Special Report: Global Financial Crisis    

    HOUSTON, April 7 (Xinhua) -- Continental Airlines, the world's fifth largest airlines, said on Tuesday that the U.S. Department of Transportation has tentatively approved its application to join the Star Alliance.

    "Continental's entrance into Star Alliance will provide substantial benefits for consumers worldwide while preserving domestic competition and jobs," said Larry Kellner, chairman and CEO of Houston-based Continental Airlines.

    "In addition, a timely final approval will allow Continental to provide a seamless transition for its customers from the SkyTeam alliance to Star Alliance this fall."

    Members of the third major alliance, including American Airlines and British Airways, are awaiting word on their own application for antitrust immunity. Those carriers have complained that they are at a disadvantage to Star Alliance and Sky Team members who already have antitrust immunity, which lets each group function as one big airline on some international routes.

    The Transportation Department said granting antitrust immunity to Continental to join the Star Alliance would support increased service and lower fares in international routes.

    A news release from the 42,000-employee Continental also said the Department's decision not only benefits consumers, but also ensures global competition with other antitrust immunized alliances and encourages the retention and growth of open skies between the United States and other nations.

    For the sixth consecutive year, Fortune magazine named Continental the No. 1 World's Most Admired Airline on its 2009 list of the World's Most Admired Companies.

    On June 19, 2008, Continental announced plans to join the Star Alliance and to cooperate with United Airlines, the world's largest airlines, linking its networks and services worldwide to deliver new benefits to its customers.

    Star Alliance has truly global coverage, including 24 international airlines. Continental told its international customers that they can continue with all of their travel plans asthey exist today. In the United States, Continental said it intends to code-share with United Airlines, a founding member of the Star Alliance.

    Industry analysts pointed out that Continental would still be subject to antitrust laws on service within the United States. Other airlines and groups have three weeks to object to the Transportation Department's tentative decision, which could trigger additional review by regulators.