Continentals Invitation to Research

1
Continentals Invitation to Research

• Housmane Sow
• MKT 710
• Dr. Johnson

2
Current Industry Situation

• Airlines Have Fewer Non-competitive
  Opportunities
• Today, they are flying longer-hauls, creating
  upscale brand images, and building their presence
  in core cities.
• Perhaps most important of all, the fuel prices at
  an average above 55 for 2005.

3
Continental Profile

• the companys operating aircraft fleet consisted
  of 349 mainline jets and 245 regional jets
• During its first bankruptcy, it had 4,200
  employees and served 25 cities. Today, it is 6
  in the world, 42,000 workers and 268
  destinations,
•  System capacity has shifted to increase
  profitability42 of cap. on International
  routes.

4
System System-wide Flights

• Continental operates 1,159 flights,
• ExpressJet operates 1,445 daily flights,
• Continental Connection carriers combined
  operate 491 daily flights
• Total of 3,095 daily flights

5
Income Statement
6
Gordon Bethume

• Guided Continental through 9/11
• He was forced out in January 2005.
• Continental is now being led by Larry Kellner.

7
Frank Lorenzo

• When he left Continental was down and Eastern was
  permanently grounded in 1991
• In 1993 was denied his attempt of a new airline.
• I imagined that had to go into hiding!