At Traverse City, Michigan, in 1975 to offer scheduled intrastate passenger and cargo services. Daily Beech 99 frequencies are duly inaugurated, linking the commuter’s base with Pontiac, Detroit, Lansing, Marquette, and Hancock. Operations cease in July 1976.
AIR MEUSE (BELGIAN REGIONAL AIRLINE, S. A.): Belgium (1992-1995). Air Meuse is set up at the National Airport in early 1992 as the operational component of the Sabena (Belgian World Airlines, S. A.) subsidiary DAT Wallonie. Employing a British Aerospace BAe 146-200, Managing Director Michel Houtart’s carrier commences regional services from Brussels in the spring. Later in the year, an Em-braer EMB-120 Brasilia is placed into service.
Operations continue apace in 1993-1994, but cease in 1995.
AIR MIAMI: United States (1978-1982). AM is originally formed in 1978 as a south Florida-based charter operator, flying extensively throughout the southeastern U. S., the Caribbean, Bahamas, and Mexico. The initial fleet comprises 1 de Havilland DH 114 Heron 2 and 3 Cessna 402s.
In March 1980, the carrier elects to begin scheduled CASA C-212 service to Ft. Myers; during the summer, the route is stretched to Tampa/St. Petersburg and Titusville. In July, the third-level company is tapped to replace Air Florida on the expanding airline’s Miami to Marathon route.
The arrangement proves so successful that, in October, Air Miami becomes the first member of the new Air Florida Commuter system. Flights to Palm Beach from Miami begin in December with a second Spanish turboprop purchased in late fall. Enplanements rise to 10,588 for the first complete year.
Airline employment at President Fred deWitt’s commuter totals 76 in 1981 and his fleet now consists of 2 DC-3s, 2 CASA C-212-200 and 1 C-212-100 Aviocars, and 3 Cessna 402s. In April, services are initiated from Miami and Palm Beach to Naples, Freeport, and Ft. Lauderdale.
In addition to an increase in its Miami (MIA) accommodations, the carrier initiates increased frequencies over its routes and watches as passenger boardings skyrocket 811% to 96,468.
In December, Air Miami breaks with Air Florida; the carrier is reformed and renamed North American Airlines (2). The workforce is increased a spectacular 114.3% to 105. Revenues exceed $3 million and captured expenses allow a $4,853 operating profit.
AIR MICHIGAN: United States (1969-1972). Dr. Curtis Benson establishes Air Michigan at Kalamazoo during the early summer of 1969 to provide intrastate scheduled passenger and cargo services. The fleet consists of 1 Cessna 310, 1 de Havilland Canada DHC-6-200 Twin Otter, and 1 Beech 99, the livery of the latter featuring a map of the state on the forward fuselage. Benson’s airline inaugurates daily roundtrips in July. Destinations visited include Benton Harbor, Detroit, Grand Rapids, and Lansing.
Largely unheralded operations continue apace over the next three years until the company fails in January 1972. The company is remembered today primarily for its policy of hiring only the shortest flight attendants for its Beech 99.
AIR MICRONESIA: United States (1967-1993). As the result of the bankruptcy of the supplemental carrier Transocean Air Lines (TAL), the U. S. government is forced to find some other concern to serve as its designated air carrier and to provide air transport in the Marshall, Caroline, and Mariana Islands. Part of the island chain known as Micronesia, these islands are supervised by the U. S. as part of the UN’s Trust Territory of the Pacific Islands.
In the spring of 1967, the Interior Department reviews bids and chooses to offer its contract to a new firm, Air Micronesia, which is a partnership between Aloha Airlines (20%), Continental Airlines (31%), and the United Micronesia Development Association (UMDA) (48%). Former Western Air Lines official Dominic P. Renda is appointed president and, with private and FAA officials aboard, a Continental Airlines aircraft, flown by that company’s chief pilot M. P. “Barney” Barnwell, undertakes survey flights around the islands between December 11-22.
The UMDA will eventually come to control 60% of “Air Mike,” as the airline is sometimes known, but the carrier itself will remain, essentially, a shell with a profit-sharing arrangement with the major, its operator. Within Continental Airlines, the operation is considered primarily as a division, Continental Air Micronesia, based at Honolulu.
Amphibian services between Truk and Ponape are provided by Grumman SA-16 Albatrosses, leased from Pan American World Airways (1), while Continental Airlines provides a surplus Douglas DC-6B, nicknamed Granny Goose, to service the route network formerly covered by Trust Territory Air Service. These Micronesian destinations include Guam, Truk, Majuro, Saipan, and Yap. Continental also provides a Boeing 727-24C, given a special Teflon underbelly coating to protect it against coral runways and christened Ju Ju, and the technical support for it.
