Regional carrier Air Wisconsin is reportedly being sold to a Florida-based private aviation company.
The Appleton, Wisconsin-based Post-Crescent reported that Air Wisconsin has signed a letter of intent with Premier Shuttle Holdings, citing a statement to the newspaper from Air Wisconsin President and CEO Robert Binns.
“Premier would take over ownership and management of Air Wisconsin, and Air Wisconsin would continue to operate under its own name, albeit with Premier’s business plan,” Binns told the outlet.
Premier Shuttle Holdings is an affiliate of West Palm Beach-based Slate Aviation. Slate offers daily shared flights between New York, South Florida, and Nantucket.
In an internal message to employees, Binns called the pending sale an “exciting potential new chapter for Air Wisconsin, but also a shift from the commercial path we had previously set.”
No tentative purchase price has been disclosed.
The carrier did not immediately respond to a request for comment from AirlineGeeks.
Aircraft Sale In The Works
Air Wisconsin operated flights for American Airlines up until April, when American terminated its capacity purchase agreement over alleged poor performance. Air Wisconsin ended its scheduled service, slashed hundreds of jobs, and announced a new business strategy centered around charter operations and flights subsidized through the Essential Air Service program.
The airline won its first EAS contract last month. It will connect areas of West Virginia and Ohio served by Mid-Ohio Valley Regional Airport with Charlotte, North Carolina, starting Oct. 1.
It was not clear if the pending acquisition by Premier Shuttle Holdings would affect Air Wisconsin’s ability to fulfill that agreement.
Binns told The Post-Crescent that Air Wisconsin will sell an unspecified number of its Bombardier CRJ-200 aircraft to Premier Shuttle Holdings to help expand Slate’s operations. He also said that many current employees will keep their jobs through the ownership transition.
“Premier would keep operating Air Wisconsin as Air Wisconsin, though there are likely to be synergies between Air Wisconsin and Slate,” he said.
The deal also includes Premier Shuttle Holdings acquiring Air Wisconsin’s Part 121 certification.
According to Binns, Air Wisconsin’s parent company, Harbor Diversified, will start a new business, entirely separate from Slate-owned Air Wisconsin. Harbor Diversified would retain some of Air Wisconsin’s aircraft and workers, and focus on “aircraft, engine, and part sales and leasing.”
