Shuffles Planes To West Coast Network

Should we use the planes to help a competitor... or use them for ourselves? For now, at least, Horizon Air officials have chosen the latter... by ending their 12-year contract with Frontier Airlines.

Horizon, which has been operating nine CRJ-700 regional jets (RJs) as Frontier JetExpress since January 2004, will begin returning its 70-seat Bombardier CRJ700 jets to current and new routes throughout Horizon's West Coast network as the two airlines conclude the contract.

Wednesday's announcement follows Frontier's recent news that it is seeking to grow its RJ fleet from the current nine aircraft, to up to 20 RJs. As Aero-News reported, Frontier also agreed to purchase 10 Bombardier Q400 turboprops to use on some regional routes.

Representatives with Horizon say upon reviewing the subsequent request-for-proposal (RFP) issued by Frontier, Horizon concluded the investment in the additional aircraft needed to support Frontier JetExpress's expansion would compete for capital that could be invested in growing the Horizon Air/Alaska Airlines network -- and the nine aircraft assigned to JetExpress would be besty utilized to support Horizon's current network, and planned growth within its service territory.

"We've enjoyed a tremendous working relationship with Frontier, and we're very proud of the excellent operational performance and quality service that our people continue to deliver under the JetExpress banner," said Jeff Pinneo, Horizon president and CEO. "Through this program, we've demonstrated our ability to provide high-quality contract flying services for other airline partners. We regret that pressing needs for aircraft and capital on the home front prevent us from participating in their expansion plans, but we look forward to all that this move will allow us to do to improve service levels and reinforce our commitment to our traditional markets."

"Over the course of the past three years, Horizon has proven to be a partner of the highest quality, both operationally and culturally," said Jeff Potter, Frontier president and CEO. "While we are certainly disappointed that Horizon will not be participating in the bid process, we understand their need for organic growth under the Horizon Air banner."

In addition to the nine jets currently based in Denver, Horizon operates another 11 in its mainline fleet, as well as 20 Bombardier Q400 and 28 Q200 turboprops. Starting late this year, Horizon will begin taking delivery of 13 more Q400s from manufacturer Bombardier Aerospace; many of these 76-seat aircraft will replace the smaller 37-seat Q200s, 16 of which are being transitioned out of the fleet over the next two years.

FMI: www.horizonair.com, www.frontierairlines.com