United Airlines to Acquire 18 Bombardier CRJ700
Airlines Business / Finance

United Airlines to Acquire 18 Bombardier CRJ700

DALLAS – United Airlines (UA) signed a purchase agreement with Mesa Air Group, the parent company of Mesa Airlines (YV), for 18 Bombardier Canadair Regional Jet (CRJ) -700.

According to the filing with the US Securities and Exchange Commission (SEC), the deal was signed on September 27, for a value of approximately US$50m.

It was not specified when the regional airline will deliver the 18 regional jets to UA, but purchase prices could be reduced if the sale is not completed by the end of 2023.

The end of Air Wisconsin’s agreement may create a gap in regional capacity at UA. Photo: Miles Aronovitz/Airways

United Needs Regional Jets

This announcement comes after the decision of regional airline Air Wisconsin (ZW) to operate more flights for American Airlines (AA), ending its agreement with UA. This deal concerns up to 60 CRJs that were previously operated by United Express.

That means the major airline will very soon have a gap in its regional capacity. Moreover, regional carriers are facing trouble due to the pilot shortage, which means the airline needs to find replacements for these aircraft.

The CRJ700 should join United Express’ fleet in 2023 and will help the airline ramp up its regional capacity to feed its major American hubs.

Featured image: Mesa Airlines operate around 150 CRJ regional jets. Photo: Luke Ayers/Airways

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