CONTINENTAL AIRLINES STOCKHOLDERS APPROVE RECAPITALIZATION PROPOSAL

Continental Airlines (NYSE: CAL) announced today that its stockholders have approved its previously announced recapitalization proposal at a special stockholders meeting held on Jan. 22, 2001.

Continental repurchased for $450 million approximately 6.7 million shares of its Class A common stock from Northwest Airlines Corporation and its affiliates.

Continental's stockholders approved a recapitalization pursuant to which all remaining shares of Class A common stock have been reclassified into 1.32 shares of Class B common stock. As a result, Continental now has a single class of common stock outstanding (Class B), each share of which has one vote.

As part of the transaction, Continental and Northwest amended their alliance agreement to extend its term through 2025, and to make the agreement terminable by either Northwest or Continental upon certain change in control transactions involving Northwest, and by Northwest or, under certain circumstances, Continental upon certain change in control transactions involving Continental.

Continental also issued to Northwest a share of preferred stock which gives Northwest the power to block certain change in control transactions involving Continental, and which is redeemable by Continental in certain circumstances, including upon certain change in control transactions involving Northwest.