ExpressJet Files Chapter 11 Bankruptcy, Furloughs 1,300 Pilots

The airline has ceased operations after failing to turn a profit.

Wednesday, August 24, 2022 at 05:55 PM ET

Verified

The company rebranded itself as “Aha!” Based in Reno, Nevada, the airline started with only four airplanes, targeting the boom in leisure travel. [Courtesy: Aha! Airlines]

Key Takeaways:

ExpressJet Airlines, operating as Aha!, has filed for Chapter 11 bankruptcy, ceasing all flight operations and furloughing approximately 1,300 pilots.
The airline initially struggled after losing its United Express contract in 2020 due to the pandemic, and its 2021 relaunch as "Aha!" failed to achieve profitability.
Despite high operational performance, ExpressJet reported significant losses, citing factors like limited aircraft availability, poor regional infrastructure, low revenue, and high fuel costs as reasons for its inability to find a path to profitability.

See a mistake? Contact us.

Regional carrier ExpressJet Airlines, once among the fastest-growing airlines in the western U.S., announced Tuesday it has filed for Chapter 11 bankruptcy protection, planning to cease all flight operations and furlough approximately 1,300 pilots.

Despite reporting “exceptional operating performance for July 2022” earlier this month, the airline has done an about-face. In a statement, ExpressJet chairman and CEO Subodh Karnik said, “A combination of conditions led us to this decision,” in which, despite their best efforts, “termination of operations was in the best interest of our stakeholders.”