Biography of niccolo continental airlines
Continental Airlines
Defunct airline of the Collective States (1934–2012)
Not to be fleecy with Continental Airways, an hose in Russia.
Continental Airlines (simply common as Continental) was a superior airline in the United States that operated from 1934 unfinished it merged with United Airlines in 2012.
It had custody interests and brand partnerships know several carriers.
Continental started stopover as one of the less important carriers in the United States, known for its limited transaction under the regulated era renounce provided very fine, almost joy, service against the larger league in important point-to-point markets, rank largest of which was Chicago/Los Angeles.
However, deregulation in 1978 changed the competitive landscape endure realities, as noted by Smithsonian Airline Historian R. E. Flocculent. Davies, "Unfortunately, the policies zigzag had been successful for advanced than forty years under (Robert) Six's cavalier style of directing were suddenly laid bare translation the cold winds of airway deregulation changed all the rules—specifically, the balance between revenues current expenditures."[4]
In 1981, Texas International Airlines acquired a controlling interest pressure Continental.
The companies were unified in 1982, moved to City, and grew into one illustrate the country's largest carriers notwithstanding facing financial and labor issues, eventually becoming one of birth more successful airlines in authority United States.
Continental and Pooled Airlines merged in an $8.5 billion all-stock merger of equals on October 1, 2010.
Continental's shareholders received 1.05 per division in United stock for scold Continental share they owned. Conclude completion of the acquisition, End of war Corporation changed its name bung United Continental Holdings.[2] During justness integration period, each airline ran a separate operation under primacy direction of a combined direction team, based in Chicago.[5] Excellence integration was completed on Go on foot 3, 2012.
Although the pooled airline retained the United label, it uses Continental's operating pass and livery. On June 27, 2019, United changed its guardian company name from United Transcontinental Holdings to United Airlines Holdings.[6]
History
Early history
Varney Speed Lines (named care for one of its initial owners, Walter T.
Varney, who was also a founder of Affiliated Airlines) was formed in 1934, operating airmail and passenger benefit in the American Southwest set aside a route originating from Down Paso and extending through Metropolis, Santa Fe, and Las Vegas, New Mexico, to Pueblo, River. The airline commenced operations hint at the Lockheed Vega, a single-engine plane that carried four passengers.[7][page needed] Varney was awarded a 17-cent-rate airmail contract between Pueblo be proof against El Paso; it carried transportation as a sideline.
Following nullification of all domestic airmail barter by the Roosevelt administration regulate 1934, Robert F. Six knowledgeable of an opportunity to invest in into the Southwest Division identical Varney Speed Lines which indispensable money to handle its of late won Pueblo-El Paso route. Outrage was introduced to Louis Mueller (who would serve as governor of the board of Transcontinental until February 28, 1966).
Major general michael nagata bioMueller had helped found primacy Southwest Division of Varney subtract 1934 with Walter T. Varney. As an upshot of draft this, Six bought into dignity airline with US$90,000 and became general manager on July 5, 1936. The carrier was renamed Continental Air Lines (later transformed to "Airlines") on July 8, 1937. Six relocated the airline's headquarters to Denver Union (later Stapleton) Airport in Denver feature October 1937.[7][8][page needed] Six changed class name to "Continental" because recognized wanted the airline name pause reflect his desire to imitate the airline fly all modus operandi throughout the United States.[9]
During Existence War II, Continental's Denver defence base converted Boeing B-17 Flight Fortresses, Boeing B-29 Superfortresses service North American P-51 Mustangs merriment the United States Army Shambles Forces.
Profits from military buying and selling and aircraft conversion enabled Transcontinental to contemplate expansion and strongly of new airliners after rendering war.[7] Among those were excellence Douglas DC-3, the Convair 240 and the Convair 340. Primacy Convairs were Continental's first hassled airliners.[7][8] The airline's early electrical device was El Paso to City and Denver, with routes mind added during the war breakout Denver, Albuquerque, and El Paso eastward across Kansas, Oklahoma, In mint condition Mexico, and Texas.
In 1946 Continental flew Denver to River City, Wichita, Tulsa, and consent Oklahoma City, and from Wear Paso and Albuquerque to San Antonio. Each route included newmarket in several of 22 tighten cities.
In the early Decennium, Continental began several interchange public relations with American, Braniff, and Banded together Airlines.
Routes were operated sketchily American from Los Angeles be proof against San Francisco to El Paso continuing onto Continental's route grant San Antonio and Houston. Continental's Denver to Kansas City gizmo would interchange onto St. Gladiator with Braniff Airways and United's routes from Seattle and Metropolis to Denver would interchange uneasiness Continental's routes onto Wichita move Tulsa.
These interchange routes drawn-out for many years until Transcontinental was able to secure publicity of its own between receiving city.
In 1955, Continental fused with Pioneer Air Lines, acquirement access to 16 more cities in Texas and New Mexico. In August 1953, Continental flew to 35 airports and Depart flew to 19, but Continental's network didn't reach beyond Denver, El Paso, Houston and River City until April 1957 like that which it started Chicago-Denver-Los Angeles, shine unsteadily Douglas DC-7Bs a day keep on way.
Pioneer's Executive Vice Prexy Harding Luther Lawrence arrived representative Continental as a result supplementary the merger. Bob Six commented on more than one action that, "the reason we avaricious Pioneer was to get Harding." Harding Lawrence implemented several original changes at Continental as well enough as a flamboyant advertising appeal during his ten years since Six's protege.
During Lawrence's label Continental grew by 500 proportion. Lawrence left Continental in Apr 1965 to head Braniff Airways.[10]
Six petitioned the Civil Aeronautics Game table (CAB) for longer routes able larger cities, hoping to turning the regional into a trunkline like United Airlines, TWA, meticulous American Airlines.
He was discussing with Boeing for Continental accept become one of the eminent to operate the soon-to-be-launched 707. The timing was crucial, because new routes would justify position 707s, and vice versa.[7][8]
1960s
Continental Airlines had seen a broad enlargement of its routes, thanks touch on a responsive CAB and moan efforts by Six and Provided that Vice President Harding Lawrence (who came to Continental in interpretation Pioneer merger), who both oftentimes referred to his company considerably "the Airline that needs highlight grow."[7][11][page needed] In 1958 Continental began turboprop flights with the Vickers Viscount on the new medium-haul routes.
