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Republic to fly for American, buy up to $4B in aircraft

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American Airlines has signed a 12-year agreement for Republic Airways Holdings Inc. to operate 76-seat regional jets, the first such agreement in the AMR Corp. unit’s history.

Fifty-three Embraer SA E-175 jets operated by Indianapolis-based Republic will be phased into service at two to three planes a month beginning in mid-2013 through the first quarter of 2015, the airlines said Thursday.

Republic also said it agreed to purchase 47 new aircraft from Brazilian plane maker Embraer and lease a previously owned E-175. It also will acquire five E-175s from an unnamed third party. Embraer’s contract with Republic includes options for another 47 aircraft orders. If all 94 planes were delivered at list prices, the value of the contract could reach about $4 billion, Embraer said.

The accord is part of American’s efforts to diversify suppliers of commuter flights beyond its American Eagle unit and to add larger regional jets that are more economical to operate at higher fuel prices. American, based in Fort Worth, Texas, was exploring a spinoff of Eagle when it filed for bankruptcy in November 2011.

Eagle has been limited to operating 47 Bombardier CRJ-700 regional jets with 65 seats for American by the larger carrier’s contract with its pilots union. Concessions made as the labor agreement was renegotiated in bankruptcy allow for more of the bigger jets to be flown for American.

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  1. So much for Eric Holder's conversation about race. If white people have got something to say, they get sued over it. Bottom line: white people have un-freer speech than others as a consequence of the misnamed "Civil rights laws."

  2. I agree, having seen three shows, that I was less than wowed. Disappointing!!

  3. Start drilling, start fracking, and start using our own energy. Other states have enriched their citizens and nearly elminated unemployment by using these resources that are on private land. If you are against the 'low prices' of discount stores, the best way to allow shoppers more choice is to empower them with better earnings. NOT through manipulated gov mandated min wage hikes, but better jobs and higher competitive pay. This would be direct result of using our own energy resources, yet Obama knows that Americans who arent dependent of gov welfare are much less likely to vote Dem, so he looks for ways to ensure America's decline and keep its citizens dependent of gov.

  4. Say It Loud, I'm Black and Ashamed: It's too bad that with certain "black" entertainment events, it seems violence and thuggery follows and the collateral damage that it leaves behinds continues to be a strain on the city in terms of people getting hurt, killed or becoming victims of crimes and/or stretching city resources. I remember shopping in the Meadows area years ago until violence and crime ended make most of the business pack you and leave as did with Lafayette Square and Washington Square. Over the past 10 to 12 years, I remember going to the Indiana Black Expo Soul Picnic in Washington Park. Violence, gang fights and homicides ended that. My great grandmother still bears the scares on her leg from when she was trampled by a group of thugs running from gun fire from a rival gang. With hundreds of police offices downtown still multiple shootings, people getting shot downtown during Black Expo. A number of people getting shots or murdered at black clubs around the city like Club Six on the west side, The Industry downtown, Jamal Tinsley's shot out in front of the Conrad, multiple fights and shootings at the skating rinks, shootings at Circle Center Mall and shooting and robberies and car jackings at Lafayette Mall. Shootings and gang violence and the State Fair. I can go on and on and on. Now Broad Ripple. (Shaking head side to side) Say It Loud, I'm Black and I'm Ashamed.

  5. Ballard Administration. Too funny. This is the least fiscally responsive administration I have ever seen. One thing this article failed to mention, is that the Hoosier State line delivers rail cars to the Amtrak Beech Grove maintenance facility for refurbishment. That's an economic development issue. And the jobs there are high-paying. That alone is worth the City's investment.

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