On behalf of the company, the Ju Ju initiates the 4,300-mile service from Saipan to Honolulu via seven different islands on May 16, 1968. To aid its operation, Air Mike turns on the first single sideband radio network in the island chain in July and, later in the year, flights begin to Okinawa. A total of 45,772 passengers are carried by December 31, along with a cargo load of 3 million FTKs. The on-time performance is 83% and 96.7% of all flights are completed.
The Ju Ju begins stopping at Johnson Island, between Majuro and Honolulu, on behalf of the U. S. military, on June 18, 1969. During the summer in response to a pledge made by Continental President Robert F. Six, construction begins on six hotels, one in each Trust Territory district. On December 4, a brief service is inaugurated from Majuro to newly independent Nauru to the south.
Enplanements for the year are 84,520.
With the island’s new airport completed, Ponape, on February 9, 1970, becomes the next Micronesian stop for the Boeing transport. The Albatrosses are returned. In July, the CAB recommends that Continental Airlines (which has lost $3 million on the service since its start-up) be stripped of its authority and that it be given over to Pan American World Airways (1). This proposal is opposed by Micronesian officials.
During the year, passenger boardings jump 8.6% to 92,473.
In January 1971, Air Micronesia halts service to Majuro when the U. S. military begins employing the island as a storage facility for chemical warfare agents. As a result of a CAB ruling in the Pacific Islands Local Service case, Air Micronesia, on August 11, is granted permanent authority and is awarded routes to American Samoa and its first foreign destination, Nauru. President Nixon approves Air Micronesia’s permanent certificate on October 5. The route to Okinawa is limited to five years’ duration.
When Okinawa is returned to Japan in 1972, that island becomes the carrier’s second foreign stop. On December 15, a second B-727-24C, the Nu Ju, is acquired, allowing jetliner service to Yap and Palau. The DC-6B and two SA-16s are retired in early 1973 and the largest Continental Hotel is opened on Saipan on March 15, 1974.
Operations continue apace in 1975 and, a year later, in 1976, the Northern Marianas (Saipan and surrounding islands) vote to leave the Trust Territory and become a U. S. Commonwealth. On May 10, the CAB recommends to President Gerald Ford (who agrees on August 28) that Air Micronesia be allowed to commence flights from Saipan to Japan.
On March 1, 1977, the Ju Ju is sold to Air Micronesia by Continental Airlines, which immediately leases it back to employ as a flight support tool. Air Micronesia now provides personnel, equipment, facilities and ground operations services to Continental Airlines, which reimburses AM for all operating costs except corporate fiscal expenses. Fiscally, the arrangement with United Micronesia Development Association also changes. UMDA shareholding increases to 60% and Continental is now a 30% owner; Aloha interest shrinks to 10%. Donald L. Beck is now president.
Service from Saipan’s new airport as well as Tokyo begins on October 1. Airline employment in 1978 totals 267 and the Commonwealth of the Northern Marianas is officially established. The Nation of the Federated States of Micronesia is set up in 1979.
Belau’s constitution is approved and the Saipan Continental Hotel is sold in 1980.
Flight 614, a B-727-92C with 6 crew and 67 passengers, is destroyed as the result of landing short of the runway at Yap on November 21; the aircraft skids out of control and slides off the runway into the jungle some 1,700 ft. beyond the runway and catches fire; all aboard are safely evacuated.
In 1981-1982 , service is restarted to Johnson Island and new revenue operations begin, including a daily flight from Guam to Nagoya via Saipan. The Philippines is also opened by the carrier with two routes from Guam—to Manila and to Manila via Koror. Two more B-727-24Cs are introduced by the end of 1983, allowing an increase in regional frequencies. Enplanements for the year total 161,000.
In 1984, Continental makes an attempt to take over controlling interest of the United Micronesian Development Association, 60% owner of Air Micronesia. As the four B-727-24Cs operated under “Air Mike” colors continue to service their routes, negotiations with the Pacific islands involved continue. Simultaneously, the mainland major combines its south and mid-Pacific operations under George Warde’s Continental Air Micronesia division, based in Honolulu. The U. S. trusteeship for the Federated States of Micronesia formally ends in 1986.
Two new DC-10-30s are now placed on the transpacific run, but are replaced in 1987 with 1 more Boeing trimotor, bringing the fleet to 2 B-727-224s, 2 Dash-24Cs, and 1 Dash-24. During the year, the Federated States become an independent nation. There is no change in service during 1988.
Although traffic figures remain unavailable, financial figures are released for the first time in 1989. Revenues for the year total $2.2 million and with costs down, the operating profit is $989,112 and net gain is $955,882.
