Regionals Update: US Airways shuts down Potomac Air

 - October 4, 2007, 8:43 AM

Potomac Air, the wholly owned US Airways Express carrier established in January  as part of an asset divestiture plan for the failed merger agreement with United Airlines, ceased operations on October 6. The demise of the Washington-based subsidiary came as US Airways’ reduced capacity throughout its wholly owned Express system since September 11, a move that resulted in the furlough of 770 employees, including 170 at Potomac Air. US Airways representatives said the company would likely release information on the re-allocation of Potomac’s routes and assets, including eight de Havilland Dash 8-100s formerly flown by fellow US Airways Express subsidiary Piedmont Airlines, during an October 30 earnings briefing.