Mesa extends its contract with United Airlines to 2019 to operate 20 Bombardier CRJ700s, will also add 30 Embraer 175 aircraft
Mesa Air Group, Inc. (Mesa Airlines) (Phoenix) has announced a new agreement with United Airlines (Chicago) that extends the term of its existing fleet of 20 Bombardier CRJ700 regional jet aircraft to 2019 and adds 30 new United owned Embraer 175 (ERJ 175) aircraft under the United Express contract.
Under the terms of this agreement Mesa will place the new Embraer 175 jets into service over the next two years. Mesa will hire approximately 350 pilots, 300 flight attendants, and 200 maintenance and other support personnel to support the additional aircraft.
“This is truly a great day for Mesa. We will continue to work hard to provide the best possible service to United’s customers,” said Jonathan Ornstein, Mesa’s Chairman and CEO. “Mesa began operating under the United Express banner in 1992, and we are delighted to have this opportunity to expand our longstanding partnership. Our first codeshare agreement with United transformed our company, and I am sure this one will do the same. We are also very pleased to rejoin the Embraer family of operators and look forward to working with our many friends there as well.”
Paul Foley, Executive Vice President and Chief Operating Officer, said, “It has always been our goal to exceed the expectations of both our partners and customers. We believe this contract is evidence that our operational performance and industry leading cost structure have begun to pay big dividends for the company and our people. Based on data from the Department of Transportation, Mesa has been the number one performing regional airline for each of the last three years. We’d like to thank all of our people who have contributed to our success and enabled us to compete successfully for this new business.”
Mesa Airlines currently operates over 425 daily system departures to 82 cities, 32 states, Mexico and the District of Columbia, as United Express and US Airways Express under contractual agreements with United Airlines and US Airways, respectively, and independently in Hawaii as go! The airline, founded by Larry and Janie Risley in New Mexico in 1982, has approximately 2,000 employees.
Copyright Photo: Brian McDonough/AirlinersGallery.com. Mesa Airlines’ Bombardier CRJ700 (CL-600-2C10) N515MJ (msn 10117) arrives at the Washington (Dulles) hub.
Go! (ifly.com) (Honolulu), the Hawaiian inter-island subsidiary of the Mesa Air Group (Phoenix), may be living on a short amount of time remaining. According to the Star Advertiser in Hawaii, billionaire owner of Lanai, the co-founder of the Oracle Coporation, and the new owner of Island Air (Honolulu), Larry Ellison, is reportedly about to close a deal to acquire Go! from Mesa Air Group. If acquired, Ellison would probably combine the two carriers under the Island Air rebranded name.
Read the full report: CLICK HERE
Read more from HNL Rareliners: CLICK HERE
Copyright Photo: Travis Thurston. All others by Go! Bombardier CRJ200 (CL-600-2B19) N77278 (msn 7278) waits at the gate at HNL.
Video: A Go! commercial:
Mesa Air Group, Inc. (Mesa Airlines) (Phoenix), the number one on-time regional airline in 2010 and 2011, announces its number one rank among US regional airlines for on-time arrivals in March 2012, as reported by US Department of Transportation (DOT), Bureau of Transportation Statistics in the Air Travel Consumer Report, the industry recognized measure of performance. Mesa’s operational performance has ranked it as the number one On-time Regional Airline every month since April 2010, and the latest award reinforces Mesa’s continued commitment to serve our Code Share Partners and passengers with safe, reliable on-time air transportation. In addition to continuing its status as the number one on-time regional airline, Mesa was ranked first among regional carriers with the fewest mishandled bags and was ranked first among all airlines for having the fewest complaints per 100,000 passengers carried.
The airline’s accomplishment is especially impressive given the airline’s footprint of service in 34 states nationwide, including significant service at four of the nation’s five busiest airports. Mesa Airlines operates as US Airways Express and United Express under contractual agreements with US Airways and United Airlines, respectively, and independently as go!, a Low Fare airline which is about to enter its 6th year of offering low fares to visitors and residents of Hawai’i as the second largest inter-island airline based on passengers carried.
With these announcements about its on-time performance, Mesa is building its case for reliability.
