Continental cuts Mexico capacity by 50%

In response to significantly lower demand because of the H1N1 swine flu crisis, Continental Airlines said it would reduce capacity by 50% on flights to Mexico in May, effective May 4. Flight departures will be reduced by 40%.

Reductions are being implemented by using smaller aircraft on flights to Mexico or by reducing the frequency of flights to any one destination, said Continental.

Normally, Continental operates an average of 450 flights per week to Mexico. The airline serves 29 destinations in the country.

"We were already experiencing soft market conditions due to the economy, and now our Mexico routes in particular have extra weakness," said Continental CEO Larry Kellner. "Our plan going forward will be to continue to monitor demand levels we are seeing and adjust our capacity and costs accordingly."

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