In 1990, Continental Airlines entertains thoughts of selling this division, but does not, primarily because it continues to be profitable. Revenues increase 45.1% to $3.18 million, expenses (led by fuel prices in the fourth quarter) are up a staggering 92.1% to $2.32 million, and operating income slides to $867,114. Net profit falls to $669,646.
Now operating under Chapter XI bankruptcy, Continental Airlines decides to sell its Air Micronesia division in 1991. Revenues ascend 10.3% to $3.5 million and with costs under control, the carrier is still profitable. Operating income is $500,386 and net gain reaches $1.99 million.
Early in 1992, Continental Airlines reverses its sale decision and elects to hold onto the Guam-based operation. Senior Vice President Operations Donald Breeding is dispatched to serve as president/CEO. As part of the reorganization plan prepared for and accepted by Air Canada, Ltd. and Texas-based Air Partners I. P. in November, Continental Airlines reports that the Air Micronesia division will be spun off into separate company to operate the Micronesian business.
Although traffic figures are presented with those of the parent, Breeding allows, at year’s end, that revenues of $25.1 million have been earned. Additionally, the year has seen profits: $928,310 (operating) and $830,179 (net).
By the time Continental Airlines emerges from Chapter XI bankruptcy on April 27, 1993, Continental Micronesia is operational.
AIR MID-AMERICA: United States (1969-1970). Established at Chicago’s Meigs Field in the spring of 1969, Air Mid-America undertakes scheduled Douglas DC-3 roundtrips daily to East St. Louis via Springfield. Services last just over a year.
AIR MID-EAST: United States (1968-1971). The charter operator Air Mid-East is established at New York (JFK) in 1968 to operate passenger and freight flights throughout the Middle East. Revenue operations commence with a single Lockheed L-1049H Super Constellation.
By 1970, the carrier is operating a fleet that includes 8 Super Constellations, as well as 4 DC-6s and 6 DC-7s. Severe financial difficulties and Mideast energy developments cause the company to shut down in 1971.
AIR MIDWAY: Rte. 1, Box. 120-B, Municipal Airport, Kearney, Nebraska 688447; United States; Phone (308-237-2111); Year Founded 1992. Air Midway is established by Clyde Mikelson at the Kearney Municipal Airport in Nebraska in 1992. Five employees are hired and charter operations commence and continue with 5 Cessna 185s and 1 Piper PA-23 Aztec. A flight school and FBO is also operated.
AIR MIDWEST: P. O. Box 7724, Wichita, Kansas 67277, United States; Phone (316) 942-8137; Fax (316) 945-0947; Http://www. mesa-air. com/amw. htm; Code ZV; Year Founded 1969. Having replaced services by both Central Airlines and Frontier Airlines (1) over the past three years and obtained a number of lucrative airmail contracts from the U. S. government, Aviation Services, Inc., Gary M. Anderson’s airline/FBO, based at Wichita, Kansas, attracts additional investment.
It is reformed on May 15, 1969 and renamed Air Midwest. The first of two Beech 99As ordered the previous fall join the fleet late in the year as do the first stewardesses. The company now owns 9 aircraft and employs 53 workers. Although a total of 16,600 passengers are flown on the year, the company suffers a loss of $139,000 on revenues of $471,000.
Operations continue apace during the first four years of the new decade. In 1970-1973, Garden City, Pueblo, and Colorado Springs join the route network. As part of a two-year CAB experiment, Air Midwest, beginning on August 1 of the latter year, becomes the first American carrier to receive a flow-through federal subsidy; under this arrangement, payments are made to Frontier Airlines (1), which funnels them back to Adamson. This subsidy concept is challenged in court early in 1974 by representatives of the motor coach industry.
Enplanements for the year are 44,935.
Airline employment in 1975 is 80; the “flow through” subsidy practice is ruled illegal by the courts in June 1975. Elements of the program will, however, be employed in the Essential Air Service (EAS) subsidy program of the Airline Deregulation Act. Air Midwest now applies for full CAB certification as a replacement feeder for Frontier Airlines (1) in eight more Kansas and Colorado communities.
The regulatory body announces in the fall that Adamson may provide “regional feeder” services with small aircraft, thus making Air Midwest the first commuter airline in the U. S. to be specifically certified as a third-level, or regional, airline. At this time, it is only the second airline (after Ozark Airlines in 1949) certified as a regional air carrier.
Beech 99 flights commence from Kansas City to Denver. Customer bookings decline 4.5% to 43,000, but still, as a result of the federal help, the company is able to earn its first net profit: $131,854.
Only nine more employees are hired in 1976. Having sold its 2 Beech 99As, the company acquires 4 new Swearingen Metro IIs and places them into service on the former Frontier Airlines (1) route from Denver to Kansas City.
