Atlantic Southeast Airlines accepted its first Bombardier CRJ700 during ceremonies that marked not only the Atlanta-based airline’s baptism as a 70-seat jet operator but the delivery of the Canadian manufacturer’s 600th CRJ–a 40-seat version that entered revenue service with ASA on January 31.
Northwest Airlines
Delta Air Lines notified Pinnacle Airlines last month that it intends to dissolve their Delta Connection contract effective July 31. Delta cited Memphis-based Pinnacle’s failure to meet contractually guaranteed on-time performance rates for its decision. In late May a federal judge blocked Delta’s attempts to end its contract with Mesa Air Group’s Freedom Airlines subsidiary for the same stated reason.
Delta Air Lines has notified Pinnacle Airlines that it intends to dissolve their Delta Connection contract, effective July 31. Delta cited Memphis-based Pinnacle’s failure to meet contractually guaranteed on-time performance rates for its decision. A federal judge recently blocked Delta’s attempts to end its contract with Mesa Air Group’s Freedom Airlines subsidiary for the same stated reason.
Northwest Airlink subsidiary Express Airlines I will move to an all-regional-jet fleet and Minneapolis-based Mesaba Airlines will provide all Northwest Airlines’ Saab 340 service in Memphis, Tenn., under a new agreement that saw Mesaba reduce its service fees to Northwest by 10 percent during last year’s fourth quarter.
Bombardier won a long-anticipated and hard-fought operational lease deal from Northwest Airlines for 75 CRJ-440 regional jets, the newly designated 44-passenger version of the 50-seat CRJ-200. The airline has also taken options on an additional 175 CRJ-440s.
Airline executives whose predictions of regional divestitures raised eyebrows just two years ago watched their prophesies turn to hard reality in late February, as Northwest Airlines announced its intention to spin off its Memphis-based Express Airlines I subsidiary and Continental Airlines revisited its plans to divest itself from Continental Express.
Big Sky Airlines will operate as a subsidiary of Mesaba Holdings by year-end if the Billings, Mont.-based Fairchild Metro III operator meets “certain labor conditions” set by its would-be parent company from Minneapolis. The proposed merger would create a new division within Mesaba Holdings, flying under an operating certificate and labor contracts separate from Mesaba Aviation.
A festering animosity between regional airline pilot groups and the Air Line Pilots Association showed no sign of subsiding last month, as nearly 300 Comair pilots asked to join a pending lawsuit against the union while pilots from US Airways subsidiary Allegheny Airlines picketed outside ALPA’s Washington headquarters.
The insidious and far-reaching effects of the WorldCom debacle hit home for Mesaba Airlines, as the Minneapolis-based Northwest Airlink partner watched its devalued bond holdings in the beleaguered communications company shrink its first quarter 2003 income by $2.7 million. As a result, the company’s net income for the quarter ending June 30 totaled $1.6 million, compared with $4.7 million during the same period last year.
Delta Connection regional carriers Atlantic Southeast Airlines and Comair have exercised options for a total of two CRJ200s and one CRJ700 regional jet from Canadian aircraft manufacturer Bombardier. The transaction is valued at about $73.24 million and brings to six the number of option conversions that Delta Connection carriers have executed this year.