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Continental Splits From SkyTeam For United, Star Alliance

Like your drunk friend who thinks everyone should know about her personal drama from her first, Continental Airlines e-mailed all its OnePass members last night to announce it is finally pulling away from the SkyTeam airline alliance and joining the Star Alliance. The official split date is October 24, after which Delta, Air France and KLM will be gathering at Korean Air's house to burn all of Continental's stuff.

The break-up has been a while in the making as Continental announced last year it would partner with United Airlines to fight high fuel costs after flirting with both American and British Airways. Continental had even explored buying the Star Alliance partner but walked away after United revealed greater than expected losses.

Should you cash in your Continental miles now while the gettin's still good, or wait to see what the new partnership can get you? We say redeem 'em now, if you can: The airline announced yesterday it will be cutting service overall by 7 percent after reporting a $266 million fourth-quarter loss.

Related Stories:
· 2008: Continental, United join in code-sharing, frequent-flier pact [USA Today]
· Continental's Switch from SkyTeam to Star [Houston Chronicle Departures blog]
· Continental, US Air Bring Group Loss to $1.35 Billion [Bloomberg News]

[Photo: caribb]