Passenger boardings decline 28.6% to 30,423 and freight is off 41.6% to 8,302 FTKs. Company officials optimistically plan a better next year.
Air Midwest’s Metros in 1977 account for enplanements totaling 75,276. Revenues reach $4.17 million and expenses are $4.06 million, leaving a $120,000 profit.
In 1978 the Airline Deregulation Act becomes law and the company’s the workforce totals 171. The company begins to replace Texas International Airlines on several of its New Mexico routes late in the year and the carrier undertakes Essential Air Service (EAS) routes in Kansas.
Bookings accelerate 12% to 84,501 and freight grows by 23.1% to 799,092 pounds. Operating income rises 27% to $5.3 million and costs climb 25% to $5.07 million, leaving $230,000 to bank.
The workforce is increased by 35.7% in 1979 to 232. The fleet is now doubled to 10 Metroliners. These are employed to begin new routes to the Oklahoma and New Mexico communities of Carlsbad, Clovis, Albuquerque, Enid, Ponca City, Oklahoma City, Tulsa, Hobbs, Roswell, and Lubbock. In July, the route network totals 19 destinations.
During the year, Michael J. Scheidt is recruited as a pilot; he will become senior vice president/chief operating officer a decade later.
Passenger boardings jump 47% to 124,281. Costs, led by fuel prices, balloon 54% to $7.8 million while revenues earned are up only 46% to $7.2 million. Still, when the year’s ledgers are closed, a $530,517 net gain is found.
The employee population jumps 62.8% in 1980 to 350. New frequencies are extended to Kansas City, Springfield, and St. Louis, plus seven other communities in Texas, Oklahoma, New Mexico, Nebraska and lowa. Seven more Metro IIs join the fleet, and with 15, the company now owns more of this type than any other airline in the world.
Orders are placed for five SAAB-Fairchild SF340s.
Enplanements skyrocket 85.1% to 230,091 and freight traffic rises 78.4% to 239,000 FTKs. An operating loss, $131,690, is accepted as expenses climb 102.8% to $15.77 million on revenues of $15.75 million, themselves up 102.6%. Still, a net profit of $86,767 is generated.
Ten new employees are hired in 1981 and the fleet grows to include 16 Swearingen Metro IIs, with 5 SAAB-Fairchild SF340s on order. The airline becomes a public corporation, registering with the Securities & Exchange Commission and receives permission to sell its stock beyond the borders of Kansas. Service is discontinued to Des Moines and Omaha, but extended to Liberal, Kansas, and Farmington, New Mexico. Other schedules are adjusted, with some increased and others decreased.
Passenger boardings continue to rocket upward, climbing 24.4% (largely prior to the PATCO air traffic controllers’ strike) to 283,874, with freight climbing another 15% to 401,000 FTKs. An even financial larger loss is, however, suffered. On revenues of $22.5 million, a 43.9% boost, expenses are up 34.6% to $21.23 million, leaving an operating gain of $1.28 million. Expenses incurred during the third and fourth quarters cause a 232.8% increase in net red ink to $436,000.
In 1982, the payroll is increased again, by 13.6% to 410 and the company now operates the largest fleet of civil Metroliners (15) in the world. Orders are placed for 5 SAAB-Fairchild SF340s. Air Midwest again expands its route system, including Joplin, Missouri, and Grand Island, Nebraska.
Enplanements climb 9% to 309,390, but cargo plunges 20.5% to 290,000 pounds.
The financial picture brightens considerably. Operating income advances 21.3% to $27.17 million and expenses are kept at $23.78 million, an 11.9% increase. The operating profit is $3.39 million and a net profit of $1,974,900 is banked. The first cash dividend in company history is paid to stockholders as shares are split on a two-for-one basis.
Airline employment rises further in 1983, climbing 14.3% to 488. In January, the company receives the 1982 “Regional Airline of the Year Award” from Air Transport World magazine.
Flights to Arizona destinations are opened. Preparations are made for the introduction of the new SAAB-Fairchild turboprops in the following year.
Bookings advance to 388,530 and cargo climbs to 1.91-million pounds. Revenues climb 22.5% to $33.3 million, costs rise an equal percentage to $29.06 million, and a $4.23-million operation profit is generated. A net profit of $1,814,700 is announced.
The payroll grows 22.5% in 1984 to 600 and the fleet includes 22 Metro IIs and 4 Metro IIAs, while orders remain outstanding for 5 SF340s and 5 Embraer EMB-120 Brasilias. Flights begin from Johnson County Industrial Airport, south of Kansas City, on February 1 to Wichita, St. Louis, and Des Moines. In October, service is kicked off from Bi-State Parks Airport at St. Louis to Chicago (MDW), from Sioux City to Minneapolis (MSP), and from Sioux City to Omaha.
