PHOENIX — After 30 years of working together, American Airlines is ending its relationship with Phoenix-based Mesa Air Group.
Mesa announced Monday it would cease flying American flights on April 3, 2023. The company also said it was currently finalizing a new five-year deal with United Airlines and would move its operations from American to United starting in March.
Mesa’s business model has been to operate regional flights for United and American. At one point Mesa was able to do that very successfully and turned profits during the early days of the Covid-19 pandemic when most others in the commercial aviation industry posted quarterly losses. But Mesa has been hit very hard by the industry-wide pilot shortage, which has led to it not being able to operate all of its contracted flights with American.
Mesa’s “ongoing unprofitable operations” for American led to the two companies agreeing to a “consensual wind-down,” according to Mesa Air's press release.
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