A United States Bankruptcy Court for the Southern District of New York has approved a comprehensive amendment of Republic Airways Holdings' Capacity Purchase Agreement (CPA) with United Airlines (UA, Chicago O'Hare).
Aside from substantial and interrelated operational and economic benefits, the revised terms provide for the uninterrupted flying of fifty-four E170 and E175 twinjets currently operated by Republic Airlines (Indianapolis International) and Shuttle America (Fort Wayne International) under the United Express banner.
It also extends the terms to all current EMB-170s and, subject to certain conditions, allows for further deliveries of EMB-175s under revised delivery schedules.
As previously reported, Republic has also agreed to settle a USD193 million unsecured pre-bankruptcy claim filed by United. The claims stem from reduced flying caused by Republic's pilot shortage and increased costs from the new agreement.