Top Copyright Photo: Brian McDonough.
United Express-Mesa Slide Show: CLICK HERE
US Airways-Mesa Slide Show: CLICK HERE
Bottom Copyright Photo: Bruce Drum.
Mesa Airlines (Mesa Air Group) (Phoenix) which won the number one on-time regional airline award in 2010 and 2011, obtained the number one rank among U.S. regional airlines for on-time arrivals in January 2012, according to the U.S. Department of Transportation Air Travel Consumer Report, the industry recognized measure of performance. In addition to being ranked first among regional airlines for on-time arrivals, Mesa was ranked first among regional airlines for fewest mishandled bags and first among all air carriers for fewest complaints per 100,000 passengers – the “Triple Crown” of operational performance. This recognition and the company’s strong operational performance reflect Mesa’s continued commitment to its Code Share Partners and Passengers.
Mesa Airlines currently operates 77 aircraft with over 395 daily system departures to 87 cities, 33 states, Mexico and the District of Columbia. Mesa operates as US Airways Express and United Express under contractual agreements with US Airways and United Airlines, respectively, and independently as go!. In June 2006, Mesa launched inter-island Hawai’i service as go! and in October 2009 formed a joint-venture with Mokulele Airlines. The go! Mokulele operation links Honolulu to the neighbor island airports of Hilo, Kona, Kahului, Ho’olehua, Lana’i and Lihu’e.
Copyright Photo: Brian McDonough.
United Express-Mesa Airlines High-Res Slide Show: CLICK HERE
Mesa Air Group (Phoenix) as expected, yesterday (March 1) emerged from Chapter 11 bankruptcy protection.
Mesa Air Group’s Plan of Reorganization became effective on March 1, allowing the company to emerge from its reorganization under Chapter 11 of the U.S. Bankruptcy Code. Mesa and its related subsidiaries entered bankruptcy protection on January 5, 2010 and Mesa’s exit from bankruptcy protection in 13 months places it among the fastest reorganizations in aviation history.
The Company’s restructuring accomplishments included:
- Elimination of 100 excess aircraft and associated leases and debt which contributed to the deleveraging of Mesa’s balance sheet in the approximate amount of $700 million in capitalized leases and $50 million in debt;
- Restructuring of aircraft leases and financings for Mesa’s remaining CRJ200 and DHC-8 fleets resulting in flexibility, no long term lease exposure and lower costs on the CRJ200 50-seat regional jet aircraft;
- Emerging as a private company that will issue four new series of notes, shares of common stock, and/or warrants to purchase shares of its common stock to its creditors in exchange for their claims in the Chapter 11 proceedings;
- Extending the term of the code-share agreement with US Airways through September 2015.
Copyright Photo: Bruce Drum. Please click on the photo for additional information about the United Express-Mesa operation.
United Airlines (including Continental Airlines) North American Route Map (includes United Express routes): CLICK HERE
Mesa Air Group (Phoenix) is expected to emerge from Chapter 11 bankruptcy protection this week with US Airways as its major partner.
Read the full story from the Arizona Republic: CLICK HERE
Copyright Photo: Stephen Tornblom. Please click on the photo for additional information.
US Airways (Phoenix) and the Mesa Air Group, Inc. (Phoenix) have announced they have reached an agreement in principle to extend their code share agreement covering 38 Bombardier CRJ900 aircraft for an additional term of 39 months to September 2015. Under the term sheet, Mesa Airlines, Inc., a wholly owned subsidiary of Mesa Air Group, will continue to provide regional jet service under the US Airways Express banner. The agreement is subject to approval by Mesa’s and US Airways Boards of Directors and the Bankruptcy Court overseeing Mesa’s restructuring.
Copyright Photo: Bruce Drum. Please click on photo for more background information.
Under the agreement Mesa will continue to provide US Airways Express service out of US Airways’ hubs in Phoenix, AZ and Charlotte, NC utilizing aircraft in Mesa’s current fleet.
Mesa Air Group (Phoenix) is proposing to issue 10 percent of its post-bankruptcy stock to US Airways in exchange for a new US Airways Express contract under its restructuring plan filed September 17 in the U.S. Bankruptcy Court in New York.
