8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT PURSUANT

TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): August 1, 2006

CONTINENTAL AIRLINES, INC.

(Exact Name of Registrant as Specified in Its Charter)

DELAWARE

(State or Other Jurisdiction of Incorporation)

1-10323	74-2099724
(Commission File Number)	(IRS Employer Identification No.)

1600 Smith Street, Dept. HQSEO, Houston, Texas	77002
(Address of Principal Executive Offices)	(Zip Code)

(713) 324-2950

(Registrant's Telephone Number, Including Area Code)

______________________________________

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act
(17 CFR 240.14d-2(b))

	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act
(17 CFR 240.13e-4(c))

Item 8.01. Other Events.

On August 1, 2006, we issued a press release announcing our July 2006 performance. The press release is filed herewith as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

99.1 Press Release for July Performance

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, Continental Airlines, Inc. has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

CONTINENTAL AIRLINES, INC.

August 1, 2006 By  /s/ Jennifer L. Vogel         Jennifer L. Vogel   Senior Vice President, General Counsel, Secretary and Corporate Compliance Officer    

EXHIBIT INDEX

99.1 Press Release for July Performance

EX-99.1

EXHIBIT 99.1

News Release

Contact: Corporate Communications

Houston: 713.324.5080

Email: corpcomm@coair.com

News archive: continental.com/company/news/ Address: P.O. Box 4607, Houston, TX 77210-4607

CONTINENTAL AIRLINES REPORTS JULY 2006

OPERATIONAL PERFORMANCE

HOUSTON, Aug. 1, 2006 - Continental Airlines (NYSE: CAL) today reported a July consolidated (mainline plus regional) load factor of 85.4 percent, 1.5 points above last year's July consolidated load factor and matching a record July load factor previously set in 2004. The carrier reported a mainline load factor of 86.0 percent, 1.4 points above the July 2005 mainline load factor, and a record domestic mainline load factor of 87.3 percent, 0.8 points above July 2005. In addition, the airline had an international mainline load factor of 84.7 percent, 2.2 points above July 2005.

During the month, Continental's employees worked together to deliver a mainline completion factor of 99.7 percent.  Disruptive weather at the airlines' three hubs contributed to Continental recording an on-time arrival rate of 68.6 percent.  

In July 2006, Continental flew 8.7 billion consolidated revenue passenger miles (RPMs) and 10.2 billion consolidated available seat miles (ASMs), resulting in a traffic increase of 10.8 percent and a capacity increase of 8.9 percent as compared to July 2005. In July 2006, Continental flew 7.8 billion mainline RPMs and 9.0 billion mainline ASMs, resulting in a mainline traffic increase of 10.4 percent and an 8.6 percent increase in mainline capacity as compared to July 2005. Domestic mainline traffic was 4.1 billion RPMs in July 2006, up 6.9 percent from July 2005, and domestic mainline capacity was 4.7 billion ASMs, up 5.9 percent from July 2005.

For July 2006, consolidated passenger revenue per available seat mile (RASM) is estimated to have increased between 9.0 and 10.0 percent compared to July 2005, while mainline passenger RASM is estimated to have increased between 8.5 and 9.5 percent compared to July 2005. For June 2006, consolidated passenger RASM increased 11.0 percent compared to June 2005, while mainline passenger RASM increased 9.6 percent from June 2005.

July 2006 sales at continental.com increased 47.0 percent over July 2005.

Continental's regional operations had a record July load factor of 80.5 percent, 1.8 points above last year's July load factor. Regional RPMs were 979.9 million and regional ASMs were 1,217.3 million in July 2006, resulting in a traffic increase of 13.7 percent and a capacity increase of 11.2 percent versus July 2005.

Continental Airlines is the world's fifth largest airline. Continental, together with Continental Express and Continental Connection, has more than 3,200 daily departures throughout the Americas, Europe and Asia, serving 154 domestic and 138 international destinations. More than 400 additional points are served via SkyTeam alliance airlines.  With more than 43,000 employees, Continental has hubs serving New York, Houston, Cleveland and Guam, and together with Continental Express, carries approximately 61 million passengers per year. Continental consistently earns awards and critical acclaim for both its operation and its corporate culture.

In 2006, Continental Airlines won its sixth J.D. Power and Associates award since 1996. The carrier received the highest rank in customer satisfaction among network carriers in North America in the J.D. Power and Associates 2006 Airline Satisfaction Index Survey^SM. For the third consecutive year, FORTUNE magazine named Continental the No. 1 Most Admired Global Airline on its 2006 list of Most Admired Global Companies. Continental was also named the No. 1 airline on the publication's 2006 America's Most Admired airline industry list. Additionally, Continental again won major awards at the OAG Airline of the Year Awards including "Best Airline Based in North America" for the third year in a row, and "Best Executive/Business Class" for the fourth consecutive year. For more company information, visit continental.com.

This press release contains forward-looking statements that are not limited to historical facts, but reflect the company's current beliefs, expectations or intentions regarding future events. All forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. For examples of such risks and uncertainties, please see the risk factors set forth in the company's 2005 10-K and its other securities filings, including any amendments thereto, which identify important matters such as the consequences of our significant financial losses and high leverage, terrorist attacks, domestic and international economic conditions, the significant cost of aircraft fuel, labor costs, competition, and industry conditions, including the demand for air travel, the airline pricing environment and industry capacity decisions, regulatory matters, disruptions in its computer systems, and the seasonal nature of the airline busine ss. The company undertakes no obligation to publicly update or revise any forward-looking statements to reflect events or circumstances that may arise after the date of this press release.