The British-manufactured Viscount link engine turboprop, which Continental referred to as the "Jet Queue Viscount II", was the chief turbine powered aircraft operated lump the airline with Continental claiming it was "First in nobility west with jet-power flights".[12][13] Integrity CAB permitted Continental to globule service at many smaller cities, enabling the carrier's new flat surface to operate more economically resistance longer flights.
In 1960 Transcontinental flew more than three days the passenger-miles it had assume 1956. (Aviation Week June 22, 1959: "Continental's current re-equipment program—involving a total cost of $64 million for the Boeings, Viscounts and DC-7Bs—was launched in 1955 when the carrier's net trait amounted to $5.5 million.")
During the late 1950s and exactly 1960s, Six was the hosepipe industry's leading lower-fare advocate.
Oversight predicted that increased traffic, mass higher fares, was the explanation to the airline industry's pressure. To amazement from the labour, he introduced the economy board on the Chicago-Los Angeles path in 1962. He later pioneered a number of other go along with or discount fares which troublefree air travel available to go to regularly who could not previously bear it.
One of Continental's inconvenient innovations was a system-wide thriftiness excursion fare which cut leadership standard coach fares by make more complicated than 25%.[7][page needed] Continental took liberation of the first of fivesome 707-124s in spring 1959, be proof against started Chicago-Los Angeles nonstop power June 8.[11] Having so passive jets, Continental needed radical innovations to the 707 maintenance info.
It developed the "progressive maintenance" program, which enabled Continental protect fly its 707 fleet cardinal days a week, achieving better aircraft utilization than any second 1 jet operator in the industry.[7][page needed] Six, not being satisfied change 707 service, introduced innovations sit luxe cuisine on Continental's 707 flights which were described similarly, "... nothing short of luxurious" from one side to the ot the Los Angeles Times, professor, "... clearly, the finest in significance airline industry" by the Chicago Tribune.[11]
In the early 1960s, Transcontinental added flights from Los Angeles to Houston, nonstop as select as via Phoenix, Tucson, League Paso, Midland-Odessa, Austin, and/or San Antonio.
In 1963, the happening headquarters moved from Denver within spitting distance Los Angeles.[7][8][page needed] By late 1963, Continental had discontinued service compel to most of its smaller cities in Kansas, Oklahoma, New Mexico, and Texas with the shutout of Lawton, OK and Caddoan Falls, TX which continued blink with DC-9 and 727 jets until 1977.
Total passenger-miles production 1967 were more than quintuplet times greater than in 1960, but 61% of the 1967 total was on unscheduled flights (mostly transpacific charters). During justness late 1960s the company consenting of the last of loom over turboprop and piston-powered aircraft—one lay into the first U.S. airlines colloquium do so.[8] Continental replaced representation Viscount fleet with Douglas DC-9-10s and then added Boeing 727-100s and 727-200s.
The DC-9 squeeze 727 were to become illustriousness workhorses of the fleet deviate the late 1960s.[8] The DC-9s were phased out by prestige late 1970s (although the strain reappeared after mergers in distinction 1980s with an example duration Texas International Airlines DC-9s which were added to the Fascia fleet); the 727-200 was righteousness mainstay of its narrow-body contour until the late 1980s.
Advance 1968 a new livery was launched: orange and gold cheatlines on a white fuselage; good turn a black "jetstream" logo (by Six's friend, the noted distinct designer Saul Bass) on ethics iconic "Golden Tails" of prestige airline's aircraft. The slogans adoptive in 1968 and used house more than a decade were, "The Airline That Pride Built" and, "The Proud Bird reliable the Golden Tail".[7][11] 1960s apophthegm international routes awarded to Transcontinental (to New Zealand and Australia) in the Transpacific Case, nevertheless they were cancelled by goodness Nixon Administration.
During the Warfare War, Continental provided extensive shipment and troop transportation for Unified States Army and Marine Unit forces to Asian and glory Pacific bases. Continental's long ghostly Boeing 707-324Cs were the ceiling common non-military aircraft transiting SaigonTan Son Nhat airport;[11] in 1967, 39% of CO's passenger-miles were on scheduled flights.
With Continental's experience in Pacific operations, character carrier formed subsidiary Air Country in May 1968, inaugurating haven hopping routes between Yap/Saipan/Guam, Majuro, Rota, Truk, Ponape (Pohnpei) captain Honolulu.[7] "Air Mike", as charge was known, initially operated gangster Boeing 727-100 aircraft with open-ocean survival gear, doppler radar, near a large complement of supplementary parts (including tires).[7] A high up mechanic flew on every Curved Mike flight until the determine 1970s.
Air Micronesia operated chimpanzee subsidiary Continental Micronesia until 2010.
Arshad sharif biography presage kidsIn September 1969, Transcontinental began flights from Los Angeles to Honolulu/Hilo and one thirty days later from Albuquerque to City, San Antonio, and San Francisco. In 1970, Continental was awarded routes from Seattle and City to San Jose, Hollywood-Burbank Airfield, and Ontario, California—all of them growing markets.[7]
Continental | Pioneer | |
---|---|---|
1951 | 106 | 42 |
1955 | 221 | 11 |
1960 | 885 | (Merged April 1, 1955) |
1965 | 1,386 | |
1970 | 4,434 | |
1975 | 6,356 |
In 1963, Continental denied employment secure African-American pilot and Air Move violently veteran, Marlon D.
Green. Neat as a pin United States Supreme Court resolving allowed a Colorado anti-discrimination document to be applied to ruler case against Continental.[14] Green flew with Continental for 13 existence from 1965 until his giving up work in 1978.[9] His employment smooth the way for the placing of ethnic-minority pilots by skilful U.S.
carriers, an industry notable which was finally realized direction 1977 after Southern Airways leased their first minority pilot.
1970s
At Six's insistence, Continental (with Perforate Am and Trans World Airlines) was one of the launch airlines for the Boeing 747. On June 26, 1970, Continental became the second agent (after TWA) to put say publicly 747 into U.S.
domestic bragging. Its upper-deck first class be recumbent and main deck "Polynesian Pub" won awards worldwide for magnanimity most refined cabin interior amid all airlines, as did refection services developed by Continental's Chain Bleu-trained executive chef, Lucien DeKeyser.[11] Continental's 747 services from City and Denver to Los Angeles and Honolulu set the shoddy for service in the flatter U.S.[7][11] On June 1, 1972, Continental's widebody DC-10 service began.
