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The airline currently has 16 CRJ-200 operating under its SkyWest Charter arm.
With potential regulatory headwinds on the horizon, SkyWest still has high hopes for its charter subsidiary. SkyWest Charter — or SWC — launched in 2023 with just two CRJ-200s.
Instead of the usual 50 seats on the aircraft type, the carrier configured SWC jets with just 30 in order to operate certain charter flights. Currently, the aircraft are largely used to operate on-demand charter flights for sports teams and corporations.
SkyWest planned to deploy these aircraft on public charter flights to small communities that saw reduced or cancelled service coming out of the COVID-19 pandemic. By operating these flights under the public charter regulation, the carrier can skirt around more stringent rules followed by Part 121 airlines.
This model is similar to those of JSX or Contour Airlines, of which SkyWest owns a 25% minority stake.
Last month, the Federal Aviation Administration (FAA) announced plans to close the so-called “loophole” that allows these flights to operate. “If a company is effectively operating as a scheduled airline, the FAA needs to determine whether those operations should follow the same stringent rules as scheduled airlines,” said FAA Administrator Mike Whitaker in a press release.
Despite this move, SkyWest executives told investors on Thursday that the company remains bullish on its charter business.
“We continue to be very optimistic about charter,” said the carrier’s CEO Chip Childs on a recent earnings call. “We’re very committed to seeing through the commute authority…We’ve taken it to court, we’re going to go down that route. We’re also going to continue to work with the government because there [are] obviously some things they want to change with 135 operations. We think we not only meet but massively exceed everything that they’re talking about from a safety perspective.”
Childs added that SkyWest will “be patient” on the commuter authority front while continuing to focus efforts toward on-demand charters.
Nearly two years after the company applied, SkyWest Charter’s application for commuter authority is still pending approval from the Department of Transportation (DOT).
In an October statement to AIN, the company said, “SkyWest Charter (SWC) believes that the operation of Part 380 flights under the current FAA classification is essential for small community air service, today and well into the future. The FAA’s ‘notice of intent’ to review its classification of such Part 380 flights clears the path for DOT to approve SWC’s application for a commuter air carrier authorization, consistent with existing law and SWC’s undisputed fitness, since the non-fitness issues will be addressed by the FAA allowing DOT to focus on fitness. Additionally, SWC already exceeds current safety requirements and will transition to any additional requirements that may be adopted by the FAA as part of the rulemaking process.”
Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.
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