Category Archives: Republic Airways Holdings

Republic Airways welcomes the first aviation training academy class

Republic Airlines (2nd) Embraer ERJ 190-100 IGW N173HQ (msn 19000206) DCA (Brian McDonough). Image: 909600.

Republic Airways Holdings issued this statement:

The first class of future pilots at the Republic Airways Holdings’ LIFT Academy will “take off” on Tuesday. LIFT Academy, a U.S.-based aviation training school located at the Indianapolis International Airport (IND), launched in May of 2018 and makes aviation training affordable, accessible and attractive. Over 600 applications were received for the first class.

LIFT Academy makes a career as a commercial pilot more accessible to all by reducing the cost and structural barriers to entry in aviation.  Applying to LIFT is free, and total tuition for the flight academy is $65,000, which is lower than most other aviation training schools in the U.S.  Further, graduates of LIFT are guaranteed a First Officer job with Republic Airways. To further help students with tuition costs, Republic is also offering financing opportunities and loan assistance to those who qualify.

“We are thrilled to welcome our first class to LIFT Academy,” said Matt Koscal, Senior Vice President and Chief Administrative Officer, Republic Airways Holdings. “LIFT Academy is revolutionizing pilot training by introducing the most technologically advanced flight program, while removing barriers such as cost and accessibility that today limit the pilot career to a narrow demographic.”

LIFT Academy features a structured aviation education environment and curriculum that combines flight, flight simulator, online and in-classroom training. Throughout the training program, students train on a fleet of advanced new aircraft and flight simulators produced by Diamond Aircraft Industries, including the DA40 single-engine and the DA42 twin-engine aircraft.  Both aircraft possess the most advanced technology in the industry, including the most sophisticated avionics suite in the market. The program will be further enhanced with Diamond Flight Simulator Training Devices (FSTD) built to achieve the most realistic cockpit simulation environment.

Republic currently hires nearly 700 commercial pilots annually, and that number is expected to grow by 50% over the next decade. The airline industry is currently facing a significant pilot shortage. Reports indicate 637,000 new commercial airline pilots will be needed worldwide by 2036 to meet demand because of contributing factors like pilot retirements and worldwide aviation growth.

Interested students can call 317.471.2200 or 1.800.435.2552 and visit flywithLIFT.com. Republic Airways officials are available to answers questions regarding the pilot shortage and LIFT Academy.

Top Copyright Photo (all others by Republic): Republic Airlines (2nd) Embraer ERJ 190-100 IGW N173HQ (msn 19000206) DCA (Brian McDonough). Image: 909600.

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Embraer and Republic Airways sign Letter of Intent for up to 200 E175s

Embraer and Republic Airways, the world’s largest E-Jet operator, announced at the 2018 Farnborough Airshow that they have signed a Letter of Intent (LoI) for a firm order of 100 E175, with the right to convert to E175-E2 aircraft, and purchase rights for an additional 100 E175 aircraft. If all purchase rights are exercised, the contract has a value of up to USD 9.3 billion based on current list prices. This order will be included in Embraer’s backlog as soon as it becomes firm, later this year.

Republic Airways and Embraer established their partnership in 1999 when one of its former subsidiaries, Chautauqua Airlines, took delivery of its first ERJ 145 in the livery of US Airways Express.

Today, Republic Airline operates a fleet of nearly 190 Embraer 170/175 aircraft and provides fixed-fee flights operated under its major airline partner brands of American Eagle, Delta Connection and United Express. Including this new contract, Embraer has sold more than 520 E175s to airlines in North America since January 2013, earning more than 80% of all orders in this 70-76-seat jet segment.

Image: Embraer.

Republic Airways pilots ratify a new three-year contract

Republic Airways Holdings Inc. (Republic Airlines 2nd and Shuttle America) (Indianapolis) has announced that the International Brotherhood of Teamsters’ (IBT) Local 357, which represent the approximately 2,100 pilots of Republic, have voted by a margin of 76% to ratify a new three-year contract, with approximately 85% of the eligible pilots voting.

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The three-year agreement becomes effective on or about November 1. The agreement invests approximately $50 million a year on average over the three-year duration of the new agreement, including both the ratification bonus and the anniversary bonus. The new agreement includes significant improvements in work rules and pilot quality of life. Additionally, it establishes pay rates that recognize Republic’s pilots as leaders in the regional airline industry, including a transformational $40/hr first year new hire rate.

Copyright Photo: Tony Storck/AirlinersGallery.com. Embraer ERJ 170-200LR (ERJ 175) N135HQ (msn 17000224) of Republic Airlines operating as an American Eagle carrier arrives at Baltimore-Washington (BWI).

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Republic Airways Holdings disputes Delta’s complaint

Republic Airways Holdings (Shuttle America) (Indianapolis) has issued this statement disputing a reported lawsuit by Delta Air Lines (Atlanta) claiming the carrier failed to fly its full contracted schedule according to the Indianapolis Business Journal:

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Republic Airways Holdings Inc. has been made aware of a complaint filed by Delta. The Company has not been served and has not received the full complaint and therefore cannot comment further on the matter at this time. Republic can confirm that the Company is not in breach of any of its capacity purchase agreements with any of its mainline partners, including both Delta Connection Agreements.

Republic Airways Holdings Inc., based in Indianapolis, Indiana, is an airline holding company that owns Republic Airlines and Shuttle America, collectively called “the airlines.” The airlines operate a combined fleet of about 240 aircraft and offer scheduled passenger service with approximately 1,250 flights daily to about 100 cities in the U.S., Canada and the Caribbean through fixed-fee flights operated under our major airline partner brands of American Eagle, Delta Connection, United Express and US Airways Express. The airlines currently employ about 6,500 aviation professionals.