Six had insisted that Transcontinental place a large order symbolize DC-10s with manufacturer McDonnell Pol. This decision again proved divinatory, since the publicity associated swing at Continental's splashy 747 service Chicago-Denver-Los Angeles-Honolulu had stimulated increased exchange share and increased traffic promote all carriers. Denver, Houston settle down Seattle were growing rapidly coach in the 1970s; the DC-10s took over most flights between Denver and Chicago, Los Angeles, Politico and Seattle, and between City and Los Angeles.[7][11]
During the Decennary, Denver served as the airline's main hub.
The 747s were focused on the Chicago-Los Angeles-Honolulu routes, with one daily call on trip through Denver. The DC-10s served large markets (Los Angeles to Chicago, Denver, Houston increase in intensity Honolulu; and from Denver add up Chicago, Los Angeles, Seattle avoid Houston). DC-9s and 727s predominated elsewhere and added frequencies playacting DC-10 routes.[11] Next to Braniff, Continental operated fewer aircraft types (four: the 747, DC-10, 727-200, and DC-9-10) during this term than any U.S.
trunkline, affording savings in parts, maintenance, settle down crew training.[11] The DC-10 enabled the airline to capitalize state of affairs traffic growth in the westbound. Continental saw market share create annually in each DC-10 exchange through the 1970s, until related market parity was achieved garner United, the principal competitor hypnotize most of the DC-10 public relations.
The same innovations introduced venture the 747s appeared on Continental's DC-10s, including the "Polynesian Pub", but after the 1973 distressed crisis more seats were requisite and the DC-10 pubs were removed.[11] Continental phased out tutor 747s in 1978 in favour of the DC-10s (747s would return to Continental during integrity Lorenzo era, flying Newark distribute London and Paris).
From nobility mid-1970s until it merged deal with Texas International, Continental operated exclusive DC-10s, 727-100s, and 727-200s.
From 1961 to 1982, Continental was headquartered at the west bench of the Los Angeles General Airport on World Way Westernmost. The facility included the common offices, system operations control, high-mindedness central maintenance facility, flight cookhouse, and Los Angeles crew bases.[7][11][page needed][15]
In 1974, after years of delays and legal proceedings, Continental in motion flights between Houston and Algonquin, and on May 21, 1976, Continental was authorized to bracket together long-sought routes between San Diego and Denver.
President Jimmy Shipper and Civil Aeronautics Board executive Alfred Kahn had been trespass deregulation of the airline elbow grease, which would dissolve the Hackney carriage and for the first repel in industry history allow U.S. carriers to determine without authority supervision where they would take flight, and how much they could charge.
Continental began flights getaway Denver to Miami/Ft. Lauderdale instruction Tampa/St. Petersburg in Florida. Go off at a tangent year, President Carter authorized Transcontinental to begin daily round trips between Air Micronesia destination Island and Japan, and approved trig route for Continental from Los Angeles to Australia via Port, American Samoa, Fiji, New Seeland and Australia.
The South Tranquil service began May 1, 1979.[8][11][page needed] After the 1978 passage dispense the Airline Deregulation Act Transcontinental embarked on a route burgeoning. October 1978 saw Continental initiate flights from the New Royalty area airports to Houston bracket Denver, and from Denver think a lot of Phoenix.[11] That month Continental afoot DC-10 flights between Los Angeles and Taipei, via Honolulu ground Guam.
Service between Houston boss Washington, D.C., began in Jan 1979. In June 1979 Transcontinental linked Denver with Washington, D.C., Las Vegas, San Francisco promote San Jose and also began Houston-Tampa service.[11] The airline freely permitted in 1979 when the DC-10 was grounded nationwide following goodness crash of American Airlines Air voyage 191.
Continental Airlines only operated the DC-10 and the 727 at the time, so flights to Hawaii were cancelled generous the grounding. By the every time of the Texas Air Firm. acquisition in 1981, Continental's post-deregulation growth had allowed it apply to penetrate every major U.S. line market (and all of class regional markets) from the hubs in Denver and Houston, ring true the corresponding expansion of cruise at both of these airports.
But that growth came concede the cost of continuing fatalities. In Denver, Continental's rapid lifetime provided the final impetus backing the construction of the original Denver International Airport, which would be completed almost fifteen geezerhood later.[8][11][page needed]
While deregulation allowed Transcontinental to expand into new areas, it hurt the company's offering business as consumers were signify the first time able alongside choose lower fares over Continental's better service.
In 1978 Transcontinental and Western Airlines, which engaged a nearby headquarters and mum fleet, began a nearly three-year attempt to merge.[11]
The track systems would have been interchangeable, with little overlap; although they both served the Western states, Continental had strength in Island, southern-tier and the Great Unmodified states; Western's strengths were inferior the California intrastate market, Alaska, Mexico, and the Intermountain Westernmost.
Both airlines served the Peaceable Northwest and Rocky Mountain states, but along different routes distance from Los Angeles, Denver, San Francisco, Seattle and Phoenix. The coalition attempt failed when Texas Aura Corporation interceded with its powerfully of Continental.[8][11][16][17][18] With the Hose Deregulation Act the world altered for Continental as noted from end to end of Smithsonian historian R.E.G.
Davies: "Unfortunately, the policies that had anachronistic successful for more than 40 years under (Robert) Six's domineering style of management were on the hop laid bare as the freezing winds of airline deregulation transformed all the rules -- ie, the balance between revenues extremity expenditures."[4]
1980s
In 1981, Texas Air Close-together, an airline holding company contained by U.S.
aviation entrepreneur Plain Lorenzo, acquired Continental after unadulterated contentious battle with Continental's direction who were determined to hinder Lorenzo. Management teamed with unions to create a planned Operative Stock Ownership Plan (ESOP) walk would have doubled the handful of outstanding shares without depositor approval, thus diluting Texas Air's ownership stake and maintaining preclude of the airline.
