Continental Airlines on Wednesday became the first U.S. commercial carrier to conduct a demonstration flight powered in part by alternative fuels, though large-scale use of such fuel is forecast to be several years away.

Continental Airlines Inc. said Tuesday it would waive penalties on travelers who change plans because of severe winter weather forecast for the Northeast and Midwest through Friday.

Continental Airlines Inc. said Tuesday that its consolidated traffic, which includes both mainline and regional service, fell 6.7 percent in December as the airline flew 7.11 billion revenue passenger miles.

Goldman Sachs upgraded shares of Continental Airlines Inc. on Monday and raised price targets on several other airline stocks, but lowered its target for Southwest Airlines Co.

Several of the nation's largest airlines have joined in a lawsuit to block stronger federal rules on crew rest during the longest international flights.

The pilots' union at Continental Airlines Inc. said Wednesday they have reached tentative agreements on parts of a new contract but not on major issues including pay and benefits.

The meteoric rise and fall of the price of oil was the story for the airline industry for much of 2008, but as the year that brought big losses and hefty stock declines for many carriers drew to a close the erosion of demand for seats due to the recession was the main headline.

Northwest Airlines, due to poor market conditions in light of the weakened global economy, is the latest carrier seeking to delay or cut back long-coveted U.S.-China service.

A former flight attendant for Continental Airlines who was fired for inappropriate behavior on a flight in 2002 has lost an attempt to sue the company for age discrimination.

It was very windy when a Continental Airlines jet was destroyed while trying to take off in Denver last month, leading aviation safety experts to cite crosswinds as a likely factor in the accident.

U.S. airlines' on-time performance and baggage handling improved in October, and the carriers overall posted a lower rate of domestic cancellations compared to the same month a year ago, the Transportation Department said Wednesday.

Continental Airlines Inc. said Monday it will test the use of a biofuel blend to power one of its jetliners on a flight that won't carry any passengers.

The recent declines in the price of oil make airline stocks such as Delta and Continental attractive at current "fire-sale" prices, Ray Neidl, airline analyst from Calyon, told CNBC.

Average U.S. air fares jumped 8.1 percent in the second quarter to their highest level since the government started keeping track 13 years ago.

Most passengers on American Airlines will no longer earn a minimum number of frequent-flier miles for taking a short flight.