General Lee
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- Aug 24, 2002
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Continental Airlines sees 'significant' 2005 loss
Tue Mar 15, 2005 04:12 PM ET
NEW YORK, March 15 (Reuters) - Continental Airlines Inc. (CAL.N: Quote, Profile, Research) expects to post "a significant loss" in 2005 if the climate of high fuel prices and tough industry competition does not ease, the carrier said in a regulatory filing on Tuesday.
Continental also warned that several factors outside of its control, including even higher fuel prices, could result in the Houston-based airline's being unable to generate sufficient cash from operations or complete financing deals needed to keep the amount of cash on hand it needs through year-end.
Associated Press
Continental Sees Cuts if No Union Deal
Tuesday March 15, 4:14 pm ET Continental Sees Massive Cuts if Union Agreements Not Ratified
HOUSTON (AP) -- Continental Airlines Inc. on Tuesday told employees it disclosed in its annual report with the Securities and Exchange Commission that the troubled carrier will be forced to make significant cutbacks and job reductions if tentative union agreements are not ratified later this month.
The air carrier -- whose unions will vote March 30 on contracts -- said it might be forced to increase the size of necessary pay and benefit reductions to $800 million from $500 million. Continental said it might also have to sublease or sell 24 Boeing aircraft, which could cause job reductions affecting pilots, flight attendants, mechanics and other positions. In addition, the carrier may have to cancel its lease and purchase orders with Boeing.
Continental told employees that it may post up to an additional $335 million in cash deposits, further reducing cash available for operations and pension contributions, if it fails to maintain liquidity covenants in its credit card processing agreements.
Shares of Continental fell 77 cents, or 6.5 percent, to $11.08 at the close of trading on the New York Stock Exchange, and were recently down another 5 cents in the extended session.
Bye Bye--General Lee
Tue Mar 15, 2005 04:12 PM ET
NEW YORK, March 15 (Reuters) - Continental Airlines Inc. (CAL.N: Quote, Profile, Research) expects to post "a significant loss" in 2005 if the climate of high fuel prices and tough industry competition does not ease, the carrier said in a regulatory filing on Tuesday.
Continental also warned that several factors outside of its control, including even higher fuel prices, could result in the Houston-based airline's being unable to generate sufficient cash from operations or complete financing deals needed to keep the amount of cash on hand it needs through year-end.
Associated Press
Continental Sees Cuts if No Union Deal
Tuesday March 15, 4:14 pm ET Continental Sees Massive Cuts if Union Agreements Not Ratified
HOUSTON (AP) -- Continental Airlines Inc. on Tuesday told employees it disclosed in its annual report with the Securities and Exchange Commission that the troubled carrier will be forced to make significant cutbacks and job reductions if tentative union agreements are not ratified later this month.
The air carrier -- whose unions will vote March 30 on contracts -- said it might be forced to increase the size of necessary pay and benefit reductions to $800 million from $500 million. Continental said it might also have to sublease or sell 24 Boeing aircraft, which could cause job reductions affecting pilots, flight attendants, mechanics and other positions. In addition, the carrier may have to cancel its lease and purchase orders with Boeing.
Continental told employees that it may post up to an additional $335 million in cash deposits, further reducing cash available for operations and pension contributions, if it fails to maintain liquidity covenants in its credit card processing agreements.
Shares of Continental fell 77 cents, or 6.5 percent, to $11.08 at the close of trading on the New York Stock Exchange, and were recently down another 5 cents in the extended session.
Bye Bye--General Lee
TC