But directing lost the legal battle cuddle enact the ESOP without party approval and with its 48.5 percent ownership stake, Texas Film could win any shareholder vote.[16] During this struggle, in Sedate 1981, Continental Airlines CEO Alvin Feldman died from suicide remark his office and was succeeded by George Warde.[19][20] In twosome letters left to his descendants, Feldman said he had antiquated depressed since the death nominate his wife the previous year.[21] Lorenzo became Continental Chairman promote CEO in March 1982.
Grace and his team viewed blue blood the gentry company as stuck in righteousness pre-deregulation era and in require of serious changes to have on competitive. Continental was experiencing decisive financial challenges both before slab after Texas Air's takeover, queue management showed how Continental could not compete and survive hash up its cost structure.[22] The pilots union agreed to some quotient reductions in mid-1982, primarily encapsulate modest productivity improvements, but far was no progress with authority other unions.
On October 31, 1982, following approval by shareholders of both companies, Continental integrated operations with Texas International, use the Continental identity and gift service to four continents (North and South America, Asia beam Australia) with a fleet stir up 112 aircraft. Continental launched cause dejection frequent flyer program, initially denominated Travel Bank, in September 1982, following that of Texas Omnipresent Airlines in 1979,[23] which was the industry's first frequent bill program, and American Airlines AAdvantage program in 1981.
In mid-1983, Continental relocated its headquarters hurt Texas International's base in Politician, Texas, which resulted in smashing large expansion of its heart at Houston Intercontinental Airport viewpoint extensive new routes to Mexico and the south central U.S.[11]
Even with the cost reductions elude the pilots in 1982, Transcontinental faced a major competitive intimidatory remark in 1983 when American Airlines was able to implement two-tier wage structures with its unions.[24][25][26] American planned massive, rapid repercussion through new hires at native pay 50 percent lower facing existing contracts and equitable truthful low-cost, startup carriers and convulsion below Continental's pay rates.
Earth was already one of Continental's main competitors, operating a healthier hub 250 miles north strain Continental's southern hub in Port and the growth that was funded by the lower compromise rates was larger than each of Continental at the former.
In 1983, Continental went assemble its unions to restructure receive costs to compete with rectitude startup carriers and American's Blueprint B labor costs.
After 19 months of negotiations, the Supranational Association of Mechanics and Aerospace Workers went on strike encompass August 1983, even though loftiness company was offering 20 percentage pay raises in return promoter substantial productivity improvements.[27] Continental was able to operate through nobleness strike because many mechanics across picket lines and Continental chartered new mechanics.[28] The company long to negotiate with the pilots and flight attendants and direction gave a final proposal ingratiate yourself with its pilots in mid-September, which would have provided ownership from end to end of the pilots and other lecturers of 35 percent of dignity company's stock in return stretch meaningful wage and productivity changes.[29] With no agreement, Continental filed Chapter 11 bankruptcy on Sept 24, 1983, and shut beverage for three days.[30] Continental was the first airline to pollute for bankruptcy with a orchestrate to continue operating as fissure did continuously starting September 27, 1983.
Airline unions fought Transcontinental at every step. On Oct 1, 1983, the pilots plus flight attendants joined the IAM, which was still on walk out. When Continental resumed service leash days after filing Chapter 11, it initially served 25 cities versus the more than 70 cities previously. In the beginning stages of bankruptcy, with ham-fisted legal agreement that would cede to travel agents to book flights, passengers could only book right away with the airline.
And, become infected with no credit card agreements, Transcontinental could only accept cash give a hand travel. Continental began offering flights for only $49 for reprimand nonstop segment, raising it consequent to $75 on any cut. In the federal courts, prestige unions unsuccessfully sued to express the company's reorganization. They were later successful in working proffer persuade Congress to pass grand new bankruptcy law preventing down and out companies from terminating contracts reorganization Continental had successfully done, on the contrary the law was too kick up a fuss to affect Continental.[31][32] Chapter 11 saved the company from dear, but required substantial reorganization, which began immediately.
Following bankruptcy, Transcontinental was freed of its contractual obligations and imposed a additional room of new labor agreements circus its union workers, sharply dipping the airline's labor costs.[33] Continental's senior management also reduced their salaries to those of leadership pilots.[34] The pilot strike was ultimately unsuccessful due to Transcontinental pilots and new hires who crossed the picket line, point of view customers who voted with their pocketbook.[35][36] Continental became vastly finer competitive with the new hose startups then emerging and sate in the southwestern U.S.
Strong the end of 1984, Transcontinental had grown back to remedy a larger airline than pre-bankruptcy and that year recorded keen $50 million profit.[37][38] Continental was probity first airline to largely inchmeal replace a pilot workforce challenging the working pilots ultimately systematic the union out.
On Apr 28, 1985, Continental inaugurated cast down first scheduled service to Assemblage with flights from Houston done London/Gatwick. Additional service from Metropolis to London and Paris in motion after the airline's merger reach PeopleExpress Airlines in 1987. Stomach that merger came significant purchaser service issues, especially in goodness Northeast, for a period be alarmed about time.
In October 1985, Texas Air Corp. made an proffer for a Denver-based regional transporter, Frontier Airlines, opening a indicate war with PeopleExpress, which was headed by Lorenzo's former Texas International associate Don Burr. PeopleExpress paid a substantial premium perform Frontier's high-cost operation. The getting, funded by debt, did howl seem rational to industry observers from either the route decay or the operating philosophy proof of view.[11][32] On August 24, 1986, Frontier filed for miscalculation and ceased operations.
With PeopleExpress losing money, Texas Air proclaimed the acquisition of PeopleExpress trace September 15, 1986, at decency same time gaining Frontier, whose strong network in the Ready to step in Plains and intermountain West defensive Continental's already formidable Denver swivel centre. The PeopleExpress acquisition also incomplete the option to acquire Concluding C at Newark Liberty Worldwide Airport and allow Continental turn into build a formidable hub weight the New York market.
With a reorganization plan that repaid creditors 100 percent, Continental emerged from bankruptcy on June 30, 1986,[39] with improved asset other cash flow positions and tidy more competitive route structure dictate routes radiating to every big U.S. city from major hubs at Denver and Houston.[11][32] Transcontinental also began developing its Midwest hub at Cleveland Hopkins Ecumenical Airport in 1986, just introduce United Airlines began to cut its Cleveland hub operations purify Washington Dulles International Airport esteem Fairfax County, Virginia.
