More Airline for Your Money (mid-1990s)
  • One Airline Can Make a Difference (early 1990s – introduced alongside the "Globe" livery)
  • Working to Be Your Choice (1989)
  • Up Where You Belong (1987)
  • The Only Airline Worth Flying (1985)
  • We Really Move Our Tail for You (1975–1979)
  • If You Can't Fly Continental, Try to Have a Nice Trip Anyway (1970s)
  • The Airline That Pride Built (1968)
  • The Proud Bird with the Golden Tail (1967–1981)

Headquarters

Continental Airlines relocated its main offices several times to support its evolving business strategy and market priorities. Originating in Denver in 1937 under founder Robert F. Six, who aimed to establish presence in a major city, the company shifted its headquarters to Los Angeles in 1963 to focus on western and Pacific markets.

In 1983, the airline moved its headquarters to Houston’s America Tower, reflecting Houston’s importance as its largest hub city. By 1997, operations were consolidated into Continental Center I and II in downtown Houston, where about 3,200 employees worked by early 1999.

Although downsizing occurred following the September 11 attacks, Continental retained its Houston office space and extended leases through 2008 despite challenges like rising fuel expenses. In 2017, United Airlines centralized Houston-based personnel into a newly constructed downtown skyscraper.

Following the 2010 merger announcement between Continental and United Airlines, the combined entity relocated its headquarters to Chicago’s Loop district. As of 2025, United Airlines is headquartered at Willis Tower in Chicago.

Environmental record

Continental Airlines invested more than $12 billion in acquiring 270 fuel-efficient aircraft and related equipment that significantly lowered greenhouse gas emissions and noise pollution. The carrier was among the earliest adopters of winglets on much of its fleet, which reduced fuel consumption by approximately 3–5%.

In 2008, the U.S. Environmental Protection Agency commended Continental for pioneering "PreKote," a non-chromium surface pre-treatment for aircraft that eliminates harmful chemicals and decreases wastewater output, enhancing environmental safety for maintenance workers.

The airline also led advancements in biofuel applications within commercial aviation. On January 7, 2009, Continental partnered with GE Aviation to conduct the first biofuel demonstration flight by a U.S. carrier using a Boeing 737-800 powered partly by a mixture of kerosene, algae oil, and jatropha oil—a weed seed oil known for producing 50–60% less CO₂ than Jet-A1 fuel. During this 1.5-hour flight, the engine consumed 46 kg less fuel while delivering increased thrust. CEO Larry Kellner described this effort as a strategic move toward sustainability.

Continental’s environmental initiatives earned accolades from NASA and Fortune magazine for advancing eco-friendly aviation practices.

Awards

  • Ranked No. 1 Most Admired Global Airline by Fortune Magazine (2004–2009)
  • Recognized as No. 1 Most Admired U.S. Airline by Fortune Magazine (2006–2007, 2010)
  • Awarded No. 1 Greenest U.S. Airline by Greenopia (2009)
  • Honored as No. 1 Pet-Friendly Airline by Petfinder (2009)
  • Best Executive/Business Class recipient, OAG Airline of the Year Awards (2003–2007, 2009)
  • Named Best North American-Based Airline by OAG Airline of the Year Awards (2003–2009)
  • Best U.S. Carrier for Trans-Atlantic and Trans-Pacific Business Class, according to Condé Nast Traveler (1999–2006)
  • Awarded Best Airline for North American Travel by Business Traveler Magazine (2006–2009)
  • Best Large Domestic Airline (Premium Seating), as per Zagat Airline Survey (2008)
  • Recognized for Best Value for International Travel by Zagat Airline Survey (2009)
  • Highest-Ranked Network Airline in J.D. Power and Associates rankings (2007)
  • Named Airline of the Year by OAG (2004–2005)
  • Recipient of the Business Leadership Recycling Award from the American Forest & Paper Association (2010)

Destinations

Together with its subsidiaries Continental Express and Continental Connection, Continental operated more than 2,400 daily flights spanning the Americas, Europe, and Asia-Pacific regions. By summer 2008, the airline served 130 domestic locations and 132 international destinations.

