Republic now owns Frontier and Midwest – Now What?

By | August 17, 2009
Frontier Airlines - Airbus on short final
Image via Wikipedia

The big question for the last few days has been that…Republic Airways now owns Frontier and Midwest, as well as its existing regional airlines. Now what?

Certainly reorganization. Republic intends to operate the two airlines under their own brand names, but will be consolidating jobs, airport gates, and real estate. This can produce real savings while making it appear as if the two companies are separate. That doesn’t mean there won’t be swaps between the two, however.

One hundred and sixty Midwest employees will be let go. The mechanics, ground crews, and customer service reps will be staying though. Republic doesn’t have any reservations functions, as they fly for other carriers. They need to keep those departments open. Some of them will be offered jobs with one of the other airlines owned by the holding corporation.

Our prediction is that the Airbus fleet will be maintained under the Frontier name, with some Midwest flights west to be operated by Frontier. Midwest will go to an Embraer 170 and 190 operation, with the flights operated by Republic, or some of the planes and pilots shifted around the organized to be operated by Midwest itself. Passengers will be funneled between the two airlines, making Denver to Milwaukee a trunk route for Republic.

But, we’ll wait and see. In the meantime, cookies for everyone.

Reblog this post [with Zemanta]