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CONTINENTAL AIRLINES AND KLM EXTEND CODESHARE AGREEMENT

3 June 2002



KLM Royal Dutch Airlines (NYSE: KLM and AEX: KLM) and Continental Airlines (NYSE: CAL) today announced that they have extended the duration of their cooperative marketing agreement, which includes codesharing and reciprocal airport lounge access, until May 30, 2003.

Meanwhile, the scope of the two airlines' codesharing is being expanded. Starting June 15, Continental and KLM will codeshare on selected flights to destinations in Europe, the Middle East and Africa operated by KLM, KLM cityhopper and KLM  exel beyond its Amsterdam hub which connect with Continental's recently-launched non-stop flights between Houston and Amsterdam. Currently, the two airlines codeshare on flights beyond Amsterdam and Continental's New  York/Newark hub which connect with each other's non-stop services between these two airports, and on selected flights to U.S. destinations operated by  Continental and Continental Express beyond its Houston hub which connect with the KLM/Northwest Airlines joint venture flight between Amsterdam and Houston.  

In total, Continental connects to 77 destinations beyond Amsterdam on KLM while KLM connects to 89 destinations beyond New York/Newark and 117 beyond Houston on Continental. Together, KLM and Continental create 68,000 unique city-pair connections. 

Continental, KLM and Northwest Airlines are continuing to discuss the possibility of longer-term and deeper cooperation. This cooperation could involve KLM and Continental, together with Northwest, forming a joint venture for a portion of their respective trans-Atlantic operations, similar in structure to the current joint venture between KLM and Northwest. 

The existing agreement between KLM and Continental, which came into effect in January 2002, offers major benefits to both carriers' customers, particularly their frequent flyers. KLM's Business Class passengers and Royal/Silver Win members have access to Continental's President Club lounges at New York/Newark, while Continental's BusinessFirst customers and Presidents Club members have access to KLM's Business Class lounge at Amsterdam/Schiphol.  

Members of the two airlines' frequent flyer programs, Continental's OnePass and KLM's Flying Dutchman, can earn and redeem points or miles on all flights operated by the other carrier.  

The two airlines provide business class check-in facilities and priority boarding to  all Platinum, Gold and Silver Elite OnePass members and Royal/Silver Wing Flying Dutchman members.

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