SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C.  20549

                                 SCHEDULE 13G


                                 (Rule 13d-102)


             INFORMATION STATEMENT PURSUANT TO RULES 13d-1 AND 13d-2


                   Under the Securities Exchange Act of 1934
                          (Amendment No.  5   )


                           Continental Airlines, Inc.
             -----------------------------------------------------
                                (Name of Issuer)
                                  Common Stock
              -----------------------------------------------------
                         (Title of Class of Securities)

                                   210795308
             -----------------------------------------------------
                                 (CUSIP Number)



Check the following box if a fee is  being paid with this statement [ ].


- ----------
*The  remainder of this cover page shall be filled out for a reporting  person's
initial filing on this form with respect to the subject class of securities, and
for any  subsequent  amendment  containing  information  which  would  alter the
disclosures provided in a prior cover page.

The information required in the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the  Securities  Exchange  Act of
1934 ("Act") or otherwise  subject to the liabilities of that section of the Act
but  shall be  subject  to all other  provisions  of the Act  (however,  see the
Notes).

CUSIP No. 210795308 13G Page 2 of 8 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSON(S) S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON(S) Morgan Stanley Dean Witter & Co. IRS # 39-314-5972 - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ] (b) [ ] - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION The state of organization is Delaware. - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 0 BENEFICIALLY -------------------------------------------------------------- OWNED BY 6. SHARED VOTING POWER EACH 1,675,548 REPORTING -------------------------------------------------------------- PERSON 7. SOLE DISPOSITIVE POWER WITH 0 -------------------------------------------------------------- 8. SHARED DISPOSITIVE POWER 2,305,247 - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 2,305,247 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 4.79% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* IA, CO - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT!

CUSIP No. 210795308 13G Page 3 of 8 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSON(S) S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON(S) Morgan Stanley Dean Witter Investment Management Inc. IRS # 13-304-0307 - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ] (b) [ ] - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION The state of organization is Delaware. - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 0 BENEFICIALLY -------------------------------------------------------------- OWNED BY 6. SHARED VOTING POWER EACH 1,143,800 REPORTING -------------------------------------------------------------- PERSON 7. SOLE DISPOSITIVE POWER WITH 0 -------------------------------------------------------------- 8. SHARED DISPOSITIVE POWER 1,770,188 - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,770,188 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 3.68% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* IA, CO - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT!

CUSIP No. 210795308 13G Page 4 of 8 Pages Item 1. (a) Name of Issuer: Continental Airlines, Inc. -------------------------------------------------------------- (b) Address of Issuer's Principal Executive Offices: 2929 Allen Parkway Suite 2010 Houston, TX 77019 -------------------------------------------------------------- Item 2. (a) Name of Person Filing: (a) Morgan Stanley Dean Witter & Co. (b) Morgan Stanley Dean Witter Investment Management Inc. -------------------------------------------------------------- (b) Address of Principal Business Office, or if None, Residence: (a) 1585 Broadway New York, New York 10036 (b) 1221 Avenue of the Americas New York, New York 10020 -------------------------------------------------------------- (c) Citizenship: Incorporated by reference to Item 4 of the cover page pertaining to each reporting person. ------------------------------------------------- (d) Title of Class of Securities: Common Stock -------------------------------------------------------------- (e) CUSIP Number: 210795308 ------------------------------------------------- Item 3. (a) Morgan Stanley Dean Witter & Co. is (e) an Investment Adviser registered under Section 203 of the Investment Advisers Act of 1940. (b) Morgan Stanley Dean Witter Investment Management Inc. is (e) an Investment Adviser registered under Section 203 of the Investment Advisers Act of 1940.

