Advertiser & Editorial Disclosure: The Bulkhead Seat earns an affiliate commission for anyone approved through the links below. This compensation may impact how and where links appear on this site. We work to provide the best publicly available offers to our readers. We frequently update them, but this site does not include all available offers. Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed, or approved by any of these entities.
Republic Airways and Mesa Air announced today that they are merging (in an all-stock transaction) and creating a publicly-traded regional airline. Mesa Air will be folded into Republic Airways after more than 45 years in operation. The combined entity will fly regional flights on behalf of American Airlines, Delta Air Lines, and United Airlines.
Things became a bit rocky for Mesa Air back in 2022 after American Airlines dropped the regional carrier. Mesa Air was then flying exclusively for United Airlines. The merger will assist with operating costs and allow the combined entity to continue flying for all three of the major carriers (American Airlines, Delta Air Lines, and United Airlines).
Republic Airways has been a regional airline since 1974. It’s now one of the largest regional airlines in the United States with a fleet of more than 240 Embraer E170/E175 aircraft. Last year, the airline flew approximately 17.5 million passengers on more than 300,000 flights. Mesa Air has a fleet of 60 Embraer E175 and flies to 73 cities with around 279 flights per day. It’s a smaller operation and will see great synergy with Republic Airways.
The route networks are complementary and with both airlines operating the same aircraft there is greater operational efficiency and cost saving to be had here. The combined company will be able to support all of the airlines they currently have agreements signed with across the United States. The largest hubs that will be supported include Boston Logan International Airport (BOS) for Delta, Chicago O’Hare International Airport (ORD) for American and United, as well as Houston’s George Bush Intercontinental Airport (IAH) and Washington Dulles International Airport (IAD) for United.
Bryan Bedford, Republic’s President and Chief Executive Officer, said:
We’re thrilled to combine the Republic and Mesa teams to create one of the world’s leading Embraer Jet operators. Republic and Mesa share a common mission to connect communities across America, and we believe that we can better achieve that mission together. With this combination, we are establishing a single, well-capitalized, public company that will benefit from the deep expertise of Republic and Mesa associates, creating value for all stakeholders well into the future.”
Jonathan Ornstein, Mesa’s Chairman and Chief Executive Officer, said:
Today’s announcement is an exciting next step in Mesa’s more than 40-year history, one that represents the best outcome for our shareholders, employees, and all of our stakeholders. By bringing the best of our organizations together, we will create a regional carrier that continues to connect communities across America while providing advancement opportunities to our employees.”
Anthony’s Take: I don’t remember flying Mesa Air in the recent past, but I have had consistently good experiences with Republic Airways. This merger makes sense and will help both companies survive as a larger entity that can better navigate the shifting economy and ever-present rigors of the airline industry.
(Featured Image Credit: Republic Airways.)
User Generated Content Disclosure: The Bulkhead Seat encourages constructive discussions, comments, and questions. Responses are not provided by or commissioned by any bank advertisers. These responses have not been reviewed, approved, or endorsed by the bank advertiser. It is not the responsibility of the bank advertiser to respond to comments.
Advertiser & Editorial Disclosure: The Bulkhead Seat earns an affiliate commission for anyone approved through the links above This compensation may impact how and where links appear on this site. We work to provide the best publicly available offers to our readers. We frequently update them, but this site does not include all available offers. Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed, or approved by any of these entities.