The airline’s hub-and-spoke system centered around primary hubs in Cleveland, Houston, and Newark within North America, complemented by a western Pacific hub located in Guam. The majority of flights originated from these hubs, whereas some regional routes were covered by affiliated carriers under Continental Connection, including Gulfstream International Airlines’ services within Florida and between Florida and the Bahamas.

For close to four decades, Continental maintained a significant hub in Denver; however, it ceased operations there in 1995 following the inauguration of Denver International Airport due to increased costs. This departure facilitated rapid growth for Frontier Airlines and Southwest Airlines within the Denver market.

Initially focused on domestic routes, Continental broadened its international footprint after acquiring Texas International Airlines’ routes. By the mid-1980s, it had established itself as the U.S. airline serving the greatest number of destinations in Mexico.

Continental entered the transatlantic sector in 1985 with flights between Houston and London Gatwick. Due to restrictions imposed by the Bermuda II agreement preventing access to London Heathrow, Continental maintained its Gatwick operations with up to six daily flights by 2007. The introduction of the U.S.-EU Open Skies Agreement in 2008 allowed Continental to commence twice-daily nonstop service from Houston and Newark to Heathrow using Boeing 777-200ER and 757-200 aircraft equipped with BusinessFirst flat-bed seating. By the time of its merger with United Airlines, Continental operated seven daily flights to Heathrow.

During the Vietnam War period, military charter operations helped establish Continental’s presence in the Pacific region, leading to its Air Micronesia services. The airline began flying to Japan from Guam and Saipan in the 1970s and later introduced nonstop Seattle-Tokyo flights. The late 1990s saw expansion of nonstop Tokyo service from Houston and Newark through Boeing 777-200ER aircraft. Between 2007 and 2009, Continental added flights from Newark to Hong Kong, Beijing, and Shanghai. While it scaled back much of its Australasian network, it continued operating Air Micronesia Boeing 737-800 flights between Cairns and Guam. In June 2011, Continental inaugurated service to Hilo, Hawaii—marking that city’s only nonstop connection beyond Hawaii itself.

Continental offered a wider range of destinations than any other U.S. carrier to Germany, India, Ireland, Japan, Mexico, and the United Kingdom. It was also unique among U.S. airlines in serving Micronesia, the Marshall Islands, and Norway. Its Newark-Mumbai route launched in October 2007 became its second destination within India.

Codeshare agreements

Continental Airlines engaged in codeshare partnerships with a wide array of airlines, significantly broadening its international reach and strengthening its market presence. Notable collaborators included:

Regional operators

Continental owned a minority interest in ExpressJet, which operated under the "Continental Express" brand but functioned independently as a publicly traded company. Additional regional carriers operating flights under the Continental Express or Continental Connection banners included Chautauqua Airlines, Cape Air, Colgan Air, CommutAir, and Silver Airways; however, Continental did not hold ownership stakes in these entities.

Primary Continental Connection operators were:

  • Cape Air: Providing service to Puerto Rico, the U.S. and British Virgin Islands, Anguilla, Nevis, Guam, Saipan, and Rota.
  • Colgan Air: Operating out of Cleveland, Houston, and Newark as a subsidiary of Pinnacle Airlines.
  • CommutAir: Concentrated on Cleveland and Newark hubs.
  • Gulfstream International Airlines: Serving routes throughout the Bahamas and Florida, including Essential Air Service operations originating from Cleveland.
  • Silver Airways

These regional alliances played a crucial role in Continental’s operational strategy by expanding its network footprint and channeling feeder traffic into its mainline flights.

Fleet

Continental operated an exclusively Boeing fleet consisting of four aircraft models (737, 757, 767, and 777) across ten variants. Plans were in place to introduce two Boeing 787 Dreamliner models into service during 2011. The airline was recognized for maintaining one of the industry's highest daily aircraft utilization rates.

