Republic Airways (RJET)

Republic Airways Holdings Inc. (NSADAQ: RJET) announced it will transition the regional service operated by its Lynx Aviation subsidiaries Bombardier Q400 turboprop aircraft to Embraer jet service operated by Republic Airlines. Operations at Lynx is expected to be phased out by mid-September 2010. Service will continue to all current Lynx destinations with the exception of Fargo, N.D. and Tulsa, Okla., where the Company will cease operations on April 5. The transition to jet service will improve the Republic’s ability to operate in highly contested markets in which the Q400 operates at a competitive disadvantage to jet service offered by competitors.
Republic Executive Vice President and Chief Operating Officer Wayne Heller. “Unfortunately, after extensive analysis and months of efforts to grow the business, we concluded we could not efficiently operate a fleet of 11 Q400 aircraft. Jet service allows us to better utilize our existing aircraft resources and lower our cost of operating and maintaining multiple fleet types.”

Feb 22 · 9:59:00 AM
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by Steve Wieczorek