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Continental Airlines and British Midland Announce Code-Share Agreement

HOUSTON, August 10, 1998 -- Continental Airlines (NYSE: CAI.B and CAI.A.) announced today it has entered into a code-share agreement with British Midland, based in the U.K.

The code-share takes effect Aug. 17 on flights between Manchester, England and Aberdeen, Edinburgh and Glasgow, Scotland.

"This complements and provides an important feeder for our transatlantic flights and serves as a vital link to the tourist and commercial centers in Scotland," said Tom Barber, Continental's vice president of allianceoperations.

"We're delighted to have concluded this new agreement with Continental Airlines which will provide customers in Scotland with an attractive alternative service via Manchester when traveling to the U.S.," said Austin Reid, group managing director for British Midland.

Continental Airlines, which serves 13 cities in eight European countries, offers daily flights to both Manchester and Glasgow from Newark International Airport.

Continental is the fifth largest airline in the U.S., offering more than 2,000 departures daily to 125 domestic and 67 international destinations. Operating major hubs in Newark, Houston and Cleveland, Continental is strategically positioned for transcontinental travel, and offers extensive service to Latin America and Europe via its Houston and Newark gateways. Continental has entered into a strategic global alliance with Northwest Airlines that will result in interconnection of the two airlines' route systems, code-sharing arrangements, frequent flier reciprocity, cooperation between Continental and Northwest's transatlantic partner KLM, and other cooperative activities, subject to government approval.

The Continental OnePass frequent flyer program was named 1997 Program of the Year and Best Elite-Level Program, as well as having Best Overall Customer Service, Best Program Newsletter and Best Website in InsideFlyer's annual Freddie Awards. In addition, Continental was named "Airline of the Year" in 1997 by Air Transport World and was rated as having the best business class product among U.S. carriers by Conde Nast Traveler, Entrepreneur and Smart Money magazines.