Republic Airways says fleet change to shave 2014 pre-tax income

Tue Feb 11, 2014 9:30am EST

Feb 11 (Reuters) - Republic Airways Holdings Inc, which provides regional flights under agreements with bigger airlines, on Tuesday said changes it is making to its fleet will hurt pre-tax income this year.

The company, which owns regional carriers Chautauqua Airlines and Republic Airlines, said it is no longer looking to keep 27 of 41 Embraer planes for which it had sought extensions.

Citing a "significant reduction" in pilots who meet U.S. experience rules, Republic added it expects to take the 27 planes out of service this year, a move that will reduce pre-tax income by between $18 million and $22 million.