On May 22, 2008, Standard&Poor's Ratings Services placed its ratings on Continental Airlines Inc., including the 'B' long-term corporate credit rating, on CreditWatch with negative implications because of record high fuel prices. Ratings on 'AAA' rated, bond-insured enhanced equipment trust certificates are not included in the CreditWatch listing. The review, which is also being undertaken for other rated U.S. airlines, is prompted by the dramatic increase in jet fuel prices, which has caused a material weakening of the financial outlook. We had revised our outlook on Continental to negative March 16, 2008, but the increase in fuel prices over the month has further undermined their financial prospects. Continental's operating results have historically been less volatile than those of