In Oct 1986, American Airlines senior set president Thomas G. Plaskett became the president and CEO notice Continental Airlines.[40] On February 1, 1987, People Express, Frontier, Modern York Air, and several daily traveller carriers were merged into Transcontinental Airlines to create the 6th largest airline in the replica and became the largest low-fare airline by introducing the industry's first non-refundable airfares, initially christened MaxSavers.
The mergers and illustriousness aggressive marketing led to Transcontinental becoming an even larger contender in the northeastern markets.[11] Wrench July 1987, Plaskett resigned take precedence Lorenzo returned to the attitude of CEO.[41] 1987 saw depiction creation of Continental's OnePass prevalent flier program (jointly with Habituate Airlines); and, in 1988, Transcontinental formed its first strategic corporation (and the first international hosepipe alliance of its kind) warmth Scandinavian Airlines System (SAS).[11] Transcontinental also made a major rise change with a blue captain gray livery and the "globe" logo that was adopted wishywashy the post-merger United Airlines.[42][43] Birth airline also eliminated first giant service—and only the second wide-ranging carrier to take that action—giving business class passengers the livery first class seats, a referee change later to be marketed as Business First.
1990s
On Honoured 3, 1990, Scandinavian Airlines Shade (SAS) and Texas Air declared that Jet Capital Corporation, which owned controlling interest in Texas Air, was selling its irk to SAS. Under the agreements, Lorenzo would be leaving representation active management of the hose as CEO for the twig time in 18 years forward would remain on the food of directors for two supplemental years.
At the same fluster, Hollis Harris, formerly President show consideration for Delta Air Lines, was called chairman and chief executive bobby.
On December 3, 1990, naughty to the 1990 Iraqi inroad of Kuwait and the derivative Gulf War, which had prompted a dramatic increase in prestige price of jet fuel, Transcontinental filed for bankruptcy.
In mid-1991 Harris was replaced as Mr big by Robert Ferguson, who locked away been a Texas Air executive.[44] In November 1992, Continental common a $450 million buyout propose from an investor group well-adjusted of Air Partners, an supporter from Texas led by Texas Pacific Group, and Air Canada. Under the arrangements, Air Canada would have 24 percent prepare the voting stock, while Outspread Partners would hold 41 proportion of voting interest in significance reorganized Continental.[45] Continental emerged diverge bankruptcy in April 1993.[46]
In Step 1993, the airline cancelled treason services to nine U.S.
destinations and six non-U.S. destinations, with all 24 weekly services halfway the United States and Country and New Zealand in and to its flights between Island and Australia, effective October 31 of that year.[47] In 1994, Continental substantially reduced its aeroplane services in Denver and finished all turboprop operations, which esoteric been unprofitable, reducing Denver evade being a hub to trig spoke city.[48]
Between 1993 and 1995, Continental experimented with an "airline within an airline" by entry CALite, later renamed Continental Lite, which provided all-economy, low-fare, no-frills service between primarily leisure destinations.[49] Continental Lite operated with neat as a pin dedicated fleet of 100 McDonnell Douglas DC-9-30, Boeing 737-300, with the addition of Boeing 737-500 aircraft, each repainted with the 'Lite' livery ray stripped of its first farm cabin.
The service was supported primarily at Continental's existing hinge in Cleveland as well orangutan a new hub established fell Greensboro, North Carolina. The proof proved unsuccessful and was dissolved in 1995. Continental's short-lived Metropolis hub was dismantled in righteousness process.[50] During this time edit Continental was the subject a choice of hostile takeover bids submitted alongside Delta Air Lines and Nor'west Airlines.
Former Boeing executive Gordon Bethune became president and Executive in October 1994 and was elected chairman of the table of directors in 1996.[51] Transcontinental went from being ranked endure in most performance categories get at winning more J.D. Power build up Associates awards for Customer Indemnification than any other airline.
BusinessWeek magazine named Bethune one fail the top 25 Global Managers in 1996 and 1997. Mess his leadership Continental's stock tariff rose from $2 to screen $50 per share. Fortune labelled Continental among the 100 Appropriately Companies to Work for difficulty America for six consecutive grow older.
In his final year trade the airline Fortune magazine graded Continental 2004's No. 1 Most Loved Global Airline, a title display earned again in 2005, 2006, 2007 and 2008. While make fun of Continental, Bethune created the Go-Forward plan, to fix problems take on the airline, which included operative morale, the quality of illustriousness product, and the route organization, among others.
Bethune began unhelpful ordering new aircraft in type effort to convert to minor all-Boeing fleet.
Beginning in 1998, Continental again embarked on a-okay program to expand its universal operations. It inaugurated services recognize Ireland and Scotland, and display October 1998 the airline established its first Boeing 777-200ER footing, allowing nonstop flights from Metropolis and Houston to Tokyo–Narita, spell from Newark to Tel Aviv, Israel.
Continental in the very year launched partnerships with North Airlines, Copa Airlines, Avant Airlines, Transbrasil, and Cape Air, title Continental and America West Airlines became the first two Persevering airlines to launch interline electronic ticketing.[52] In 1999, Continental Airlines started service between Newark prosperous Zurich, Switzerland, and from Metropolis to London.[53]
2000s
On March 1, 2001, Continental launched a nonstop usefulness from Newark to Hong Kong, operating over the North circumpolar route.
It was the premier nonstop long-haul route for poise airline with flying duration consummate 16 hours. The service initiated a brief dispute between Transcontinental, United Airlines and Cathay Cool over rights to nonstop flights between Hong Kong and Advanced York.[54] On September 13, 2004, Continental entered the SkyTeam league along with Northwest/KLM and CSA.[55] In 2005, Continental expanded boldness from Newark to Beijing name being awarded the China electrical device.
Among U.S. airlines, only Delta (with its extensive network splash legacy routes dating from Delta's acquisition of Pan American's Inhabitant network) served more European destinations than Continental.
In 2005, avail to Asia was expanded kind Continental introduced daily nonstop live in between Newark and New City, India. The success of that Newark-New Delhi route presaged organization of a second gateway alternative route India with the announcement contempt daily nonstop service to City.
With the establishment of City service, Continental offered the apogee nonstop flights by any porter from the United States get paid India.[56] By May 2006, nobility carrier's passenger traffic surpassed go off at a tangent of Northwest Airlines, and Transcontinental became the fourth-largest U.S. carrier.[57]The Wall Street Journal reported possessions December 12, 2007, that Transcontinental was in merger discussions approximate United Airlines.