As of October 1, 2010—the date of the merger—Continental's fleet totaled 350 aircraft with an average age of 9.5 years:

Continental Airlines fleet in 2010
Aircraft In service Orders Seating Configuration Remarks
J F Y Total
Boeing 737-500 36 — — 8 106 114 Transferred to United Airlines; retired by 2013.
Boeing 737-700 36 — — 12 112 124 Transferred to United Airlines.
Boeing 737-800 126 4 — 14 141 155 Fleet and orders transferred to United Airlines.
16 144 160
Boeing 737-900 12 — — 20 153 173 Transferred to United Airlines.
Boeing 737-900ER 30 22 — 20 153 173 Fleet and orders transferred to United Airlines.
Boeing 757-200 41 — 16 — 159 175 Transferred to United Airlines.
Boeing 757-300 21 — — 24 192 216 'Largest operator; all transferred to United Airlines.
Boeing 767-200ER

10 |— |25 |— |149 |174 |Transferred and retired by United by 2013.

Boeing 767-400ER 12 — 35 — 200 235 Transferred to United Airlines.
4 20 236 256
Boeing 777-200ER 22 — 50 — 226 276
Boeing 787-8 — 11 N/A Orders transferred to United Airlines.
Boeing 787-9 — 14 N/A

By the year 2013, the majority of former Continental airplanes had been repainted with United’s livery and officially integrated into United Airlines’ fleet. Exceptions included the Boeing 737-500 and 767-200ER models, which were primarily sold to Russian carriers. One Boeing 737-900ER briefly retained Continental’s Blue Skyway retro paint scheme before receiving United's colors.

On domestic flights, Continental offered First Class seating, while BusinessFirst was available on transatlantic and transpacific services.

In the late 1990s, Continental was one of three airlines (alongside American and Delta) to enter into an exclusivity contract with Boeing. This arrangement was later nullified following regulatory scrutiny after Boeing acquired McDonnell Douglas.

From a strategic standpoint, Continental pioneered use of the Boeing 757 for nonstop transatlantic routes originating from smaller cities such as Belfast and Hamburg directly to New York. This approach capitalized on the aircraft’s modest seating capacity to economically serve "thin" markets without relying on traditional European hubs. United continues many of these services from Newark Airport today, including flights to Dublin and Berlin.

Historic fleet

Throughout its history, Continental Airlines maintained a varied aircraft roster, which included:

Continental Airlines historic fleet
Aircraft Quantity Year Introduced Year Retired
Airbus A300B4-200 26 1986 1995
Beechcraft Baron 10 Unknown Unknown Operated by Continental Air Services
Boeing 707-120 5 1959 1967
Boeing 707-320C 13 1964 1973
Boeing 720B 8 1962 1976
Boeing 727-100 26 1967 1994
Boeing 727-200 109 1970 1999
Boeing 737-100 17 1987 1999
Boeing 737-200 30 1986 1999
Boeing 737-300 65 1985 2010
Boeing 747-100 6 1970 1996
Boeing 747-200B 7 1987 1999
Convair CV-240 8 1948 1959
Douglas C-47 Skytrain 30 1944 1974
McDonnell Douglas DC-9-14 15 1966 1991
McDonnell Douglas DC-9-15MC/RC 22 1967 1988
McDonnell Douglas DC-9-31 5 1987 1999
McDonnell Douglas DC-9-32 31 1990 2000
McDonnell Douglas DC-10-10 8 1972 2000
McDonnell Douglas DC-10-30 33 1985 2002
McDonnell Douglas MD-81 5 1990 2003
McDonnell Douglas MD-82 62 1984 2006
McDonnell Douglas MD-83 3 1987 2006

A number of these aircraft were operated by Continental Air Services, a subsidiary specializing in regional and niche operations. The progression of the fleet demonstrates the airline’s strategic response to shifting market demands and operational goals, which played a key role in enhancing its competitive position and fostering business expansion within the aviation sector.

