Continental Airlines Posts $80 Million Q1 Net Loss

Continental Airlines has announced a net loss of $80 million for the first quarter of 2008. The airline has reported $22 million net profit for the same period of 2007.

Excluding a $5 million after tax gain from the sale of aircraft, the company has recorded a net loss of $85 million or $0.86 diluted loss per share for the first quarter of 2007.

The total revenue for the first quarter of 2008 was $3.6 billion, an increase of 12.3%, compared to $391 million over the same period in 2007. This increase was due to the increased fuel surcharges on passenger tickets and cargo, international growth and modest fare increases. The passenger revenue grew 11.3% to $328 million, compared to the first quarter of 2007.

Fuel costs increased 53.2% to $364 million in the first quarter, compared to the first quarter of 2007, with crude oil prices peaking at $110.33 per barrel and Gulf Coast jet fuel peaking at $139.67 per barrel during the quarter.

Larry Kellner, chairman and CEO of Continental, said: “Thanks to the continued hard work and dedication of my co-workers, we ran a solid operation despite extremely challenging times. In this rapidly changing competitive environment, we will stay focused on running a clean, safe and reliable airline with the best customer service in the industry.”