Continental swings 2Q loss to profit

EXCLUDING US$24 million of merger-related costs and other special charges, Continental Airlines recorded second quarter net income of $257 million. This is up from a net loss of $169 million the same period last year.

Cargo revenue for the quarter was $111 million, up 35.4 per cent from last year, thanks to recovering freight volume.

Zane Rowe, Continental’s executive vice-president and chief financial officer, said: “These results represent another quarter of strong operational performance and cost control by the entire Continental team.”

In May, Continental and United announced they would merge into a single company, a merger that is expected to save between $1 billion to $1.2 billion a year up to 2013 and $900 million a year thereafter.