In addition to the route expansion, Anderson’s firm adds its first 2 SAAB-Fairchild SF340s to its fleet and, late in the year, papers are signed for the acquisition of Fayetteville, Arkansas-based regional carrier Scheduled Skyways. The nation’s leading regional now visits 51 cities with a fleet of 42 aircraft. During the year, it operates 1,500 scheduled departures.
Enplanements swell by 22.4% to 475,586 and freight rises 6.1% to 2.08 million pounds. Revenues jump 18.7% to $39.52 million and costs are held to $34.19 million, a 17.7% boost. The operating profit swells to $5.33 million while a record $4.23-million net gain is celebrated.
The purchase of Scheduled Skyways is completed with stockholder ratification on January 17, 1985, largely in anticipation of a feed agreement with Republic Airlines at Memphis. Growth continues as the former Scheduled Skyways begins flying as a wholly owned subsidiary, Air Midwest Skyways. Work is soon afoot, however, to end this autonomous status and have the former independent merged completely into its parent.
An unsuccessful effort is made to take over Air Illinois and in the spring, the carrier loses out on the bidding to feed Republic Airlines’ Memphis hub. The third airline to take delivery of the SAAB-Fairchild SF340, the Wichita-based commuter places the first 2 of 5 ordered Swedish-made turboprops into service on April 1 and 15, respectively.
On May 1, interline partner Eastern Air Lines supports an increase of AM daily departures at Kansas City from 60 to 70 per day, including 5 additional shuttle flights to St. Louis bringing the daily total to 14. The company’s twentieth anniversary is celebrated on May 15 and, as a result of losing the Memphis arrangement, growth targets are shifted from west Tennessee to St. Louis and Kansas City.
Integration of Scheduled Skyways is completed on June 3 and the former Arkansas-based commuter is integrated into its new parent by June 25. The amalgamated network now allows service to 57 communities in 15 south and central states. The fleet now includes 2 SF-340s, 38 Metros, and 2 Nord 262s.
In a major change of policy, officials of the Kansas independent announce on July 1 that the company will become an Ozark Airlines commuter partner, serving the national’s St. Louis hub as “Ozark Midwest Express” beginning on October 1. Between June and August, three more SAAB SF340s arrive.
In August, Air Midwest also becomes the fourth American Eagle partner, with plans to inaugurate flights from American Airlines’ new Nashville hub in the next the spring. The first of five ordered Embraer EMB-120 Brasilias is delivered in September and it is almost unnoticed, but the Essential Air Service contract for certain New Mexican routes is lost to Mesa Air.
However, a third code-sharing agreement is reached with Eastern Air Lines whereby the large regional begins to serve on November 1 as “Eastern Midwest Express” from the major’s Kansas City hub to 15 outlying communities. Also in November, a public stock offering brings in $11.4 million with shares of common stock selling at $10.25 apiece.
Although passenger boardings jump 8.6% to 761,083, the surge cannot overcome the adverse impact of unusually heavy training requirements for newly integrated personnel plus aircraft repairs and bad weather in November-December.
Revenues are up 1.7% to $59.49 million, but costs ascend 15.9% to $62.73 million and cause rare losses of $3.23 million (operating) and $3.67 million (net).
In February 1986, service is suspended on numerous unprofitable routes, particularly all of those in New Mexico formerly operated under the EAS contract, plus Springdale, Arkansas, and Amarillo, Texas. Following a $3.2-million first quarter loss, the fifth quarterly loss in a row, the board of directors authorizes the issuance of two million shares of preferred stock and changes in the company’s profit sharing plan, both measures designed to counter the declining situation.
In the spring, the large regional inaugurates two separate code-sharing arrangements. The company originates American Eagle flights from the major’s new hub at Nashville on April 15. Four newly purchased Em-braer EMB-120 Brasilias and 10 Fairchild-Swearingen Metro Ils are assigned to the new enterprise. Meanwhile, “Eastern Midwest Express” service is started to 15 cities on the spokes leading into the second major’s hub at Kansas City.
During the second and third quarters, the fleet grows to include 42 Metro Ils, two Metro IIAs, five SAAB SF340As, and four Brasilias. Most of the Metro Is acquired in the Scheduled Skyways acquisition are now sold or leased. With completion of the Ozark-TWA merger in November, the “Ozark Midwest Express” service centered on St. Louis becomes “TWExpress” in support of the surviving partner, Trans World Airlines (TWA).
Unhappily, the route reorganization that the major imposes upon its two local feeders requires Air Midwest to eliminate six Illinois and Missouri cities from its route while gaining only two, Cape Girardeau and Quincy. St. Louis bookings decline by 30% while, at the same time, Eastern Air Lines inaugurates jet service over the regional’s most profitable route, Kansas City to Wichita.
