=20 ---------------------------------------------------------------------- This article was sent to you by someone who found it on SF Gate. The original article can be found on SFGate.com here: http://www.sfgate.com/cgi-bin/article.cgi?file=3D/news/archive/2003/07/29/f= inancial1127EDT0093.DTL ---------------------------------------------------------------------- Tuesday, July 29, 2003 (AP) Continental Airlines to sell $200 million of ExpressJet shares (07-29) 13:35 PDT (AP) -- HOUSTON (Dow Jones/AP) -- Continental Airlines Inc. said Tuesday it plans to sell about $200 million of stock in ExpressJet Holdings Inc., cutting its ownership of the regional airline to 37.5 percent from 53.1 percent. Continental, the world's seventh-largest airline, will sell about 8 million shares directly to ExpressJet, which operates as Continental Express, and 5 million shares to the public. In addition, Continental expects to grant the underwriters of the public offering the option to purchase an additional 750,000 shares to meet demand. It the option is used, Continental's stake in ExpressJet will fall to 34.7 percent. The sales will allow Continental to take ExpressJet off its balance shee= t, since it will no longer own the majority of the company. The transaction assumes a purchase price of $15.54 per share, Thursday's closing price for ExpressJet shares, Continental said. ExpressJet shares closed down $1.59, or 10 percent, at $13.95 on the New York Stock Exchange. Shares of Houston-based Continental ended at $14.92, down 52 cents, or 3.4 percent. ExpressJet, also based in Houston, provides connecting flights for Continental Airlines to smaller cities. It operates about 145 regional jets and flies passengers to about 100 cities in the United States, Canada and Mexico from its hubs in Cleveland, Houston and Newark, N.J. =20 ---------------------------------------------------------------------- Copyright 2003 AP