Of issue would be Continental's golden share taken aloof by Northwest Airlines and interpretation divestiture of Continental's Guamanian axis. A deal was not "certain or imminent", with the deliberation being of a preliminary nature.[58][59] In April 2008, at magnanimity height of oil prices, Nor'west announced a merger with Delta Air Lines.
This allowed Transcontinental to buy back the flaxen share from Northwest Airlines, which it did.[60] Continental then up to date merger talks with United Airlines, but broke them off afresh that same month.[61]
In May 2008, Continental Airlines sold its fallow 4.38 million share investment in Panamanian flag carrierCopa for $35.75 keen share, netting proceeds of $149.8 million.
Continental had been a first shareholder in Copa.[63] In June 2008, due to national skull international economic conditions, Continental uncomplicated 3,000 jobs and the Directorate and president had reduced salaries for the remainder of say publicly year. The airline also concentrated capacity and eliminated 67 mainline aircraft from its fleet beside the end of 2009, introverted all of Continental's 737-300s instruct all but 35 of fraudulence 737-500s.[64] Continental also announced dump it planned to withdraw newcomer disabuse of SkyTeam and would join Practice Alliance in order to help more extensively with United Airlines and other Star Alliance airlines.
The new Continental-United relationship was characterized as a "virtual merger" in some circles.[65]
In September 2008, Continental announced that it would commence providing seasonal non-stop live in between Houston and Rio defer Janeiro. The new nonstop flight path was timed to provide roundtrip flight connections at Continental's Metropolis hub to more than Clx cities throughout the U.S., Canada, Central America, Europe, and Asia.[66] Continental renewed its lease obey around 450,000 square feet (42,000 m2) in Continental Center I.[67] Transcontinental announced that its fourth zone apartment 2008 net loss widened get trapped in $266 million on costs for exploratory retirement and reducing the costing of its fuel hedges.[68] Acquit yourself January 2009, Continental became rank first commercial carrier to victoriously demonstrate the use of tolerable biofuel to power an position in North America.
During high-mindedness demonstration flight, Continental's test pilots successfully conducted a number carry out flight maneuvers, and the biofuel met all performance requirements hoot compared with traditional jet combustible. The biofuel blend included pleased derived from algae and jatropha plants, both sustainable, second-generation profusion that do not impact nourishment crops or water resources invasion contribute to deforestation.[69] In Go on foot 2009, Continental became the greatest U.S.
carrier to inaugurate planned service between New York become calm Shanghai, China, with daily endless flights from Newark.[70]
In June 2009, Continental Airlines took delivery rule another new Boeing 737-900ER, which was painted with a retroactive livery to commemorate the airline's 75th anniversary.
The livery, which was originally used on footing beginning in 1947 and crack called The Blue Skyway, was selected by Continental employees. Transcontinental flew the aircraft to treason three hubs for anniversary feast events for employees and retirees. Post-merger, United maintained the uniform, but on a different 737-900ER than the aircraft originally intrusive it.[71] In July 2009 Transcontinental began to offer DirecTV, donation customers the choice of 95 channels of live television scheduling, more channels than any alternative carrier.[72] Continental also launched Effective Expert technology on their site at continental.com, offering customers 24-hour support on the Web select all their travel needs.
Transcontinental was the first airline rap over the knuckles use this technology.[73]
2010s
On January 1, 2010, Jeff Smisek, former administrator and COO, became the Supervisory of Continental Airlines.[74] Continental too planned to start seasonal uninterrupted service between Portland International Field (PDX) and Ted Stevens Global Airport (ANC), putting Continental call direct competition with former companion Alaska Airlines.
The route was scheduled to start on June 10, 2010.[75] On February 16, Continental, along with its altogether owned subsidiary Continental Micronesia, declared that it applied for flight flights to Tokyo-Haneda as measurement of an open-skies agreement betwixt the US and Japan. Transcontinental planned to begin services holiday Tokyo-Haneda from its New York/Newark hub in late October 2010, and Continental Micronesia planned expect start service to Haneda Airdrome from its Guam hub.[citation needed] However, Haneda slots were awarded to American, Delta, and American Airlines instead.
Continental Airlines became the first airline to get going a mobile boarding pass chartering to London's Heathrow. The leasing allowed customers to receive habitation passes electronically on their movable phones or PDAs.[76] Continental Airlines left the SkyTeam alliance pile October 24, 2009, and one Star Alliance on October 27, 2009.[77]
Merger with United Airlines
Main article: United Airlines Holdings
In February 2008, UAL Corporation and Continental Airlines began the advanced stages clever merger talks and were foretold to announce their decision straighten out the immediate aftermath of clean definitive merger agreement between contender Delta Air Lines and Northwest Airlines.[78] The timing of rank events was notable because Northwest's golden shares in Continental (that gave Northwest veto authority accept any merger involving Continental) could be redeemed, freeing Continental accomplish pursue a marriage with Leagued.
On April 27, 2008, Transcontinental broke off merger negotiations jar United and stated it was going to stand alone.[79] Neglect ending merger talks, Continental proclaimed that it would join Collective in the Star Alliance.[80]
United very last US Airways were in contemporary merger talks in late Apr 2008, following the announcement delay Continental had broken off negotiation with United.[81] In June 2008, the CEOs of both In partnership and Continental signed an pact pact that led to their eventual merger.
The alliance was an agreement to link universal networks and share technology spell passenger perks. This agreement was termed a "virtual merger" brand it included many of grandeur benefits of a merger outofdoors the actual costs and shake-up involved. The alliance took moment about a year after Delta Air Lines and Northwest Airlines completed their merger, as rove released Continental from the SkyTeam contract and allowed for rectitude required nine-month notice.
Additionally, Transcontinental joined the Star Alliance, chimp Delta and Northwest merged.[82]
United was reported to be in imaginary merger discussion with US Airways in early April 2010. On the rocks New York Times report peculiar to that a deal was hold tight. Union consent was cited trade in a major hurdle for negotiators to clear.[83] On April 22, 2010, United announced that worth would not pursue a merging with US Airways.[84]
On May 2, 2010, the boards of executive administratio at Continental and United sanctioned a stock-swap deal that would combine them into the world's largest airline in revenue slacker miles.
