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): September 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 September 1, 2006, we issued a press release announcing our August 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 August 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.

September 5, 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 August 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 AUGUST 2006

OPERATIONAL PERFORMANCE

HOUSTON, Sept. 1, 2006 - Continental Airlines (NYSE: CAL) today reported an August consolidated (mainline plus regional) load factor of 82.4 percent, 0.6 points above last year's August consolidated load factor. The carrier reported a mainline load factor of 83.0 percent, 0.5 points above the August 2005 mainline load factor, and a domestic mainline load factor of 85.5 percent, 1.2 points above August 2005. All three were records for August. In addition, the airline had an international mainline load factor of 80.3 percent, 0.2 points below August 2005.

During the month, Continental recorded a U.S. Department of Transportation on-time arrival rate of 76.3 percent and a mainline completion factor of 99.8 percent.

In August 2006, Continental flew 8.4 billion consolidated revenue passenger miles (RPMs) and 10.2 billion consolidated available seat miles (ASMs), resulting in a traffic increase of 9.3 percent and a capacity increase of 8.5 percent as compared to August 2005. In August 2006, Continental flew 7.4 billion mainline RPMs and 9.0 billion mainline ASMs, resulting in a mainline traffic increase of 8.9 percent and an 8.2 percent increase in mainline capacity as compared to August 2005. Domestic mainline traffic was 4.0 billion RPMs in August 2006, up 7.1 percent from August 2005, and domestic mainline capacity was 4.7 billion ASMs, up 5.5 percent from August 2005.

For August 2006, consolidated passenger revenue per available seat mile (RASM) is estimated to have increased between 6.5 and 7.5 percent compared to August 2005, while mainline passenger RASM is estimated to have increased between 5.5 and 6.5 percent compared to August 2005. Continental estimates that August 2006 year-over-year consolidated and mainline RASM were negatively impacted by approximately 1.5 points due to the elevated security concerns during the month. For July 2006, consolidated passenger RASM increased 9.6 percent compared to July 2005, while mainline passenger RASM increased 8.9 percent from July 2005.

Continental's regional operations had a record August load factor of 78.0 percent, 1.6 points above last year's August load factor. Regional RPMs were 959.4 million and regional ASMs were 1,230.0 million in August 2006, resulting in a traffic increase of 12.8 percent and a capacity increase of 10.5 percent versus August 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
AUGUST				2006	2005		Change
REVENUE PASSENGER MILES (000)
		Domestic		3,981,998	3,717,025		7.1			Percent
		International		3,456,971	3,113,916		11.0			Percent
		Transatlantic		1,765,194	1,581,001		11.7			Percent
		Latin America		1,020,205	888,814		14.8			Percent
		Pacific		671,573	644,100		4.3			Percent
		Mainline		7,438,969	6,830,941		8.9			Percent
		Regional		959,435	850,312		12.8			Percent
		Consolidated		8,398,405	7,681,253		9.3			Percent
AVAILABLE SEAT MILES (000)
		Domestic		4,654,805	4,410,230		5.5			Percent
		International		4,305,036	3,868,758		11.3			Percent
		Transatlantic		2,200,539	1,896,411		16.0			Percent
		Latin America		1,259,958	1,136,026		10.9			Percent
		Pacific		844,538	836,322		1.0			Percent
		Mainline		8,959,841	8,278,988		8.2			Percent
		Regional		1,230,027	1,112,894		10.5			Percent
		Consolidated		10,189,867	9,391,882		8.5			Percent
PASSENGER LOAD FACTOR
		Domestic		85.5 Percent	84.3 Percent		1.2			Points
		International		80.3 Percent	80.5 Percent		-0.2			Points
		Transatlantic		80.2 Percent	83.4 Percent		-3.2			Points
		Latin America		81.0 Percent	78.2 Percent		2.8			Points
		Pacific		79.5 Percent	77.0 Percent		2.5			Points
		Mainline		83.0 Percent	82.5 Percent		0.5			Points
		Regional		78.0 Percent	76.4 Percent		1.6			Points
		Consolidated		82.4 Percent	81.8 Percent		0.6			Points
ONBOARD PASSENGERS
		Mainline		4,356,907	4,096,856		6.3			Percent
		Regional		1,679,477	1,505,116		11.6			Percent
		Consolidated		6,036,384	5,601,972		7.8			Percent
CARGO REVENUE TON MILES (000)
		Total		87,734	80,805		8.6			Percent
PRELIMINARY TRAFFIC RESULTS
YEAR-TO-DATE			2006			2005		Change
REVENUE PASSENGER MILES (000)
	Domestic		29,155,593			26,853,384		8.6	Percent
	International		24,690,106			21,209,089		16.4	Percent
	Transatlantic		11,992,425			10,208,308		17.5	Percent
	Latin America		7,661,192			6,513,090		17.6	Percent
	Pacific		5,036,489			4,487,691		12.2	Percent
	Mainline		53,845,699			48,062,473		12.0	Percent
	Regional		6,991,667			5,910,425		18.3	Percent
	Consolidated		60,837,366			53,972,898		12.7	Percent
AVAILABLE SEAT MILES (000)
	Domestic		34,652,938			32,869,100		5.4	Percent
	International		31,244,749			27,014,644		15.7	Percent
	Transatlantic		15,132,590			12,644,351		19.7	Percent
	Latin America		9,582,797			8,473,174		13.1	Percent
	Pacific		6,529,362			5,897,119		10.7	Percent
	Mainline		65,897,687			59,883,744		10.0	Percent
	Regional		8,903,610			7,973,618		11.7	Percent
	Consolidated		74,801,297			67,857,362		10.2	Percent
PASSENGER LOAD FACTOR
	Domestic		84.1 Percent			81.7 Percent		2.4	Points
	International		79.0 Percent			78.5 Percent		0.5	Points
	Transatlantic		79.2 Percent			80.7 Percent		-1.5	Points
	Latin America		79.9 Percent			76.9 Percent		3.0	Points
	Pacific		77.1 Percent			76.1 Percent		1.0	Points
	Mainline		81.7 Percent			80.3 Percent		1.4	Points
	Regional		78.5 Percent			74.1 Percent		4.4	Points
	Consolidated		81.3 Percent			79.5 Percent		1.8	Points
ONBOARD PASSENGERS
	Mainline		33,177,295			30,456,648		8.9	Percent
	Regional		12,341,311			10,622,098		16.2	Percent
	Consolidated		45,518,606			41,078,746		10.8	Percent
CARGO REVENUE TON MILES (000)
	Total		703,720			662,005		6.3	Percent

PRELIMINARY OPERATIONAL AND FINANCIAL RESULTS
AUGUST	2006	2005	Change
On-Time Performance 1	76.3%	75.7%	0.6	Points
Completion Factor 2	99.8%	99.6%	0.2	Points
July 2006 year-over-year consolidated RASM change			9.6	Percent
July 2006 year-over-year mainline RASM change			8.9	Percent
Aug 2006 estimated year-over-year consolidated RASM change			6.5-7.5	Percent
Aug 2006 estimated year-over-year mainline RASM change			5.5-6.5	Percent
Aug 2006 estimated average price per gallon of fuel, including fuel taxes			2.25	Dollars
Third Quarter 2006 estimated average price per gallon of fuel, including fuel taxes			2.21	Dollars
1 Department of Transportation Arrivals within 14 minutes 2 Mainline Mileage Completion Percentage
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