Transportation Industry
Company Watch - Delta Air Lines
AirGuide Business, May 5, 2008
Mesa Air, a Phoenix-based regional carrier, already in a financial tailspin, has sued Delta Air Lines after the mega-carrier said it plans to bail on a flying agreement the parties had. Mesa Air Group Inc. filed a lawsuit April 7 in federal court in Atlanta asking Judge Clarence Cooper to keep Delta from jettisoning the contract it had with Mesa subsidiary Freedom Airlines Inc. involving 36 aircraft. The case, which revolves around a code-sharing arrangement involving 50-seat aircraft, is set to be heard May 27-29. Delta, which declined comment citing pending litigation, wants to pull the contract because Freedom failed to complete a minimum number of flights -- or "completion rate" -- during three months of the six-month period September 2007 through February, a court document noted. May 2, 2008
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