Customer bookings ascend 21.3% to 923,124 and revenues advance 15.7% to $68.78 million. Expenses rise 9.6% to $68.6 million and allow an operating profit of $178,000. The net loss, on the other hand, climbs a million dollars to $4.31 million.
A non-dual designator service is resumed to Downtown Airport in Kansas City in 1987. Flights are discontinued to a number of EAS destinations in Tennessee and Arkansas. Costs involved in taking over the smaller companies together with less-than-anticipated returns from the code-sharing agreements bring total losses since 1985 to $9 million.
In June, a large number of employees are laid off, a wage giveback program is implemented, and six of its Brazilia delivery positions are sold. The same month, the Metro fleet is voluntarily grounded when the FAA requires the company to begin the immediate repair of previously allowed nonstructural skin cracks.
It will require three months for all units to be properly handled and the repairs documented. In October, Atlantic Southeast Airlines cofounder Robert Priddy acquires 6.5% interest (251,300 shares) and, in November, is elected to the board of directors and asked to prepare a plan for the carrier’s resurgence.
On December 31, the assets of the carrier’s American Eagle operation at Nashville are sold to AMR Corporation, parent of American Airlines, for $8 million. The transaction is not as profitable as it would appear; after paying off a $2-million loan to the major and the cost of the 11 Metros, which are also turned over, Air Midwest realizes only $3.3 million in cash and from that a mere $117,000 net profit.
On the year, passenger enplanements surpass the million mark in annual boardings for the first time (1,030,497) in an 11.6% increase. Cargo, on the other hand, declines by 9.3% to 1.94 million FTKs. Revenues swell 20.8% to $83.31 million, expenses jump 15.6% to $79.33 million, and the operating profit is up to $3.98 million. The year’s net loss “improves” to $1.21 million.
The workforce is reduced by 23.2% in 1988 to 988. On January 14, following three months of publicly submerged friction, the board dismisses founder Gary Adamson as president/CEO, replacing him with his antagonist, Robert Priddy, who is asked to implement his rescue plan. Adamson remains board chairman, but has no management role. Simultaneously, Cayman Islands-based Templeton, Galbraith & Hans-berger purchase 12.26% shareholding, becoming the airline’s single largest stockholder.
President Priddy initiates cost-cutting measures in April, led by a reduction in force of 735 of the carrier’s 1,050 employees. Simultaneously, it is decided to abandon the company’s multistop route structure in favor of a pure hub-and-spoke system. Now concentrating on feeding passengers to Trans World Airlines (TWA) at St. Louis and Eastern Air Lines at Kansas City, Priddy’s fleet comprises 10 Embraer EMB-120s, 7 SF340s, and 35 Fairchild-Swearingen Metros.
After eliminating most one-stop routes, the number of Brasilias is reduced to four. In June, sale and leaseback are negotiated for six Metro IIs and several spare engines. Traffic and income fall significantly when Eastern Air Lines closes its KC hub on August 31 and the affiliation, in effect since 1985, ends.
Nearly two weeks of boardings are lost until, on September 18, a new code-sharing arrangement is reached with Braniff, Inc. for “Braniff Express” service from the same city.
Customer bookings increase 17% to 874,000, but revenues decline 11.1% to $74.09 million. Expenses are down by 10.9% to $70.75 million and allow operating income of $3.46 million. The net loss is $1.38 million.
The workforce is reduced by 11.2% in 1989 to 836. Early in the year, an order is placed for 15 British Aerospace BAe Jetstream Super 31s. The carrier’s headquarters building is concurrently sold and leased back while flights commence from Kansas City to Peoria and Madison. Within a year of signing the code-sharing pact with Braniff, Inc., Air Midwest’s national partner is in bankruptcy and the Braniff feed arrangement ends on September 28.
“TWExpress” flights continue to St. Louis; however, the major takes Robert Priddy’s large regional to court over alleged third-party booking fees. By May, the company is serving 44 cities in 13 states with some 370 daily departures.
In July, the company’s board of directors rejects an $8-per-share takeover bid by Resort Airlines.
Despite these difficulties, passenger boardings still manage to grow by 4.4% to 912,032. Revenues recover to move up by 9.4% to $81.1 million. Although an operating profit of $1.2 million is posted, the net loss deepens to $2.39 million.
The number of employees is reduced by 4.3% in 1990 to 800. Nine EMB-120s are now on the line, along with 34 Metroliners and 7 SAAB 340As. Six additional Metros will be received during the year. Early in spring, Air Midwest settles its third-party booking dispute with Trans World Airlines (TWA) by paying the major almost one million dollars.
