SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C.  20549


                            FORM 8-K



                         CURRENT REPORT
             Pursuant to Section 13 or 15(d) of the 
                 Securities Exchange Act of 1934



       Date of Report (Date of earliest event reported):  
                          July 30, 1998



                   CONTINENTAL AIRLINES, INC.
     (Exact name of registrant as specified in its charter)



   Delaware                0-09781                 74-2099724
(State or other          (Commission             (IRS Employer
jurisdiction of          File Number)          Identification No.)
incorporation)



2929 Allen Parkway, Suite 2010, Houston, Texas            77019
  (Address of principal executive offices)             (Zip Code)


                         (713) 834-2950
      (Registrant's telephone number, including area code)

Item 7.Financial Statements and Exhibits.

         Effective December 31, 1997, Continental Airlines, Inc.
         (the "Company") adopted Statement of Financial Accounting
         Standards (SFAS) No. 128, "Earnings Per Share", which
         replaced the calculation of primary earnings per share and
         fully diluted earnings per share with basic earnings per
         share and diluted earnings per share.  In accordance with
         Item 601(c) (2) of Regulation S-K, the Company is filing
         this Current Report on Form 8-K to reflect compliance with
         FAS 128.

         (c)  Exhibits

              27.1  Restated Financial Data Schedule for the
                    quarterly periods ended March 31, 1995, June
                    30, 1995, September 30,1995 and the fiscal
                    year ended December 31, 1995.  Submitted as
                    restated Exhibit 27 on Form 10-Q to the
                    quarterly periods ended March 31, 1995, June
                    30, 1995, September 30, 1995, and to the Year
                    Ended Report on Form 10-K for the fiscal year
                    ended December 31, 1995.

              27.2  Restated Financial Data Schedule for the
                    quarterly periods ended March 31, 1996, June
                    30, 1996, September 30,1996 and the fiscal
                    year ended December 31, 1996.  Submitted as
                    restated Exhibit 27 on Form 10-Q to the
                    quarterly periods ended March 31, 1996, June
                    30, 1996, September 30, 1996, and to the Year
                    Ended Report on Form 10-K for the fiscal year
                    ended December 31, 1996.

              27.3  Restated Financial Data Schedule for the
                    quarterly periods ended March 31, 1997, June
                    30, 1997, and September 30,1997.  Submitted as
                    restated Exhibit 27 on Form 10-Q to the
                    quarterly periods ended March 31, 1997, June
                    30, 1997 and September 30, 1997.


                           SIGNATURE


Pursuant to the requirements of the Securities Exchange Act of
1934, Continental Airlines, Inc. has duly caused this report to be
signed on its behalf by the undersigned hereunto duly authorized.

                                   CONTINENTAL AIRLINES, INC.



                                   By /s/ Jeffery A. Smisek       
                                      Jeffery A. Smisek
                                      Executive Vice President 
                                      and General Counsel


July 30, 1998
 
                        EXHIBIT INDEX


27.1  Restated Financial Data Schedule for the quarterly periods
      ended March 31, 1995, June 30, 1995, September 30,1995 and
      the fiscal year ended December 31, 1995.  Submitted as
      restated Exhibit 27 on Form 10-Q to the quarterly periods
      ended March 31, 1995, June 30, 1995, September 30, 1995, and
      to the Year Ended Report on Form 10-K for the fiscal year
      ended December 31, 1995.

27.2  Restated Financial Data Schedule for the quarterly periods
      ended March 31, 1996, June 30, 1996, September 30,1996 and
      the fiscal year ended December 31, 1996.  Submitted as
      restated Exhibit 27 on Form 10-Q to the quarterly periods
      ended March 31, 1996, June 30, 1996, September 30, 1996, and
      to the Year Ended Report on Form 10-K for the fiscal year
      ended December 31, 1996.

27.3  Restated Financial Data Schedule for the quarterly periods
      ended March 31, 1997, June 30, 1997, and September 30,1997. 
      Submitted as restated Exhibit 27 on Form 10-Q to the
      quarterly periods ended March 31, 1997, June 30, 1997 and
      September 30, 1997.

 

5 3-MOS 6-MOS 9-MOS 12-MOS DEC-31-1995 DEC-31-1995 DEC-31-1995 DEC-31-1995 MAR-31-1995 JUN-30-1995 SEP-30-1995 DEC-31-1995 417 502 603 747 0 0 0 0 446 435 417 351 0 0 0 0 141 139 146 127 1,079 1,154 1,241 1,315 1,525 1,493 1,423 1,461 315 344 384 404 4,605 4,677 4,692 4,821 2,539 2,515 2,030 1,984 0 0 0 0 54 56 40 41 0 0 0 0 0 0 0 0 76 185 260 305 4,605 4,677 4,692 4,821 1,408 2,887 4,402 5,825 1,408 2,887 4,402 5,825 0 0 0 0 0 0 0 0 1,381 2,749 4,111 5,440 0 0 0 0 (53) 110 162 213 (28) 153 266 310 0 78 78 78 (30) 72 183 224 0 0 0 0 0 0 0 0 0 0 0 0 (30) 72 183 224 (0.60) 1.31 3.32 4.07 (0.60) 1.28 2.91 3.37
 

5 3-MOS 6-MOS 9-MOS 12-MOS DEC-31-1996 DEC-31-1996 DEC-31-1996 DEC-31-1996 MAR-31-1996 JUN-30-1996 SEP-30-1996 DEC-31-1996 657 825 865 1,061 0 0 0 0 430 461 443 377 0 0 0 0 152 162 114 111 1,312 1,527 1,503 1,634 1,410 1,436 1,510 1,596 441 474 503 522 4,746 4,950 4,983 5,206 2,040 2,108 2,129 2,104 0 0 0 0 42 43 45 46 0 0 0 0 0 0 0 0 390 504 517 581 4,746 4,950 4,983 5,206 1,489 3,128 4,799 6,360 1,489 3,128 4,799 6,360 0 0 0 0 0 0 0 0 1,369 2,779 4,373 5,835 0 0 0 0 47 89 129 165 95 301 348 428 1 33 57 86 88 255 278 325 0 0 0 0 0 0 6 6 0 0 0 0 88 255 272 319 1.60 4.65 4.94 5.75 1.19 3.31 3.55 4.17
 

5 3-MOS 6-MOS 9-MOS DEC-31-1997 DEC-31-1997 DEC-31-1997 MAR-31-1997 JUN-30-1997 SEP-30-1997 927 994 988 0 0 0 407 439 469 0 0 0 118 117 122 1,574 1,679 1,710 1,754 1,885 2,104 547 540 575 5,301 5,516 5,804 2,160 2,324 2,456 0 0 0 47 0 0 0 0 0 0 0 0 659 699 815 5,301 5,516 5,804 1,698 3,484 5,374 1,698 3,484 5,374 0 0 0 0 0 0 1,552 3,107 4,790 0 0 0 42 84 126 124 332 518 46 123 192 74 202 316 0 0 0 0 0 4 0 0 0 74 202 312 1.28 3.50 5.40 0.96 2.58 4.02