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SkyWest to fly 12 jets for Delta

By Dave Anderton
Deseret Morning News
SkyWest Inc. on Tuesday said it has been selected by Delta Air Lines to fly 12 regional jets from Delta's hub in Cincinnati.
St. George-based SkyWest competed for the regional jet-flying rights, beating a bid by Delta's wholly owned subsidiary, Comair, which currently operates the 70-seat aircraft and is in bankruptcy.
Financial terms of the deal were not disclosed.
The deal increases the number of regional jet aircraft flown by SkyWest for Delta to 228, along with 24 turboprop aircraft.
Michael J. Kraupp, vice president of finance and assistant treasurer for SkyWest Inc., credits the win over Comair to SkyWest's better cost structure in operating the aircraft and the airline's ability to execute.
"The majors are looking for those that can be very competitive on this front," Kraupp said. "The execution risk is obviously very low and very good with SkyWest, because we're able to do what we say we'll do. Our bids are very solid, and we offer up costs that are very competitive."
Kraupp said SkyWest has not yet determined which of its subsidiaries — SkyWest Airlines, based in St. George, or ASA, based in Atlanta — will operate the 12 aircraft.
Scheduling and routes are yet to be determined, Kraupp said, but likely will be similar to Comair's existing routes.
Anthony L. Black, a spokesman with Delta, said SkyWest's bid was the most cost competitive and met the needs of Delta's regional network. He said Delta customers would not see any impact from the change.
SkyWest will begin operating the aircraft in February 2007.
"Comair is obviously disappointed by today's development," Comair spokeswoman Kate Marx told the Associated Press. "However, as long as we are unable to complete our restructuring, we face the very real risk of further reductions to our fleet."
The SkyWest announcement made Tuesday was the first of several Delta is expected to make. Delta announced in August it was seeking bids for flying opportunities for up to 143 of its regional jets. Black said the rest of the bids should be awarded by the end of the year.
Systemwide, SkyWest Inc. serves approximately 231 cities in the United States, Canada, Mexico and the Caribbean, with approximately 2,427 daily departures.