In July, daily nonstop “TWExpress” service begins from St. Louis to Birmingham, Alabama. During the fall, the Kansas City feeder operation, together with 8 Brasilias and the previous year’s order for 15 Jetstream 31s, is sold to Trans States Airlines (TSA) for $12 million. Simultaneously, given the departure of both Eastern Air Lines and Braniff, Inc., Priddy affiliates with USAir at the same town, flying as “USAir Express.”
Customer bookings decline by 12.6% during the 12 months to 797,456. Revenues ascend a slight 0.4% to $81.44 million, expenses decline 2.3% to $78.07 million, and operating income doubles to $3.36 million. A net profit of $3.98 million is generated.
The last EMB-120s are removed in 1991, together with 4 SAAB-340As and 20 Metros. Trans States Airlines takes over the Kansas City operation in early January and the code-sharing agreement with USAir takes effect on January 15, as “USAir Express” flights begin. The “TWExpress” operation at St. Louis is officially purchased by Trans States Airlines on January 31 for $12 million. Transferred or sold to TSA President Huldas Kanoida are 8 EMB-120s, 15 Jetstream 31s, plus associated spare parts, and options on 15 more Jetstreams. In addition, Trans States takes over maintenance and ground station equipment, plus fuel in the ground, at 19 cities, along with $7.4 million in long-term debt.
Following the successful conclusion of negotiations during the first quarter, the carrier is purchased for $27 million in stocks and cash by Mesa Holdings on July 12, becoming a subsidiary of Mesa Airlines. It continues to operate as a “USAir Express” carrier at Kansas City.
The company’s 15 Beech 1900s fly a total of 423,017 passengers during the troublesome 12 months, a decline of 47%. Revenue figures are now released as part of the new parent’s annual figures.
Larry Risley becomes president in 1992. The company continues its “USAir Express” affiliation and trades all of its fleet in for 14 Beech 1900Cs. Destinations visited include Cedar Rapids, Des Moines, Dodge City, Fayetteville, Garden City, Great Bend, Hays, Kansas City, Liberal, Lincoln, Little Rock, Manhattan, Omaha, Salina, Sioux City, Sioux Falls, Springfield, Topeka, and Wichita
The year’s enplanements total 371,943, a 26.6% boost.
Passenger boardings dip 1.4% in 1993 to 366,966. Airline employment stands at 290 in 1994 and the fleet comprises 13 leased Beech 1900Cs. Mesa Airlines becomes Mesa Air Group and Air Midwest becomes a division. Air Midwest’s independent operations are now suspended.
“USAir Express” service continues apace and passenger boardings inch up 1.1% to 370,899.
“USAir Express” flights from Kansas City continue with the same fleet during the first eight months of 1995. Beginning in August, the carrier accepts the first of 12 Beech 1900Ds, which will, over the next 18 months, replace the Model Cs.
Enplanements, however, fall again this year, dropping 3.3% to 358,600.
In July 1996, Congress eliminates $1.2 million in EAS payments to Mesa Air Group. As a result, the carrier is forced to halt “USAir Express” services to the Kansas cities of Dodge City, Great Bend, Garden City, and Hays served from Kansas City, plus a number of Mesa Air Group “United Express” communities visited from Denver. The last of the Beech 1900Cs are retired by the end of the year as all of the Model Ds are in service.
Customer bookings advance slightly, rising to 361,062.
On February 27, 1997, USAir is renamed USAirways and “USAir Express” becomes “USAirways Express.” Mesa Air Group is reorganized into four new divisions, which also include the marketing and customer service units of Air Midwest and WestAir Commuter Airlines. During the year, the regional will begin repainting its aircraft in a modified style of the major’s grey and dark blue livery.
Recognizing the higher costs of operating at the new Denver airport, Congress, under the leadership of U. S. Senator Pat Roberts (R.-Kansas), restores—and increases—the lost EAS monies on July 1 for the next fiscal year, in the amount of $2,797,280. Consequently, twice-daily “US-Airways Express” roundtrip Beech 1900D flights are resumed on October 1 from Hays to Kansas City via Great Bend and from Garden City to Kansas City via Dodge City. Additionally, Mesa Air Group “United Express” resumes twice-daily Beech 1900D roundtrips from Great Bend to Denver via Dodge City and twice-daily roundtrips from Hays to Denver, plus thrice-daily roundtrips from Liberal to Denver via Garden City.
Passenger boardings climb 13.6% to 410,296.
Information concerning activities in 1998 into 1999 is largely reported with Mesa Air Group and USAirways Express (Mesa Air Group). During these years, Archie “Dick” Paquette is in charge and the fleet comprises 12 Beech 1900Ds. Enplanements during 1998 reach 505,000, a 23% increase.
