CORRECTED-UPDATE 2-Republic Air files for bankruptcy protection, blames pilot shortage

Thu Feb 25, 2016 11:03pm EST
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(Corrects to show Republic Air is not the most recent U.S. airline bankruptcy since American Airlines in paragraph six)

By Tracy Rucinski

CHICAGO Feb 25 (Reuters) - Regional carrier Republic Airways Holdings Inc filed for Chapter 11 bankruptcy protection on Thursday, blaming several quarters of falling revenue after having to ground aircraft amid a pilot shortage.

The Indianapolis-based short-haul carrier, which feeds flights to American Airlines Group Inc, Delta Air Lines Inc and United Continental Holdings Inc brands, listed assets of $3.6 billion and $3.0 billion of liabilities, court documents showed.

Republic said the bankruptcy process would allow it to continue normal business while restructuring its finances and contracts.

"We worked hard to avoid this step," Republic Chairman Bryan Bedford said in a statement but added that the restructuring would "restore our airline and take it to new heights."

Republic offers approximately 1,000 daily flights to more than 100 cities in the United States, Canada, the Caribbean, and the Bahamas.

It is among of handful of regional airlines that have filed for bankruptcy since American Airlines filed in 2011.

United said in a statement on Thursday that it does not expect to change its flight schedules because of the bankruptcy. American said it is too early to assess an impact on scheduling, and Delta did not immediately return a request for comment.   Continued...