United Airlines has cancelled Air Wisconsin's feeder contract, effectively ending the regional carrier's operations. United says it has awarded the capacity handled by Air Wisconsin to "a new group of regional carriers", as a result of a request for proposal (RFP) issued in November.
The RFP was sent to 10 carriers, including Air Wisconsin, to supply up to 70 50- and 70-seat regional jets to replace the United Express services then operated by the Appleton, Wisconsin-based carrier.
Part of this network has been awarded to GoJet Airlines and SkyWest Airlines. At the time, United said it was still negotiating with Air Wisconsin on theremaining services. Under the new contracts, GoJet and SkyWest will provide 30 Bombardier CRJ700s by the first quarter of 2006. The routes these two airlines will serve have not been disclosed.
It is unclear if the remainder of Air Wisconsin's United Express network will be retained by United, which has indicated that its regional network is under review. Last week United said it is still in talks with other carriers and may award additional flying and ground handling through RFPs.
The agreement to drop Air Wisconsin is subject to US bankruptcy court approval. A hearing is scheduled for 22 April. "This tentative agreement represents an important step toward reducing costs for a significant portion of our United Express flying and ground handling, while ensuring a safe, customer-friendly transition," says United Express and Ted vice- president Sean Donahue.
After losing its feeder contract with United Airlines, Air Wisconsin's future is dependent on an agreement with US Airways that could see the airline operate feeder services for the US major.
In a memorandum to employees obtained by Flight International's sister on-line publication ATI, Air Wisconsin chief executive Geoff Crowley says the carrier will transition aircraft over to US Airways over the next year.
KERRY EZARD/WASHINGTON DC
Source: Flight International