Fleet in 1960, 1970, and 1980

CAL Fleet as of March 1960
Aircraft Model Total Aircraft Orders Pending Remarks
(Boeing 707) -120 "4" "1" ""
Aircraft Model Total Aircraft Orders Pending Remarks
"Douglas DC-3" "10" "0" "" "Douglas DC-6" "1" "0" "Leased" "Douglas DC-6B" "2" "0" "One leased" "Douglas DC-7B" "5" "0" "" "Vickers Viscount 812" "15" "" "" Total 37 1
Aircraft Model Total Aircraft Orders Pending Remarks
"Concorde (SST)" "0" "3" "Not delivered" "Boeing 2707 (SST)" "0" "3" "Never produced" "Boeing 707-320C" "13" "0" "" "Boeing 720B" "8" "0" "" "Boeing 727-100C" "1" "0" "" "Boeing 727-200" "12" "0" "" "Boeing 747-100" "0" "4" "" "Douglas DC-9-10F" "19" "0" "" Total 62 10
Aircraft Model Total Aircraft Orders Pending Remarks
"Boeing 727-100" "16" "0" "" "Boeing 727-200" "36" "9" "" "McDonnell Douglas DC-10-10" "7" "0" "" "McDonnell Douglas DC-10-10CF" "6" "" "0"| "2"| ""


Cabin

Continental Airlines provided two service categories—First/Business and Economy—throughout its primary fleet.

BusinessFirst

BusinessFirst represented Continental's international business class offering, available on all Boeing 757-200, 767, and 777-200ER aircraft. This class featured fully flat seats capable of reclining to a 180-degree position, providing over 6.5 feet of sleeping length on the 777-200ER and 757-200 models. Seat widths reached up to 25 inches, equipped with adjustable armrests and electronic controls for lumbar support, leg rests, and iPod integration. Additional amenities included six-way adjustable headrests, individual reading lights, privacy shells, and a high crew-to-passenger ratio of one to eight.

The installation of the updated BusinessFirst seats was completed on all 777-200ERs and 757-200s, with plans to upgrade the 767 fleet by 2011 and finalize the international fleet refurbishment by August 2012; all new 787 aircraft were also slated to include these seats. Continental marketed BusinessFirst as its premier onboard product, frequently emphasized in promotional campaigns.

Passengers flying BusinessFirst on long-distance routes to Europe, Asia, South America, and the Middle East benefited from premium ground services such as EliteAccess priority baggage handling, expedited security checks, access to Presidents Club or Star Alliance lounges, personalized Concierge assistance, and dedicated boarding procedures.

In-flight amenities encompassed multi-course meals designed by Continental's Congress of Chefs, beverages selected by Wine Masters, and service delivered by international crew bases located in Newark and Houston. Most flights offered two meal services per journey. Entertainment systems featured Audio-Video On Demand with touch-screen interfaces on the 777 and 757 aircraft; meanwhile, 767s utilized looped multi-channel video but were scheduled for AVOD system upgrades. Passengers received headphones, pillows, blankets, amenity kits, as well as access to arrival lounges and shower facilities at the majority of airports served.

A tailored BusinessFirst experience was available on U.S. mainland–Hawaii flights, preserving EliteAccess ground benefits and meal standards but excluding amenity kits. Boeing 767-400ER aircraft operating Newark/Houston–Honolulu routes had recliner-style BusinessFirst seating; Boeing 737 flights from Los Angeles/Orange County featured domestic First Class seats instead. Guam–Honolulu nonstop flights closely mirrored the standard BusinessFirst service.

Continental did not provide complimentary upgrades to OnePass Elite members on intercontinental BusinessFirst routes. Nevertheless, day-of-departure upgrade purchases were offered on 767-operated Hawaii flights for coach passengers when seats were available—this being the sole BusinessFirst market permitting such upgrades. Additionally, OnePass Elite members received free upgrades on Continental-operated California–Hawaii flights.

