US Airways Express carrier Chautauqua Airlines is to be acquired by US investment firm Wexford Aviation, which plans to place some of its recently ordered Embraer RJ-135 and RJ-145 regional jets with the Indianapolis-based airline.
Greenwich, Connecticut-based Wexford has agreed to acquire 100% of privately held Chautauqua, which had 1997 sales of $72 million, says Wexford executive vice-president Ed Wegel. The airline operates 29 turboprops, 17 19-seat British Aerospace Jetstream 31s and 12 30-seat Saab 340As.
Subject to US Airways' approval, Wegel says that Wexford plans to introduce regional jets at Chautauqua. The company has 20 50-seat ERJ-145s on firm order, plus 20 options, and has signed a letter of intent for 20 37-seat ERJ-135s, with 20 options.
Swedish leasing company Solitair Kapital, in which Wexford acquired a controlling interest in 1997, will offer the ERJ-135s and ERJ-145s on operating leases worldwide, says Wegel. Wexford is to take equity stakes in airlines to which it leases aircraft, he says.
Source: Flight International