Copyright Photo: Keith Burton/AirlinersGallery.com. Shuttle America Embraer ERJ 170-200LR (ERJ 175) N202JQ (msn 17000240) in Delta Connection colors climbs away from Boston’s Logan International Airport.

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Republic Airways Holdings to go to federal arbitration with its pilots on September 16

Republic Airways Holdings (Indianapolis) has issued this statement regarding its on-going dispute with its pilots for a new contract under federal mediation:

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Republic Airways Holdings Inc. received notification from the National Mediation Board (NMB) requesting the Company meet with the NMB on September 16, 2015, in Washington, D.C. As our case remains under the control of the NMB, the Company intends to fully comply with the request of the mediator.

Although the International Brotherhood of Teamsters has deferred a vote by our Pilots, our proposed contract remains on the table, and we continue to believe the appropriate next step is for the Union to abide by its constitution and let our Pilots vote on their own future. A week ago, we offered to meet with the elected leadership of the Union to discuss their language concerns in the proposed contract. To our dismay, there has been no response from the Union leadership to this invitation as a way to collaboratively bring this process to a close.

Copyright Photo: Brian McDonough/AirlinersGallery.com. Operated by Republic Airlines (2nd), Embraer ERJ 170-100SU N806MD (msn 17000019) completes the final approach to the runway at Washington (Reagan National).

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Republic Airways Holdings presents its “Last, Best and Final Offer” to its pilots

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Republic Airways Holdings Inc. (Indianapolis) has presented its “Last, Best and Final Offer” to the International Brotherhood of Teamsters Local 357 representing its almost 2,100 pilots.

The Company posted the full text of the proposed three-year agreement, along with supporting material, to a dedicated website, www.myrjetcontract.com.

“Our Pilots deserve an industry-leading contract and this proposal meets that standard,” said Matt Koscal, Republic vice president for Human Resources. “It provides our Pilots improved job protection, compensation and quality of life for them and their families. It starts us on the path back to our tradition of operational excellence and a competitive position in the marketplace. We’re asking the Union to put this contract to a vote and asking our Pilots to read it. It’s time to move forward.”

Republic Airways Holdings’ second quarter net income drops to $4.3 million due to “operational reliability”

Republic Airways Holdings Inc. (Republic Airlines and Shuttle America) (Indianapolis) reported its financial and operational results for the second quarter of 2015.

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Republic’s pre-tax income for the second quarter of 2015 was $9.1 million, compared to $33.3 million for the prior year’s second quarter. Republic’s net income for the second quarter of 2015 was $4.3 million, or $0.08 per diluted share compared to prior year net income of $20.1 million or $0.38 per diluted share. The effective tax rate of 52.7% for the quarter was higher than the normalized tax rate, primarily due to the impact of miscellaneous non-deductible expenses.

The second quarter 2015 financial results were negatively impacted by a significant reduction in operational reliability. The Company’s controllable completion factor and operating revenues were significantly lower than expected due to a high number of pilot related cancellations as a result of the growing national pilot labor shortage and our on-going labor dispute with International Brotherhood of Teamsters (IBT).

The second quarter results were also negatively impacted by fleet transition costs and idled aircraft costs totaling $10.8 million associated with our removal of E190 and Q400 aircraft and surplus E145 aircraft.

Recent Business Developments

On July 9, 2015, the IBT, representing Republic’s pilots, filed suit against the Company alleging that the Company unilaterally increased compensation for pilots and new hires in violation of the Railway Labor Act. We believe the suit is without merit, and the Company has filed a motion to dismiss. The motion is currently pending.

On July 24, 2015, the Company announced the engagement of Seabury Group as its advisor to restructure the Company’s operational and financial commitments and explore all options to maintain the Company’s enterprise value. The Company has initiated discussions with its CPA partners to further reduce flying schedules during the second half of 2015 and 2016. In light of the anticipated fleet reductions, the Company rescinded all previously issued financial and operational guidance on July 24, 2015.

On August 6, 2015, the Company received notice from the National Mediation Board scheduling the next mediated session on August 20, 2015, with the IBT National Airline Division, IBT Local 357, and the Company.

Concerning fleet news, Republic reported:

Operating aircraft at period end:

44-50 seats  *1                        41 in service on June 30, 2015 versus 45  a year ago (8.9% drop)
69-99 seats  *2                     201 in service on June 30, 2015 versus 192 a year ago  (4.7% increase)

*1 Excludes 11 owned E140 aircraft that were abandoned and four leased E140 aircraft that were permanently parked, seven owned and nine leased E145 aircraft that were temporarily parked, and one owned E135 aircraft and eight owned E145 aircraft that are leased to other operators, as of June 30, 2015. Excludes 11 owned E140 aircraft that were abandoned, 11 leased E145 aircraft and two owned E145 aircraft that were temporarily parked as of June 30, 2014.

*2 Excludes five leased Q400 aircraft, of which; three were temporarily parked and two that were transitioned to Flybe and three owned E170 aircraft that are leased to other operators, as of June 30, 2015. Excludes two temporarily parked E190 aircraft as of June 30, 2014.

Read the full report: CLICK HERE

Copyright Photo: Ken Petersen/AirlinersGallery.com. The Bombardier DHC-8-402s (Q400s) operated by Republic Airlines (2nd) as an United Express carrier are gradually being phased out. The last of the type is expected to be removed from the United CPA contract in September 2016. However this come sooner with the on-going pilot dispute and the shortage of pilots. The company is discussing ways it can mitigate the shortage. DHC-8-402 (Q400) N336NG (msn 4336) arrives at Raleigh-Durham.

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