PRELIMINARY TRAFFIC RESULTS
JULY			2006		2005	Change
REVENUE PASSENGER MILES (000)
		Domestic	4,061,610		3,798,804	6.9		Percent
		International	3,698,054		3,228,001	14.6		Percent
		Transatlantic	1,878,314		1,618,585	16.0		Percent
		Latin America	1,140,985		957,916	19.1		Percent
		Pacific	678,755		651,500	4.2		Percent
		Mainline	7,759,664		7,026,805	10.4		Percent
		Regional	979,891		861,798	13.7		Percent
		Consolidated	8,739,555		7,888,603	10.8		Percent
AVAILABLE SEAT MILES (000)
		Domestic	4,652,594		4,392,931	5.9		Percent
		International	4,367,248		3,910,508	11.7		Percent
		Transatlantic	2,204,843		1,900,757	16.0		Percent
		Latin America	1,317,003		1,164,149	13.1		Percent
		Pacific	845,402		845,602	0.0		Percent
		Mainline	9,019,842		8,303,439	8.6		Percent
		Regional	1,217,339		1,094,546	11.2		Percent
		Consolidated	10,237,181		9,397,985	8.9		Percent
PASSENGER LOAD FACTOR
		Domestic	87.3 Percent		86.5 Percent	0.8		Points
		International	84.7 Percent		82.5 Percent	2.2		Points
		Transatlantic	85.2 Percent		85.2 Percent	0.0		Points
		Latin America	86.6 Percent		82.3 Percent	4.3		Points
		Pacific	80.3 Percent		77.0 Percent	3.3		Points
		Mainline	86.0 Percent		84.6 Percent	1.4		Points
		Regional	80.5 Percent		78.7 Percent	1.8		Points
		Consolidated	85.4 Percent		83.9 Percent	1.5		Points
ONBOARD PASSENGERS
		Mainline	4,591,430		4,295,917	6.9		Percent
		Regional	1,705,053		1,518,628	12.3		Percent
		Consolidated	6,296,483		5,814,545	8.3		Percent
CARGO REVENUE TON MILES (000)
		Total	89,650		82,743	8.3		Percent
PRELIMINARY TRAFFIC RESULTS
YEAR-TO-DATE			2006	2005			Change
REVENUE PASSENGER MILES (000)
	Domestic		25,173,609	23,136,359			8.8		Percent
	International		21,233,181	18,095,592			17.3		Percent
	Transatlantic		10,227,277	8,627,725			18.5		Percent
	Latin America		6,640,987	5,624,276			18.1		Percent
	Pacific		4,364,917	3,843,591			13.6		Percent
	Mainline		46,406,790	41,231,951			12.6		Percent
	Regional		6,032,180	5,060,111			19.2		Percent
	Consolidated		52,438,970	46,292,062			13.3		Percent
AVAILABLE SEAT MILES (000)
	Domestic		29,998,181	28,458,870			5.4		Percent
	International		26,939,672	23,145,887			16.4		Percent
	Transatlantic		12,932,050	10,747,941			20.3		Percent
	Latin America		8,322,797	7,337,149			13.4		Percent
	Pacific		5,684,825	5,060,797			12.3		Percent
	Mainline		56,937,853	51,604,757			10.3		Percent
	Regional		7,673,583	6,860,724			11.8		Percent
	Consolidated		64,611,436	58,465,481			10.5		Percent
PASSENGER LOAD FACTOR
	Domestic		83.9 Percent	81.3 Percent			2.6		Points
	International		78.8 Percent	78.2 Percent			0.6		Points
	Transatlantic		79.1 Percent	80.3 Percent			-1.2		Points
	Latin America		79.8 Percent	76.7 Percent			3.1		Points
	Pacific		76.8 Percent	75.9 Percent			0.9		Points
	Mainline		81.5 Percent	79.9 Percent			1.6		Points
	Regional		78.6 Percent	73.8 Percent			4.8		Points
	Consolidated		81.2 Percent	79.2 Percent			2.0		Points
ONBOARD PASSENGERS
	Mainline		28,821,157	26,359,792			9.3		Percent
	Regional		10,662,695	9,116,982			17.0		Percent
	Consolidated		39,483,852	35,476,774			11.3		Percent
CARGO REVENUE TON MILES (000)
	Total		615,910	579,412			6.3		Percent

PRELIMINARY OPERATIONAL AND FINANCIAL RESULTS
JULY	2006		2005	Change
On-Time Performance 1	68.6%		69.5%	(0.9)	Points
Completion Factor 2	99.7%		99.6%	0.1	Points
June 2006 year-over-year consolidated RASM change				11.0	Percent
June 2006 year-over-year mainline RASM change				9.6	Percent
July 2006 estimated year-over-year consolidated RASM change				9.0-10.0	Percent
July 2006 estimated year-over-year mainline RASM change				8.5-9.5	Percent
July 2006 estimated average price per gallon of fuel, including fuel taxes				2.18	Dollars
Third Quarter 2006 estimated average price per gallon of fuel,   including fuel taxes				2.25	Dollars
1 Department of Transportation Arrivals within 14 minutes
2 Mainline Mileage Completion Percentage
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