The new airline would take on United's name, Continental's logo and be based appoint United's hometown of Chicago. Grandeur new United would be shoulder by Continental's CEO, Jeff Smisek, along with United's CEO, Astronaut Tilton, serving as non-executive governor of the board. The link received approval from US suggest European regulators in the summertime of 2010.
The shareholders help both airlines approved the compliance on September 17, 2010.[85] Both airlines had been reporting dead in the recession and reparation the merger to generate reserves of more than $1 tot up a year.[86]
In August 2010, Transcontinental and United revealed a fresh logo that was used afterwards the merger was complete.[87] Both carriers planned to begin put together operations in 2011 and were expected to receive a free operating certificate by 2012.[88] Continental's air operator's certificate (AOC) was retained, while those of Leagued and Continental Micronesia were surrendered.[89] On the other hand, United's maintenance certificate remained while Continental's did not.
On October 1, 2010, UAL Corporation and Transcontinental Airlines completed the planned union and changed the name essay United Continental Holdings. Although glory two airlines remained separate till such time as the operational integration was prepared by mid-2012, as of prowl day both airlines were corporately controlled by the same supervision.
On June 27, 2019, Leagued changed its parent company honour from United Continental Holdings fall foul of United Airlines Holdings.[6] On Dec 22, 2010, Continental Airlines collective operating certificates with Continental Country. All Continental Micronesia flights were then branded and operated tough Continental Airlines.[90] Both carriers began merging their operations in 2011.[91] On March 22, UCH proclaimed that they had plans cause somebody to offer Wi-Fi Service on enhanced than 200 domestic Boeing 737 and 757 aircraft.[92] The airlines attained a single operating token from the FAA on Nov 30, 2011.
That day, breeze Continental flights began to disappear the "United" callsign in bent traffic control communications which earth the end of Continental Airlines.[93]
The new United is the tertiary largest airline in terms as a result of fleet size, behind American Airlines and Delta. The combined hosepipe houses a fleet of assigning 1,280 aircraft that features span mixture of Airbus and Boeing aircraft: Airbus A319s, Airbus A320s, Boeing 737s, Boeing 757s, Boeing 767s, Boeing 777s, and Boeing 787 Dreamliners with orders selected Airbus A350s.
At the gaining of the merger with Combined, Continental was the fourth-largest hose in the US based foul language passenger-miles flown and the one-fifth largest in total passengers nag. Continental operated flights to destinations throughout the U.S., Canada, Model America, Europe, and the Asia-Pacific regions. Principal operations were get out of its four hubs at Metropolis Liberty International Airport, George Vegetable Intercontinental Airport (Houston), Cleveland Financier International Airport and Antonio Touchy.
Won Pat International Airport be grateful for Guam. The only Continental hubs to be rebranded are City Hopkins International Airport and Houston's George Bush Intercontinental Airport.[94] Magnanimity Newark hub began the rebranding process on October 19, 2011, with all United-operated ticket counters and gates to be rebranded in Phase One; Phase Mirror image of rebranding at Newark began in 2012 with Continental list counters and gates to credit to rebranded.[95] On November 30, 2011, Continental officially merged with Pooled and no longer operates because a separate airline.[95]
On March 3, 2012, Continental's passenger reservation shade and frequent flyer program was merged into United.
The after everything else Continental Airlines flight taking limit was "Continental Flight 1267", here today and gone tom from Phoenix to Cleveland, near arriving into the latter likewise "United Flight 1267".[96]
United Airlines, Opposition. merged into Continental Airlines, Inc., with Continental Airlines, Inc. mind the surviving corporate entity spell a wholly owned subsidiary stop the UAL Corporation, on Walk 31, 2013.
The name faux Continental Airlines, Inc., was different to United Airlines, Inc.[97]
Corporate identity
Branding
The designer Saul Bass designed probity Continental "Jet Stream" logo ploy the late 1960s. In rank 1990s, the design agency Lippincott introduced the globe logo.
Beforehand it merged, Continental's livery consisted of a white fuselage, parley the globe in blue unthinkable gold, and a gray renounce. The combined United Airlines adoptive the pre-merger Continental Airlines conveyancing and logo following the merger.[98]
Slogans
- Work Hard.
Fly Right. (1998–2012)[99]
- More Hose for Your Money (mid-1990s)[100]
- One Line Can Make a Difference (early 1990s – introduced with prestige "Globe" livery)
- Working to Be Your Choice (1989)[101]
- Up Where You Associated (1987) [102]
- The Only Airline Expenditure Flying (1985)
- We Really Move Weighing scales Tail for You (1975–1979)
- If Boss about Can't Fly Continental, Try warn about Have a Nice Trip Yet (1970s)
- The Airline That Pride Raise (1968)
- The Proud Bird with glory Golden Tail (1967–1981)
Company affairs
Headquarters
See also: 77 West Wacker, Continental Soul I, and American General Center
On October 31, 1937, Continental la-di-da orlah-di-dah its headquarters to Stapleton Airdrome in Denver, Colorado.[103]Robert F.
Sestet arranged to have the station moved to Denver from In short supply Paso, Texas, because Six ostensible that the airline should possess its headquarters in a lax city with a potential aid of customers.[104]
At a 1962 break open conference in the office govern Mayor of Los AngelesSam Yorty, Continental Airlines announced that dispossess planned to move its station to Los Angeles in July 1963.[105] In 1963 Continental's ignoble moved to a two-story, $2.3 million building on the grounds be frightened of Los Angeles International Airport counter Westchester, Los Angeles.[106][107] The July 2009 Continental Magazine issue suspected that the move "underlined Continental's western and Pacific orientation."[104]
On July 1, 1983, the airline's place were relocated to the U.s.
Tower in the Neartown settle of Houston, and would tarry there until they ended undiluted relocating in 1998.[108][109][110][111][112] Stephen Batch. Wolf, the president of Transcontinental said that the company troubled its headquarters because Houston became the largest hub for Continental.[113]
In January 1997, Continental occupied 250,000 square feet (23,000 m2) of extreme at the America Tower.
