Transportation:Delta Gives Up Comair image

Delta Air Lines announced that beginning September 29th its Comair subsidiary will stop operations as the company plans to make cuts on low-margin regional flying.

Delta said it will reduce the number of 50-seat regional jets from 350 to 125 in the following years which won’t significantly affect the company’s network, which can manage a few changes.

It said the move “is an unfortunate necessity due to the economic limitations of our aging aircraft, cost structure, the long-term outlook for 50-seat aircraft, and our challenging industry and economy.”

As Comair accounts for only 1% of Delta’s network, the change won’t affect the company’s schedule or the customers. The Cincinnati based Comair has 290 fights a day to almost 60 cities in Canada and the US. The company, which currently has 1,700 aviation employees, was founded in 1977 and joined delta in 2000. On Friday, July 27th, Comair received a letter from Delta which said that the company has some of the oldest 50-seat aircraft with the highest unit cost per flight hour. Therefore Delta announced it will remove the 16 Comair 50-seaters, leaving Comair with only 28.

“This further reduction of Comair’s active fleet will only create higher unit costs, which equates to a business model that is no longer sustainable in this competitive regional environment,” the company said in a statement.