Atlantic Coast names low-fare airline

Eagle

New Member
Wednesday November 19, 5:06 PM EST

CHICAGO, Nov 19 (Reuters) - Regional air carrier Atlantic Coast Airlines Holdings Inc. (ACAI) on Wednesday unveiled "Independence Air" as the name for the new low-fare airline it plans to start in the first half of 2004 at Washington Dulles Airport.

Atlantic Coast in July announced plans to start a low-fare airline after failing to reach a deal with United Airlines (UALAQ) to continue regional jet service. Atlantic Coast has been fighting an unsolicited bid from Mesa Air Group Inc. (MESA) since October.

Independence Air will set an official start date when Atlantic Coast is freed from the contract to provide the flights to United, Atlantic Coast said. Cities, fares and flight schedules will be announced about 60 days before service begins, the carrier said.

United has been cutting cheaper deals with regional air carriers for its bankruptcy restructuring, and plans to start its own low-fare air carrier in 2004 that may eventually compete with Atlantic Coast in the Washington market.

Analysts have called Atlantic Coast's plan to launch a low-fare carrier risky. About 85 percent of its revenue comes from commuter flights for United, with some from regional flights for Delta Air Lines (DAL).

"We remain solidly convinced that by using the right aircraft sized for the right markets, Independence Air will take its place as the natural next step in the evolution of the highly successful low-fare airline model," Atlantic Coast Chief Executive Kerry Skeen said in a statement.

Atlantic Coast on Tuesday announced a tentative deal to acquire 25 Airbus (EADS) A319 and A320 airliners for the low-fare airline. It already has a fleet of regional jets.

Mesa on Wednesday said the jet order would not thwart its bid to acquire Atlantic Coast. Mesa told Atlantic Coast last week it believed such a commitment would be seen as an attempt to frustrate the interests of stockholders.

Mesa has a tentative deal with United to maintain Atlantic Coast's regional United Express service if Mesa succeeds in acquiring Atlantic Coast.
 

ERAU_Intern

New Member
Hey, as long as I get a call for an interview after my 13 weeks of non-paid interning, im happy. Maybe they will make it, maybe they wont. But to be honest, Independance Air will be up against some SERIOUS competition. When United and US Air get involved, they are gonna have their work cut out for them.
 

triple7

Well-Known Member
[ QUOTE ]
Hey, as long as I get a call for an interview after my 13 weeks of non-paid interning, im happy. Maybe they will make it, maybe they wont. But to be honest, Independance Air will be up against some SERIOUS competition. When United and US Air get involved, they are gonna have their work cut out for them.

[/ QUOTE ]

are you an intern at aca now?
 

cointyro

New Member
Lol....

I just went to their website and sent them e-mail (i-mail).

Subject line: Mesa will eat you alive
Body: Better fight them, or chomp chomp - ACA is now Mesa's newest subsidiary!

OK, maybe it's not that funny.
 
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