The Mesa Airlines, Air Midwest, and CCAir divisions of Mesa Air Group all complete 100% of their flights on May 2 of the latter year. To celebrate this achievement, Mesa President/CEO Jonathan Ornstein, on May 6, hosts a company-wide pizza party for all 3,800 employees in every unit spread over 100 locations.
Customer bookings surge 32% to 666,000.
The workforce at the start of 2000 stands at 750, a huge 150% over the previous 12 months. President Dick Paquette retires in January and is succeeded by Greg Stephens.
AIR MIKE EXPRESS: P. O. Box 8778, Tamuning, 96911, Guam, United States; Code CO; Year Founded 1990. Air Mike Express is established on Guam in early 1990 to offer scheduled passenger and cargo services to Rota and Saipan. The company is a joint venture between Continental Airlines and Air Micronesia. The initial fleet, which employs Continental’s lATA code, comprises two Fokker F.27s. Operations continue without change, although one Friendship is reported out of service in 1993-1994.
Even as Air Micronesia becomes Continental Micronesia, services to points on Guam, Rota, and Saipan continue.
AIR MIKISEW, INC.: Rte. 1, Box. 2, Compartment 2, Fort Mc-Murray, Alberta T9H 5B5, Canada; Phone (780) 743-8218; Fax (780) 743-8225; http:// members. home. net/air-mikisew; Year Founded 1990. Air Mikisew is established as an FBO and charter operation at Fort McMurray in 1990. Over the next decade, the company provides ground support for various fleets and charter flights to bush locations throughout Alberta and Western Saskatchewan. Aeromedical services are also provided, as is the charter of aircraft to certified parties. The fleet employed is the usual mix of Cessna 185s and 207As, plus de Havilland Canada DHC-2 Beavers.
In mid-decade, Air Mikisew begins a scheduled passenger and freight service between Fort McMurray and Fort Chipewyan employing two Piper PA-31-350 Navajo Chieftains, one based at each location. As the millennium approaches, the fleet is enhanced by the addition of a Beech 99 and a British Aerospace BAe Jetstream 31.
AIR MISSOURI: United States (1976-1978). Kirksville-based Horizon Airways, Inc. (founded in 1969) is reformed in April 1976 and renamed. Cessna 207 routes formerly operated to Quincy, Illinois, via Kansas City and St. Louis are maintained and, in 1977, new Spencer-Pocahontas-Des Moines services are inaugurated.
Operations cease in 1978.
AIR MOLDOVA, S. A.: Chisinau Airport, Chisinau, MD 2026, Moldova; Phone 373 (2) 525 162; Fax 373 (2) 524 040; Http://www. aeolos. com/moldova. htm; Code 9U; Year Founded 1992. Air
Moldova is set up at Chisinau Airport in 1992 to provide scheduled and charter passenger and cargo services throughout the new republic (which borders on Romania) and the Russian Federation. Peter A. Chebak is appointed president with Shtefan Fulga as general director. A fleet is assembled comprising 7 Tupolev Tu-154s, 12 Tu-134s, 10-plus Antonov An-24s/-26s, 1 An-74, and 1 An-82.
Significant support is acquired, under contract, from Aeroflot Russian International Airlines (ARIA) and revenue flights are inaugurated in May to Frankfurt. Additional destinations added during the remainder of the year and into 1993 include Bucharest, Donetsk, Ekaterinburg, Frankfurt, Chisinau, Krasnodar, Mineralnye Vody, Minsk, Moscow (Vnukovo), Murmansk, Samara, Sochi, St. Petersburg, Tbilisi, and Volgograd.
The fleet is altered in 1994 to include 1 An-74, 10 Tu-134As, and 4 Tu-154B-2s.
Frequencies are increased in 1995 along with the number of units in the fleet; added or returned to service are 1 Tu-154B-2, 7 An-24s, 4 An-26s, 2 An-32s, 1 Il-18, and 10 Tu-134As.
Flights continue in 1996. Although seven airlines fly into Chisinau Airport in 1997, Air Moldova and Air Moldova International account for 50% of passenger services. A strategic marketing agreement is entered into with Balkan Bulgarian Airlines late in the year.
Scheduled destinations visited in 1998-1999 include Athens, Bucharest, Istanbul, Larnaca, London (LGW), Moscow, Paris, Sofia, and Vienna. A total of 99,000 passengers are flown during 1998, with boardings sliding to 47,000 in 1999, due largely to the Kosovo crisis.
The media reports on June 29, 2000 that German investors have assumed a 49% minority stake. On October 6, orders are placed for 2 Em-braer ERJ-145s for delivery in May and June 2002; the small jets will be assigned to routes from Chisinau to Amman, Athens, Beirut, Frankfurt, Istanbul, Larnaca, and London (LGW).
World History