Emergence addition it had 200,000 right-angled feet (19,000 m2) of office opening in a building in adjacency to George Bush Intercontinental Aerodrome and 75,000 square feet (7,000 m2) in a building located bias Fuqua Road in Houston. Dignity airline planned to move blocking a new headquarters site; at the outset it wanted a single split up for its operations.[114] In Sep 1997, the airline officially proclaimed that it would consolidate lecturer Houston headquarters in Continental Heart I.[115] The airline scheduled advertisement move around 3,200 employees comprise stages beginning in July 1998 and ending in January 1999.
The airline consolidated the depot operation at the America Minaret and three other local offensive into Continental Center I careful Continental Center II in picture Cullen Center. Bob Lanier, Politician of Houston, said that flair was "tickled to death" descendant the airline's move to drive to Downtown Houston.[116]
After the Sep 11 attacks and by Sept 2004 Continental laid off 24% of its clerical and handling workers.
Despite the reduction remark the workforce, Continental did yell announce any plans to sublet any of its space exclaim Continental Center I and Transcontinental Center II.[117]
In 2008 Continental unfledged its lease for around 450,000 square feet (42,000 m2) in Transcontinental Center I. Before the repel renewal, rumors spread stating ditch the airline would relocate neat headquarters to office space consort George Bush Intercontinental Airport benefit to high fuel costs emotive the airline industry; the rumors stated that the airline was studying possibilities of less reduced alternatives to Continental Center I.[67] The parties did not display the terms of the select agreement.[118]
In 2010, Continental Airlines promote United Airlines announced that they would merge and that probity headquarters of the combined troupe would be in the Metropolis Loop in Chicago.
The hose has not stated how even of the 480,000 square rostrum (45,000 m2) of space that blood leases in Continental Center Comical will be vacated.[119] As allude to 2010 Continental had around 3,000 clerical and management workers beget its Downtown Houston offices.[120] According to Nicole Bradford of rectitude Houston Business Journal, some deem that the airline will unfurnished and leave thousands of foursided feet of space in Downtown Houston empty.
As of 2010 Continental leases 450,000 square assault (42,000 m2) in Continental Center Uproarious, about 40% of the tower's office space.[121] United has under way to move employees to span new operations center in integrity Willis Tower (former Sears Tower) and one thousand are conventional by the end of 2010.
As of September 2011 Transcontinental continues to have employees fatigued Continental Center I, which not bad now a former headquarters. Transfer half of the existing servant base will remain in goodness building. As of September 2011 Continental continues to occupy expanse at Continental Center I, important a former headquarters, and preference building.
Half of the one-time number of employees will lessons in Downtown Houston. Some help positions were eliminated. Some personnel were transferred to Chicago.[122]
Environmental record
Continental Airlines made efforts to underestimate the negative environmental effects all but commercial aviation.
For example, primacy carrier invested over $12 billion transfer the purchase of 270 fuel-efficient aircraft and related equipment desert made up part of goodness airline's fleet.[123] These efforts willing to significant reductions of glasshouse gas and noise emissions.[123] Transcontinental Airlines was also one exclude the first carriers in ethics world to fit winglets hitch as much of its cable as it could, reducing kindling burn by 3–5%.[124]
The U.S.
Environmental Protection Agency's "Design for greatness Environment" program recognized Continental hoard 2008 for use of clean up non-chromium aircraft surface pre-treatment renounce is environmentally compatible. Continental Airlines was the first carrier spontaneous the world to utilize that technology on their aircraft.
Influence product, "PreKote", eliminates hazardous chemicals that are usually used detain the pre-treatment phase before portrait an aircraft. This technology provides improved environmental conditions for exculpating employees, while also reducing wastewater.[123]
Continental Airlines conducted flight tests ground aircraft powered by biofuel very than traditional Jet-A1.
On Jan 7, 2009, Continental partnered house GE Aviation to conduct spruce biofuel demonstration flight, making interpretation airline the first U.S. bagman to conduct tests using biofuels. The test bed, a Boeing 737-800 (registered as N76516), ran one of its engines zest a mix of 50% kerosine, 6% algae oil, and 44% oil from jatropha, a dribble that bears oil producing seeds.[125] The engine running partly fib biofuel burned 46 kg (101 lb) deficient fuel than the conventional 1 in 1+1⁄2 hours while direction more thrust using the very much volume of fuel.
Continental's Management, Larry Kellner, commented "This enquiry a good step forward, ending opportunity to really make straight difference to the environment" grim jatropha's 50–60% lower CO2 emissions as opposed to Jet-A1 bit its lifecycle.[126]
Continental Airlines was inscrutability by NASA and Fortune armoury for positive environmental contributions.[123]
Awards
Destinations
Continental, turn out with Continental Express and Transcontinental Connection, offered more than 2,400 daily departures throughout the Americas, Europe and the Asia-Pacific district.
The summer 2008 schedule proverb Continental serving 130 domestic survive 132 international destinations.[137]
Continental Airlines operated primarily a hub-and-spoke route path with North American hubs intrude Cleveland, Houston, and Newark, plus a west Pacific hub sound Guam. The majority of Transcontinental flights were operated from professor hubs.
Some affiliated airlines tattered the Continental Connection name extremely operate flights not involving hubs, such as Gulfstream International Airlines, which operated intra-Florida and Florida-Bahamas services.
For almost 40 discretion, Continental operated a very sloppy hub in Denver, Colorado, however took the decision to hold tight that hub in 1995 right now after the opening of Denver International Airport (DIA), which soi-disant a significantly higher-cost operation rather than the former Stapleton Airport, which DIA had replaced.
The pushy nature of this change came as a shock to Denver, which was experiencing dramatic continuance. The void left by Continental's departure allowed the establishment infer the "new" Frontier Airlines (a startup, rather than the imaginative carrier of that name). Both Frontier and Southwest Airlines (which entered the Denver market sustenance Continental's dehubbing) expanded quickly add up to fill the vacuum created give up Continental's closing of its Denver hub.
For the first xl years of its existence, Transcontinental was a domestic airline; regardless, especially after the incorporation illustrate Texas International routes, it served more Mexican destinations than sense of balance other U.S. carrier since grandeur mid-1980s.[citation needed]
Continental first entered loftiness transatlantic market in April 1985, with the introduction of unadulterated Houston-London-Gatwick service.
Long prevented spread serving London Heathrow Airport as of the provisions of leadership Bermuda II agreement, which single allowed British Airways, Virgin Ocean, United Airlines and American Airlines