Read the full report from Bloomberg Businessweek:
Copyright Photo: Bruce Drum. Mesa’s Bombardier CRJ900 (CL-600-2D24) N919FJ (msn 15019) taxies to the runway at Charlotte.
Mesa Air Group (Phoenix) is reorganizing its company in Chapter 11 in order to reduce its costs. This will probably include downsizing and the loss of jobs. This article by the Arizona Republic examines in detail all of the issues facing the company.
Read the article:
Mesa Air Group (Phoenix) this morning (January 5) filed for Chapter 11 bankruptcy protection and reorganization. Mesa requested and received court approval to continue to operate its 700 daily flights. Mesa Airlines operates under contract as a Delta Connection, United Express and US Airways Express carrier with 130 aircraft.
The filing does not impact the new go! Mokulele joint venture.
Go! (iflygo.com) (Mesa Air Group) (Honolulu) is adding Mokulele titles to its Bombardier CRJ200 (CL-600-2B19) fleet.
As previously reported, last month Mesa Air Group and Republic Airways Holdings merged their competing subsidiaries, go! and Mokulele Airlines into a joint venture called go! Mokulele. Mesa’s 50-seat CRJ200s continued to operate inter-island services, supplemented by Mokulele’s Cessna 208B Grand Caravan turboprop aircraft. Shuttle America’s Embraer ERJ 170s, operated on behalf of Mokulele Airlines, were removed from Hawaii service. Mesa maintains a 75 percent share in the joint venture, with Republic holding the remaining 25 percent.
Republic Airways Holdings (Indianapolis) has answered our question of what they would do with the three Shuttle America (Indianapolis) Embraer ERJ 170s operating for subsidiary Mokulele Airlines in Hawaii. The holding company yesterday (October 13) announced that it had reached an agreement with Mesa Air Group (Phoenix) to form a joint venture (JV) to combine the jet routes currently flown by both Mesa (go!) and Republic (Mokulele). Under the agreement, Embraer ERJ 170 routes currently operated by Shuttle America (Republic Airways) will be transitioned to jet service provided by go! (Mesa Air Group). The three ERJ 170s will be returned to the mainland by November and will be operated in Republic Airways’ branded network (probably for either Frontier or Midwest).
Under the terms of the JV agreement, Mokulele shareholders will contribute their ownership of Mokulele to the JV and will own 25 percent of the new unnamed venture. Additionally, current Mokulele shareholders will be obligated to fund up to $1.5 million to capitalize the JV. Republic, which is the majority shareholder of Mokulele, will forgive Mokulele’s $3.1 million outstanding debt to Republic, net of surrendered aircraft deposits.
Here is the full press release from Republic Airways Holdings:
The press release by the Mesa Air Group states both the go! and Mokulele Airlines brands will continue under the JV. Therefore both airlines will continue to operate under their brands although it unclear what aircraft Mokulele Airlines will operate.
Mesa Air Group (Phoenix) reported a fiscal third quarter net profit of $1.7 million.
go! (subsidiary of Mesa Air Group) (Honolulu) will not become the second version of Aloha Airlines. A U.S. bankruptcy judge (Lloyd King) denied the recommendation of the Aloha Airlines (1st) (Honolulu) bankruptcy trustee to sell the name to investment company Yucaipa. Yucaipa was intending to license the use of the “Aloha Airlines” name to Mesa Air Group in order for its go! subsidiary to be renamed. Unions representing the former employees of Aloha objected to the transfer. The judge cited Mesa’s strategy of forcing the original Aloha out of business as a major reason for the denial.
Meanwhile go! lost $2.1 million in the quarter ending on March 31, 2009. How long will Mesa stay in the Hawaiian market?
Mesa Air Group (Phoenix) has elected to prematurely end its relationship with go!Express partner Mokulele Airlines (Kailua-Kona). Effective March 25, Mesa’s go! Hawaiian inter-island subsidiary will code share with Island Air (Honolulu) for feeder traffic. Republic Airways recently announced its intention to increase its share in Mokulele Airlines. The two parties are now squaring off as competitors.