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Mesa Air Group files for bankruptcy, to cut fleet

Santosh Nadgir Reuters 01/05/2010 02:00
Mesa Air Group files for bankruptcy, to cut fleet - USA - Business - Mesa Air Group - bankruptcy - Aviation


Struggling U.S. regional airline operator Mesa Air Group Inc (MESA.O) said it filed for bankruptcy protection in a Manhattan court early Tuesday in a bid to cut its oversized fleet.



With a fleet size of 130, Mesa has about 52 planes parked and not being used, and it plans to retire 25 more aircraft that are not needed to service its customers, the company said in court papers.

Mesa needs to reduce the fleet to eliminate the significant costs associated with retaining, maintaining and storing excess aircraft, it said.

Mesa's Hawaiian inter-island low-cost airline joint venture, go!-Mokulele, is not part of the filing and will continue to operate its full flight schedule, it said.

The company, which employs about 3,400 people, said it will continue to operate as normal during the restructuring.


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