Republic Airways Holdings Inc. (Indianapolis) today announced that it has reached an agreement with American Airlines to operate 53 Embraer ERJ 175 aircraft under the American Eagle brand. The Capacity Purchase Agreement (CPA) will be operated by the Company’s Republic Airlines (2nd) (Indianapolis) subsidiary, with service expected to start in June of 2013. The CPA is subject to approval by the Bankruptcy Court in the American Airlines bankruptcy proceedings.

Republic also signed an agreement with Embraer to purchase 47 new aircraft and lease a previously owned Embraer ERJ 175 jet aircraft, including the first deliveries of Embraer’s enhanced fuel performance aircraft. In addition, the Company will acquire five previously owned ERJ 175s from a third party.

The aircraft, which will seat 76 passengers in a two-class cabin, are expected to be phased into operation at approximately two to three aircraft per month beginning in mid-2013 through the first quarter of 2015. Each aircraft will operate under the CPA for 12 years from its in-service date, extending the term of the agreement into 2027.

Republic’s contract with Embraer also includes an option with delivery positions exercisable beginning in 2015, for the purchase of an additional 47 aircraft.

Copyright Photo: Brian McDonough. Wearing the Republic Airways house colors, Republic Airlines’ (2nd) Embraer ERJ 170-100SE N866RW (msn 17000129) prepares to land at Washington (Reagan National).

Subsidiary Chautauqua Airlines currently operates 15 Embraer ERJ 140 regional jets as an American Connection carrier. The ERJ 140s will be retired as well as the American Connection name.

Route Map for all of Republic Airways Holdings’ contract flying by all of its subsidiaries:

Please click on the map for the full-size view.

Republic Airways-Republic Airlines (2nd):