Domestic First Class

First Class seating was provided on every domestic Boeing 737 and 757-300 aircraft, offering seat widths ranging from 20.75 to 21 inches and pitch between 37 and 38 inches. Passengers enjoyed complimentary meals, beverages, and alcoholic drinks. Entertainment was delivered via overhead movie screens. Beginning in 2009, Continental introduced complimentary LiveTV and Wi-Fi services for First Class travelers on the newer 737 and 757-300 models.

On international flights heading to Latin America, the Caribbean, and select South American destinations, Domestic First Class was marketed as Regional Business Class. These travelers had access to Continental's Presidents Club and Star Alliance lounges, along with meal selections influenced by local culinary traditions, especially on Latin American routes.

International Economy Class

Economy Class was available on all international aircraft with seat widths between 17.2 and 17.9 inches and seat pitch of 31 to 32 inches. Complimentary meals, snacks, and non-alcoholic drinks were provided, while alcoholic beverages could be purchased. Boeing 757 and 777 planes featured AVOD touch screen systems offering a wide variety of movies, television programs, games, and music.

Domestic Economy Class

Seats in Domestic Economy measured 17.2 inches across with a pitch of 31 to 32 inches. Passengers received complimentary non-alcoholic beverages; alcoholic drinks were sold separately. Overhead movie screens were accessible on Boeing 737-700/800/900/900ER and 757-300 aircraft, with headsets available for purchase. Starting January 2009, LiveTV became available on next-generation 737s and 757-300s; however, Economy passengers needed to pay for this service. Initially, domestic economy flights included free meals but shifted to buy-on-board offerings in March 2010 for flights under six hours within the northern hemisphere and certain Latin American routes.

Meal and drink services

BusinessFirst passengers received complimentary meals on all flights. First Class travelers enjoyed free meals on flights exceeding one hour within North America and routes connecting to resort destinations in the Caribbean and Latin America, except for some late-night departures. Economy meals were served on most Asia and Europe routes as well as on non-resort Caribbean and Latin American flights, excluding certain late departures. Flights operated by Continental Micronesia within Asia and the Pacific provided free meals or snacks during designated mealtimes. Economy passengers flying within North America, Canada, or resort locations in the Caribbean and Latin America could purchase meals on flights lasting longer than six and a half hours.

Near the conclusion of Continental's operations, a buy-on-board model was implemented for most economy class flights within North America, Canada, and resort destinations in the Caribbean and Latin America. Snacks were available for purchase on flights lasting between two and a half to six and a half hours, with food options offered primarily on flights between three and a half to six and a half hours duration. Originally complimentary on flights over one and a half hours, meal service transitioned in March 2010 to buy-on-board starting fall that year to reduce costs by $35 million annually while potentially generating an additional $17 million if half of passengers bought food. The effect of this change on subsidiary Chelsea Food Services’ workforce was not disclosed. The buy-on-board program commenced October 12, 2010. On March 1, 2011, Continental ended complimentary snack service on domestic coach flights to align policies with United Airlines, extending buy-on-board offerings across all Hawaii, Alaska, and Mainland U.S. routes.

Special dietary meals—including Child, Gluten-Free, Hindu Vegetarian, Jain, Kosher, Muslim, and Vegan options—were provided at no extra charge on selected routes. These included all classes between Houston and Argentina, Asia, Brazil, Europe, Hawaii; Newark to Asia, Brazil, Europe, Hawaii; with Hindu vegetarian meals standard between Newark and India. First Class special meal options were also offered on certain West Coast and Alaska routes.

Soft drinks were complimentary across all flights. Beer, spirits, liqueurs, and wine were provided free of charge in BusinessFirst/Business Class but required payment in economy cabins. "Specialty Beverages" were available for purchase in economy on North American as well as Caribbean/Latin American routes.

