Republic Airways became the second regional airline to claim a stake in US Airways last month when it inked a conditional deal to commit $125 million in equity and up to $110 million in asset-related financing.
Republic Airways Holdings
A bankruptcy court judge has approved a deal between Air Wisconsin and US Airways that will see the Appleton, Wis.-based regional take an equity stake in the bankrupt major airline and fly up to 70 regional jets as US Airways Express. The arrangement centers on a $125 million loan from Air Wisconsin’s investment arm, Eastshore Aviation, that will convert to equity after US Airways’ planned emergence from bankruptcy this summer.
US Airways expects to launch Embraer E190 service from Philadelphia this month, marking the first application of the Brazilian narrowbody in mainline service in the U.S. Plans call for the dual-class, 99-seat jets to link Philadelphia with Hartford, Conn.; Boston; Dallas; Providence, R.I.; and Manchester, N.H.
Republic Airlines will fly 17 seventy-six-seat Embraer E170s as Frontier Jet Express under a new code-share contract meant to replace and expand service now performed by Seattle-based Horizon Air with Bombardier CRJ700s. The 11-year contract calls for the first aircraft to enter service next month and the last in December 2008. Horizon’s contract with Frontier expires in December.
Indian start-up airline Paramount Airways signed a pair of preliminary agreements yesterday to lease two 70-seat Embraer 170s and three 75-seat Embraer 175s. Under the contracts, Paramount will take the two 170s directly from Embraer “later this year.” One of six new Indian airlines scheduled to start service this year, Paramount will lease the three 175s, configured in a dual-class, 75-seat cabin layout, from GE Capital Aviation Services.
Austrian charter operator Jet-Alliance (Booth No. 132) yesterday signed a firm order here for a CFM56-5-powered Airbus Corporate Jet (ACJ). It will augment the almost 40 aircraft available from the Viennese company by providing long-range, large-cabin capacity, chief executive Lukas Lichtner-Hoyer told EBACE Convention News.
Brazil’s Embraer passes another critical milestone in its meteoric development this month with EASA certification of the largest of its four-member family of E-Jets, the 108- to 118-seat Embraer 195. Although it marks the formal market introduction of the last airliner project on Embraer’s research and development ledger, the approval by no means signals the end of the company’s work in the commercial realm, or even on this series.
As long as manufacturers keep selling business jets, buyers will continue filling the cabins with the posh, the luxurious and, occasionally, the downright outlandish. The consensus among those with a front-row view of the completion and refurbishment industry these days is that the money is coming in faster than they can help everyone spend it. But is all this activity trickling down to the independent completion and refurbishment centers?
Responding to rapid growth in maintenance and completion activities since the repair station’s formation two years ago, Indianapolis Jet Center (Booth No. 4093) has added a 50,000-sq-ft hangar to its facilities at Indianapolis International Airport.
Aerospace Products International announced that it will open a 172,000-sq-ft facility in Southaven, Miss. The location is approximately three miles from the Memphis International Airport and the FedEx hub. API will consolidate four of its warehouse facilities into a recently completed distribution center developed by Industrial Developments International (IDI) early next year.