Republic Airways to shut down Lynx Aviation and furlough crews

by B. N. Sullivan

When Republic Airways acquired Frontier Airlines several months ago, Lynx Aviation -- Frontier's regional turboprop subsidiary -- was a part of the deal. Now Republic has decided to do away with Lynx, shed its fleet of 11 Bombardier Q400 aircraft, and eliminate about 175 jobs.

Republic announced that Lynx Aviation will cease operations by mid-September of this year. Plans call for most of the current Lynx routes to be served in the future by Republic Airlines E-170 and E-190 aircraft, flown by Republic pilots.

Furloughs will begin in April. The Denver Post reports that of Lynx Aviation's 120 pilots and 110 flight attendants, 40 in each group will be retained until September, when remaining Lynx employees will be furloughed. The Denver Post quoted a Republic spokesman who said that Lynx employees will be given the opportunity to continue with Republic or Frontier and will receive priority hiring. Those who don't stay on will be given severance.

Final flight for Midwest Airlines Boeing 717 aircraft and crews

by B. N. Sullivan

The arrival of a Midwest Airlines Boeing 717-200 aircraft at Milwaukee last evening, November 2, 2009, marked what Midwest employees are calling the end of an era. Midwest flight MEP210, from Boston's Logan International Airport to Milwaukee's General Mitchell International Airport was the final flight for the aircraft and its crew, and the final flight of Midwest Airlines as an independent entity. [Click here to listen to a podcast of an interview with Capt. Dan Norden, commander of the final Midwest flight, on 620 WTMJ's "Wisconsin's Morning News"]

Republic Airways Holdings announced plans to acquire Midwest in June of this year, and closed the deal the following month. Beginning today, November 3, Republic will operate all flights on Midwest's routes, using crews and aircraft from its other subsidiaries. Midwest's Boeing 717 aircraft are reportedly scheduled to be returned to the manufacturer, and the remaining Midwest pilots will no longer fly any Midwest aircraft.

Capt. Anthony Freitas, chairman of the Midwest Airlines group of the Air Line Pilots Association (ALPA), said in a statement:

"While there will still be airplanes flying with ‘Midwest’ written on them, there will no longer be any of the pilots who truly provided ‘The Best Care in the Air’ operating them. All of the original Midwest flight crews are being outsourced in the final phase of dismantling our airline.

"Midwest’s new owner hopes that if they keep the same paint scheme and cookies, no one will notice that the crews who helped build our airline’s well-deserved reputation for award-winning customer service are gone. Clearly, the replacement of highly experienced Midwest pilots with lower-cost labor will be devastating for our pilots and their families. But the traveling public will also be affected because they will lose the high experience levels and the extraordinary dedication to service that the real Midwest pilots have always taken great pride in providing."

Over the past year, more than 400 flight attendants also have lost their jobs due to outsourcing of flight attendant positions to another carrier, and the eventual sale of Midwest to Republic Holdings, according to the Association of Flight Attendants (AFA), which represents Midwest's flight attendants.

Toni Higgins, president of AFA's Midwest unit, points out that following yesterday's final Boeing 717 flight,Midwest Airlines "will exist in name only."

"Management has succeeded in creating a virtual airline that no longer employs Midwest flight attendants or pilots. Over 400 flight attendants, many of whom have dedicated over 20 years to our hometown airline, find themselves jobless, facing the uncertainty of what tomorrow will bring. However, management continues to benefit from destroying our once great airline under the protections of their golden parachutes," said Higgins.

Both ALPA and AFA are currently engaged in negotiations aimed at integrating the seniority lists of Midwest Airlines with those of Republic's other subsidiaries in the hope of restoring the jobs of as many Midwest crew members as possible.

AFA also has a pending grievance against Republic Airlines for violating the Midwest collective bargaining agreement. In this grievance, the flight attendants' union "is challenging Republic's right to replace Midwest flight attendants with Republic flight attendants and, in doing so, furlough Midwest flight attendants."

Republic Airways Holdings to be the new owner of Frontier Airlines

by B .N. Sullivan

The news broke just a little while ago: Republic Airways Holdings, Inc. has won in its bid to acquire Frontier Airlines, beating out competitor Southwest Airlines.

"I look forward to welcoming Frontier to our Republic family,” said Bryan Bedford, Chairman, President and CEO of Republic.

"Frontier has made impressive strides in returning to sustained profitability in a challenging and uncertain economic environment. We congratulate the employees of Frontier. Their commitment and perseverance during the bankruptcy process has allowed the Frontier brand to survive and thrive. Now, we have to turn our attention to the important work of integrating two great brands: Frontier and Midwest Airlines, which enjoy strong loyalty in Denver and Milwaukee.”

"We are pleased to have Republic as a plan sponsor,” said Sean Menke, Frontier President and Chief Executive Officer. "Today’s announcement is the beginning of a wonderful new chapter for this proud organization.”

According to a press statement issued by Southwest Airlines, a major stumbling block to their acquiring Frontier was the failure of the pilots' unions of the two carriers to resolve issues related to merging their seniority lists. The Southwest press release said, in part:

One of the contingencies in Southwest's proposal was that labor groups from the two airlines would need to reach an agreement on how the two Pilot Unions (SWAPA and FAPA) would work together. Despite a good faith and diligent effort by all involved, including the top leadership of the Southwest Airlines Pilots Association (SWAPA) and the Frontier Airlines Pilots Association (FAPA), who labored long into the night, the two unions were not able to come to an agreement before the auction deadline. As a result, Southwest’s bid was deemed unacceptable.

Southwest actually bid substantially more money for Frontier than Republic had offered, however the Southwest bid was contingent on settlement of the labor issues. In the end, Republic prevailed.

A Reuters article about the deal quoted John Stemmler, president of the Frontier Airlines Pilots' Association, who said, "It was a long process that's not quite over but I'm happy with the outcome. It happens to be aligned with keeping more jobs and we're very pleased with that."

Upon Frontier's emergence from bankruptcy, 100% of the stock will be purchased by Republic for $108.75 million.

Republic Airways to eliminate 500 jobs

Republic Airways Holdings -- the parent company of regional air carriers Chautauqua Airlines, Republic Airlines and Shuttle America -- announced late last week that it will reduce its work force by 10%, or about 500 employees. According to Republic Airways, the company currently employs approximately 5,000 people. The staff reductions will be implemented over the next several months.

“These reductions reflect our response to the actions our network partners are taking to reduce the size of their domestic hub operations in light of sustained, high fuel prices. The combined impacts of fewer aircraft flying and lower utilization rates on our smaller jet aircraft are leaving us with no choice but to adjust our business to current market conditions,” said Bryan Bedford, Chairman, president and CEO of Republic Airways. “We regret having to make this difficult decision and we will continue working hard to grow our business with larger capacity aircraft and get our people back to work as soon as possible.”

Republic's 227 regional jets operate under contract as American Connection, Continental Express, Delta Connection, United Express and US Airways Express flights. Earlier this month, United Airlines notified Republic that it plans to terminate its contract with Chautauqua at the end of next year. United also has a contract with Shuttle America.