In-flight entertainment

The Boeing 757-200 and 777-200ER fleets were equipped with Audio-Video On-Demand (AVOD) systems installed at every seatback, whereas the Boeing 767 series utilized personal televisions operating with a tape-based system. Each row on the 757-200 and 777-200ER aircraft featured power outlets—two for every set of three seats—compatible with standard adapters.

Beginning in January 2009, Continental Airlines provided passengers on its domestic routes—including Boeing 737-700, 737-800, 737-900, 737-900ER, and 757-300 models—with access to 95 live DirecTV channels.[1] Passengers could activate the service anytime during flight by swiping a credit card. First-class travelers enjoyed complimentary access, while coach passengers were charged $6. The movie selection was programmed without options to pause or rewind, and service availability might be restricted during descent.[2]

On December 16, 2009, Continental revealed plans to launch Gogo Inflight Internet on its fleet of 21 Boeing 757-300 aircraft operating domestic flights starting in the second quarter of 2010. This Wi-Fi service, powered by Aircell Network, allowed users to connect laptops or personal electronic devices to the Internet at speeds comparable to terrestrial mobile broadband. Connectivity became available once the plane reached cruising altitude, with pricing beginning at $4.95 depending on flight duration.

At airport kiosks, Continental offered "Continental Currency," a prepaid credit system usable for purchasing onboard audio headsets and alcoholic beverages.[3]

OnePass

Launched in 1987 through a collaboration with the now-defunct Eastern Air Lines, OnePass served as the frequent flyer program for Continental Airlines, the Trump Shuttle, Copa Airlines, and Copa Airlines Colombia. The program rewarded loyal customers with complimentary tickets, First Class upgrades, discounted entry to Continental's airport lounge (President's Club), and additional privileges. Members accumulated miles from flights operated by Continental and its partners. Elite membership levels—Silver, Gold, and Platinum—provided benefits including complimentary upgrades, mileage bonuses, priority check-in, and boarding privileges. OnePass replaced Continental’s prior TravelBank program by merging it with Eastern’s frequent flyer scheme to form a consolidated loyalty platform.

In addition to partnerships with Continental Express, Continental Connection, and Star Alliance members, OnePass maintained frequent flyer agreements (as of February 2012) with:

Following the merger between United Airlines and Continental Airlines, OnePass was discontinued on March 3, 2012, with all accounts transitioned into United’s MileagePlus program. Enrollment for new OnePass members ceased on February 29, 2012.

The President's Club functioned as Continental’s exclusive airport lounge membership initiative designed to enhance customer loyalty through premium airport services.

Accidents and incidents

The table below summarizes significant accidents involving Continental Airlines’ mainline aircraft:

