Regional airlines Compass Trans States shutting down coronavirus

Regional carriers Compass and Trans States have become casualties of the Covid-19 crisis. 

Trans States is ceasing operations April 1, spokeswoman
Cartiay McCoy said. For Compass, the final day of operations will be April 7.
Both carriers are owned by parent company Trans States Holdings. Trans States
does all of its flying for United Express-branded aircraft. Compass flies under
the Delta Connections and American Eagle banners. 

Before the crisis, Trans States had already planned to cease
operations by the end of this year, a decision that resulted from a United plan
to stop using the carrier. McCoy said radical capacity reductions have left
Compass without the ability to fly minimally viable schedules. 

“Compass’ Delta
operation, which was scheduled to wind down later this year, will end on March
31,” she said. “American’s regional drawdown at LAX will eliminate all
of Compass’ remaining flying effective April 7.”

A proposed Senate
bill would provide U.S. passenger airlines with up to $50 billion in secured
loans to deal with the Covid-19 crisis. Carriers, though, have asked for $25
billion in grants to go along with $25 billion in loans. The Regional Airline
Association says more carriers will fail without government grants and
government-provided unsecured loans.

Source: Read Full Article