Mesa Air sells 18 Bombardier CRJ700s to United Airlines

Mesa Air Group (Mesa Airlines) has agreed to sell 18 Bombardier CRJ700s to United Airlines.

Mesa had retired the aircraft last year and leased them to GoJet Airlines.

The last flight by Mesa for United of the type was operated on February 9, 2021 between Portland, ME and Washington (Dulles) by N508MJ.

The company filled this report on the transaction:

Mesa Air Group, Inc., its wholly owned subsidiary, Mesa Airlines, and United Airlines, Inc. entered into an Aircraft Purchase Agreement, which provides for the sale of 18 CRJ700 aircraft owned by Mesa to United. The Company expects the net proceeds from the sale of such aircraft will be approximately $50,000,000.

The Purchase Agreement provides that each aircraft will be delivered “as is, where is” subject to and with the benefit of a related lease agreement.

Under the terms of the Purchase Agreement, the Company is providing customary representations and warranties for a transaction of this type including authorization, no conflicts, validity of agreement, regulatory matters, good and marketable title, airworthiness, no liens, aircraft records, manufacturer warranties, and no brokers’ fees.

United has agreed to deposit a specified sum per aircraft with FAA counsel, to be applied toward the purchase of each aircraft.

The closing of the sale of each aircraft is subject to certain customary closing conditions, including the execution of mutually acceptable sale and lease assignment and assumption documentation, and United’s satisfactory inspection of the aircraft.

The Purchase Agreement provides for a downward adjustment in the purchase price based on a formula set forth therein if the closing date in respect of an aircraft occurs after January 31, 2023.

Top Copyright Photo: United Express-Mesa Airlines Bombardier CRJ700 (CL-600-2C10) N504MJ (msn 10066) CLT (Jay Selman). Image: 404184.

United Express – Mesa Airlines aircraft photo gallery: