Indianapolis-based Republic Airways Holdings, parent of Republic Airline, has emerged from Chapter 11 restructuring, effective April 30. Republic said it will be closely held by certain unsecured creditors as outlined in its court-approved plan of reorganization.

The company entered Chapter 11 in February 2016, saying it was the only way it could renegotiate contracts with major US airlines for which it operates regional flights. The renegotiations were necessary in part because of a “nationwide pilot shortage,” president and CEO Bryan Bedford said.

“Today starts a new chapter for Republic,” Bedford said. “We entered this restructuring process with specific objectives: To restructure Republic into an airline that produces consistent and outstanding operational reliability; to simplify our business model in order to drive financial and operational efficiencies; and to ensure Republic remained an employer of choice for its current and future aviation professionals … Our future success will be determined by how well Republic continues to deliver these competencies.”

The US Bankruptcy Court of the Southern District of New York approved Republic’s Plan of Reorganization April 20, clearing the way for Republic to emerge.

As of March 31, Republic operated a fleet of 170 Embraer E170/E175 dual-class aircraft and expects to expand its fleet by more than 10% by the end of the year with the delivery of 18 additional E-Jet aircraft.

“We have streamlined the airline around a single fleet of E-Jets and a single operating certificate. These operational simplifications, along with restructured commercial agreements with each of our core business partners, have positioned Republic to deliver on its mission,” Bedford said.

Linda Blachly Linda.blachly@penton.com