N/A 426 August 7, 1975 Boeing 727-200 Denver, Colorado 124/7 0 0 15 0 Crashed post-takeoff due to windshear; aircraft totaled. |- 603 March 1, 1978 McDonnell Douglas DC-10 Los Angeles International Airport189/1142916710 Fire following aborted takeoff; four fatalities including two immediate and two later deaths. |- 25 July 8, 1987 Boeing 747 North Atlantic Ocean399/19000 Near mid-air collision with an off-course Delta flight. |- 1713 November15,1987 McDonnell Douglas DC-9 Denver International Airport77/52828260 Crashed during takeoff amid snowstorm conditions; fatalities resulted. |- 795 March2,1994 McDonnell Douglas MD-82 New York LaGuardia Airport110/60/030 Minor injuries following rejected takeoff in wintry weather. |- 1943 February19,1996 McDonnell Douglas DC-9 Houston Intercontinental82/512 No fatalities; wheels-up landing occurred. |- 475 September16,1998 Boeing737-500 Guadalajara Airport102/6 Aircraft damaged beyond repair after runway excursion. |- 55 July25,2000 McDonnell Douglas DC-10 Paris Charles de Gaulle N/A Debris dropped caused fatal Concorde crash; legal action ensued against Continental. |- 1515 January16,2006 Boeing737-524 El Paso International Airport114/51 Fatality involved ground crew mechanic. |- 1404 December20,2008 Boeing737-500 Denver International Airport110/52 Two serious injuries and multiple minor injuries following runway excursion with fire. |- 128 August3,2009 Boeing767 Dominican Republic168/114 Four serious injuries due to severe turbulence.
Major reported accidents and incidents involving Continental Airlines
Flight Date Aircraft Location Passengers/Crew Fatalities Serious Injuries Minor Injuries Ground/Other Injuries Remarks
N/A August 27, 1945 Lockheed Lodestar Albuquerque, New Mexico 0 0 0 0 Aircraft destroyed by fire while parked; no occupants on board.
46 March 16, 1954 Convair CV-340 Midland, Texas 8/3 0 0 11 0 Landed gear-up following vibrations and dive.
11 May 22, 1962 Boeing 707-100 Unionville, Missouri 37/8 45 0 0 0 Crash caused by onboard bomb explosion; total loss of life.
210 July 8, 1962 Vickers Viscount Lubbock International Airport 13/3 0 0 0 0 Propellers struck runway; aircraft damaged beyond repair.
290 January 29, 1963 Vickers Viscount Kansas City, Missouri 5/3 8 0 0 0 Crashed during approach and caught fire.
12 July 1, 1965 Boeing 707-124 Kansas City, Missouri 60/6 0 0 0 0
712 August 4, 1971 Boeing 707-320C Compton, California 87/9 0 0 0 2 (on Cessna)

Mid-air collision; Boeing landed safely; Cessna destroyed.

April 13, 1973 Sabreliner 60 Montrose, Colorado 2 fatal |0 |0 |0 |Thrust reverser deployed in flight; crashed shortly after takeoff.

A critical event was the May 22, 1962 bombing of Flight 11 by a passenger that resulted in complete loss of life aboard and had lasting effects on airline security measures. Another significant incident occurred on July 25, 2000 when debris from a Continental DC-10 caused the crash of an Air France Concorde in Paris; this led to fines and legal consequences for the airline.

Additional noteworthy occurrences include weather-related crashes such as the Boeing 727 accident in Denver (1975) and the McDonnell Douglas DC-10 overrun at Los Angeles (1978). In July 1987 a near mid-air collision took place over the North Atlantic involving a Continental Boeing 747 and an off-course Delta flight.

These incidents influenced Continental’s approach to risk management and prompted enhancements in operational safety protocols over time.

Incidents

  • July 1, 1965
  • March 1, 1978
  • October 28, 2006
  • January 2007
    • A pilot aboard a Continental Boeing 757 died suddenly during a flight from Houston to Puerto Vallarta, prompting the aircraft to divert and land in McAllen, Texas.
  • November 2008
  • June 18, 2009
    • The captain of Continental Flight 61, a Boeing 777-200ER en route from Brussels to Newark, passed away mid-flight from natural causes. The first officer and relief pilot successfully completed the landing with all 247 passengers aboard.
  • August 3, 2009
    • Continental Flight 128, a Boeing 767 flying from Rio de Janeiro to Houston, conducted an emergency landing in Miami after encountering severe turbulence. Among the 179 occupants, at least 26 passengers sustained injuries.
  • December 6, 2010
    • A Paris court held Continental criminally liable for the Concorde crash in 2000, imposing a €200,000 fine and ordering payment of €1 million to Air France. A mechanic involved received a suspended sentence; however, Continental was acquitted of criminal responsibility by a French appeals court in 2012.

See also

Further reading

  • Continental Airlines, Customer Service Manual, edition of 1970.
  • Vietor, Richard H. K., "Contrived Competition: Airline Regulation and Deregulation, 1925–1988," The Business History Review, Vol. 64, No. 1 (Spring 1990), pp. 61–108

External links

  1. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named Reiter
  2. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named Fleetstatus
  3. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named Cocurr
Retrieved from "https://www.alfawiki.org/index.php?title=Continental_Airlines&oldid=8556"