Continental backed away from the numbers

HOUSTON, April 29 (UPI) -- Continental Airlines Inc.'s decision to forgo any merger was a decision based on big numbers, a source close to the company said.

United Airlines, Continental's No. 1 suitor, provided those numbers by posting losses of $500 million in the first quarter of 2008, Crain's Business Journal reported Tuesday.

"You run that out six, eight quarters, that's a ton of losses," the source said.

"We would have loved to have been able to do it. The route structure is just tremendous," the source said.

But the numbers proved too big. Continental sent a letter to its 45,000 employees Monday saying the board would not consider a merger.

Continental lost $80 million in the first quarter, Crain's reported.