NEW YORK (Standard&Poor's) Nov. 8, 2006--Standard&Poor's Ratings Services today assigned its 'CCC+' rating to Continental Airlines Inc.'s (B/Stable/B-3) $200 million senior unsecured notes due 2011. The rating is the same as that on other senior unsecured obligations of Continental, and is rated lower than the corporate credit rating because a large amount of secured debt and leases places unsecured creditors in an effectively subordinated position. Houston, Texas-based Continental is the fourth-largest U.S. airline, with about $17 billion of debt and leases. "Improving earnings, cash flow generation, and liquidity have bolstered Continental's financial profile, though the airline remains highly leveraged and exposed to industrywide risks of high fuel prices and price competition," said Standard&Poor's credit