CUSIP No. 210795308 13-G Page 5 of 8 Pages Item 4. Ownership. Incorporated by reference to Items (5) - (9) and (11) of the cover page. Item 5. Ownership of Five Percent or Less of a Class. (a) As of the date hereof, Morgan Stanley Dean Witter & Co. has ceased to be the beneficial owner of more than five percent of the class of securities. (b) As of the date hereof, Morgan Stanley Dean Witter Investment Management Inc. has ceased to be the beneficial owner of more than five percent of the class of securities. Item 6. Ownership of More Than Five Percent on Behalf of Another Person. Inapplicable Item 7. Identification and Classification of the Subsidiary which Acquired the Security Being Reported on By the Parent Holding Company. Item 8. Identification and Classification of Members of the Group. Item 9. Notice of Dissolution of Group. Item 10. Certification. By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were acquired in the ordinary course of business and were not acquired for the purpose of and do not have the effect of changing or influencing the control of the issuer of such securities and were not acquired in connection with or as a participant in any transaction having such purpose or effect.

CUSIP No. 210795308 13-G Page 6 of 8 Pages Signature. After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. Date: January 8, 1999 Signature: /s/ Bruce Bromberg ----------------------------------------------------------------- Name/Title Bruce Bromberg / Vice President Morgan Stanley & Co. Incorporated ----------------------------------------------------------------- MORGAN STANLEY DEAN WITTER & CO. Date: January 8, 1999 Signature: /s/ Donald P. Ryan ----------------------------------------------------------------- Name/Title Donald P. Ryan / Principal Morgan Stanley Dean Witter Investment Management Inc. ----------------------------------------------------------------- MORGAN STANLEY DEAN WITTER INVESTMENT MANAGEMENT INC. INDEX TO EXHIBITS PAGE ----------------- ---- EXHIBIT 1 Agreement to Make a Joint Filing 7 EXHIBIT 2 Secretary's Certificate Authorizing Bruce Bromberg 8 to Sign on behalf of Morgan Stanley Dean Witter & Co. * Attention. Intentional misstatements or omissions of fact constitute federal criminal violations (see 18 U.S.C. 1001). (022597DTI)

CUSIP No. 210795308 13-G Page 7 of 8 Pages EXHIBIT 1 TO SCHEDULE 13G --------------------------------------------------- January 8, 1999 --------------------------------------------------- MORGAN STANLEY DEAN WITTER & CO. and MORGAN STANLEY DEAN WITTER INVESTMENT MANAGEMENT INC. hereby agree that, unless differentiated, this Schedule 13G is filed on behalf of each of the parties. MORGAN STANLEY DEAN WITTER & CO. BY: /s/ Bruce Bromberg -------------------------------------------------------------------- Bruce Bromberg / Vice President Morgan Stanley & Co. Incorporated MORGAN STANLEY DEAN WITTER INVESTMENT MANAGEMENT INC. BY: /s/ Donald P. Ryan -------------------------------------------------------------------- Donald P. Ryan / Principal Morgan Stanley Dean Witter Investment Management Inc. * Attention. Intentional misstatements or omissions of fact constitute federal criminal violations (see 18 U.S.C. 1001).

Page 8 of 8 pages EXHIBIT 2 ------------------ MORGAN STANLEY, DEAN WITTER, DISCOVER & CO. SECRETARY'S CERTIFICATE I, Charlene R. Herzer, a duly elected and acting Assistant Secretary of Morgan Stanley, Dean Witter, Discover & Co., a corporation organized and existing under the laws of the State of Delaware (the "Corporation"), certify that as approved by a Unanimous Consent of Directors in Lieu of a Meeting dated as of May 31, 1997, the following persons are each authorized to sign reports to be filed under Sections 13 and 16 of the Securities Exchange Act of 1934 on behalf of the Corporation, and such authorizations are in full force and effect as of this date: Stuart J.M. Breslow Robert G. Koppenol Bruce Bromberg Robin Sherak IN WITNESS WHEREOF, I have hereunto set my name and affixed the seal of the Corporation as of the 3rd day of June, 1997. /s/ Charlene R. Herzer ------------------------ Charlene R. Herzer Assistant Secretaty