Shuttle America (S5, Fort Wayne) will absorb Chautauqua Airlines (RP, Indianapolis Int'l) by year-end as part of parent firm Republic Holdings' move to reduce costs through a reduction of total Air Operator Certificates. Republic Holdings in also parent to Republic Airlines (YX, Indianapolis Int'l).

World Airline News reports CEO Bryan Bedford issued a short statement to Group employees indicating that Chautauqua's Embraer (EMB, São José dos Campos) fleet will be integrated into the Shuttle America operating certificate resulting in the carrier's closure. Chautauqua currently operates fourteen E140s for American Airlines (AA, Dallas/Fort Worth) and forty-four E145s for Delta Air Lines (DL, Atlanta Hartsfield Jackson). In any case, the airline's ERJ-140s are scheduled to be retired before the merger.

"I met with the leadership team and announced that by the end of the year the Company intends to consolidate the ERJ flying activity currently operated on the Chautauqua airline operating certificate onto our Shuttle America airline operating certificate," he said.

Bedford said the streamlining of its operations would allow for improved efficiency in the Group's training programs as well as spare parts and supply-chain management systems.

Chautauqua operates more than 700 scheduled passenger services a day to 98 airports in 31 states, Washington, D.C., and Canada through feeder services for American Airlines (AA, Dallas/Fort Worth) under the American Connection banner and Delta Air Lines (DL, Atlanta Hartsfield Jackson) under the Delta Connection banner.