Mesa Air Group Enters New Contract with American Airlines to Operate 40 CRJ-900s for Five Years; Replaces Existing Expiring Contract
PHOENIX, Nov. 24, 2020 (GLOBE NEWSWIRE) -- Mesa Air Group, Inc. (NASDAQ: MESA) announced today that it has finalized a new contract, which replaces the previous agreement with American Airlines, to operate 40 CRJ-900s for a five-year term beginning January 1, 2021 through December 31, 2025. Under the previous contract 30 CRJ-900 aircraft were set to expire in 2021 with an additional 17 expiring in 2022.
“I want to express my appreciation to the American Eagle team leaders who worked with us on this new contract,” said Jonathan Ornstein, Chairman and Chief Executive Officer of Mesa Air Group. “This new contract will position Mesa for long term stability and improved performance on our American operation. This year has been difficult for our entire industry, but I’m thankful that despite the obstacles, American has chosen to continue its long-standing relationship with Mesa.”
“I want to thank everyone involved for making this deal happen, especially our employees, who have shown unmatched professionalism and dedication throughout this difficult year,” said Brad Rich, Executive Vice President and Chief Operating Officer. “Efficiency and flexibility have been the pillars of our operation and the key to our low-cost structure. We are optimistic about our relationship with American and believe this new contract will be beneficial to both parties.”
About Mesa Airlines
Headquartered in Phoenix, Arizona, Mesa Air Group, Inc. is the holding company of Mesa Airlines, a regional air carrier providing scheduled passenger service to 101 cities in 39 states, the District of Columbia, Canada and Mexico as well as cargo services out of Cincinnati/Northern Kentucky International Airport. As of October 31st, 2020, Mesa operated a fleet of 146 aircraft with approximately 342 daily departures and 3,200 employees. Mesa operates all of its flights as either American Eagle, United Express, or DHL Express flights pursuant to the terms of capacity purchase agreements entered into with American Airlines, Inc., United Airlines, Inc., and DHL.
This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about the new contract with American Airlines positioning Mesa for long term stability and improved performance on its American operation and the benefits of the new agreement to both parties. All forward-looking statements in this release are made as the date hereof and are based on information available to Mesa as of such date. These forward-looking statements represent the judgment of the Company, as of the date of this release, and the Company disclaims any intent or obligation to publicly update or review any forward-looking statements, whether as a result of new information, future developments or otherwise, except as may be required by any applicable securities laws.
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