Mesa announces measures to balance pilot supply

PHOENIX, July 2, 2024 (GLOBE NEWSWIRE) — Mesa Air Group, Inc. (NASDAQ: MESA) (“Mesa” or the “Company”) today announced the furlough of 12 pilots and the postponement of training for 41 pilot candidates, effective July 12, 2024. These actions are the result of significantly reduced turnover among Mesa’s active pilot workforce, which the Company currently expects to save approximately $750,000 per month in operating costs.

“Over the past two years, Mesa’s attrition has often exceeded 25 pilots per month due to the pilot shortage created by the FAA’s implementation of the ‘1,500-hour rule,'” said Jonathan Ornstein, Mesa’s chairman and CEO. “As a result, we have made significant efforts to hire more pilots, including through our Mesa Pilot Development (MPD) program. However, Mesa’s attrition has declined more than expected in recent months, due in part to the slowdown or cessation of hiring at most airlines. In addition, we believe the industry-wide pipeline will continue to improve as pilots who were previously denied the opportunity to fly commercially because they lacked 1,500 hours are finally beginning to achieve the required flight time.

“We deeply regret these actions, but expect that lower attrition and a more stable pilot base will allow us to increase our Embraer 175 block hours at United,” Ornstein continued. “Based on our current forecast, we expect to begin recalling pilots toward the end of the year. Once our pilot pool is recalibrated, we will also resume hiring pilot candidates based on the expected attrition rate.”

About Mesa Air Group, Inc.

Mesa Air Group, Inc., headquartered in Phoenix, Arizona, is the holding company for Mesa Airlines, a regional air carrier that provides scheduled service to 73 cities in 32 states, the District of Columbia, Cuba, and Mexico. As of June 30, 2024, Mesa operated a fleet of 73 aircraft with approximately 279 daily departures. The company employed approximately 2,000 people. Mesa operates all of its flights as United Express under the terms of a capacity purchase agreement with United Airlines, Inc.

Forward-looking statements

This press release contains information that constitutes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Words such as “anticipate,” “estimate,” “expect,” “project,” “plan,” “intend,” “believe,” “could,” “potential,” “will,” “should,” “may,” “likely” and similar expressions are used to identify forward-looking statements. These forward-looking statements are based on the Company’s current beliefs, assumptions and expectations regarding future events, which in turn are based on information currently available to the Company. By their nature, forward-looking statements deal with matters that are subject to risk and uncertainty. A variety of factors could cause actual events and results to differ materially from those expressed or anticipated in the forward-looking statements. For additional information on factors that could cause actual results to differ materially from those described in the forward-looking statements, see the Company’s filings with the SEC, including risk factors in the Company’s most recent Annual Report on Form 10-K and the Company’s other subsequent filings with the SEC. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent required by law.

The story goes on

Contact:
Mesa Air Group, Inc.
media
[email protected]

Investor Relations
[email protected]