The 350 pilots and other employees of St. Louis-based Trans States Airlines have been on the edge of their seats following announcements last year, such as the cancellation of the company’s order for 50 Mitsubishi regional jets because of scope-clause concerns, or that sister company Compass Airlines last year lost a major contract for flying with Delta Airlines. However, they were probably not prepared for Monday’s employee letter from Trans States Holding CEO Rick Leach. In that document, from February 24, obtained by Flying, Leach announced that Trans States Airlines flying “…will be concluded by the end of 2020.” Trans States Holding also operates Compass and GoJet Airlines.
Trans States Airlines Will Shut Down By The End Of 2020
Key Takeaways:
- Trans States Airlines will cease all flying operations by the end of 2020 due to razor-thin profit margins and a critical inability to attract enough pilots, particularly captains.
- The airline's pilot shortage prevented it from fully utilizing its Embraer 145 fleet, contributing to unprofitability, and led to the cancellation of new-hire pilot classes.
- The Embraer 145 fleet is expected to be absorbed by ExpressJet Airlines, but the future for Trans States' 350 employees remains uncertain, with limited opportunities at sister company Compass Airlines.
- The Air Line Pilots Association (ALPA) is actively working to mitigate the impact on pilots, discussing protections and potential incentives for those who may transition to ExpressJet.
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