By Carlie Kollath/NEMS Daily Journal
TUPELO – Tupelo’s Delta service provider has filed for bankruptcy.
Pinnacle Airlines on Sunday filed for Chapter 11 bankruptcy protection. The Memphis-based company owns Mesaba and also does business as Delta Connection.
The company additionally provides regional service for United Airlines and US Airways.
Pinnacle in a news release said it has secured funding to maintain its operating and restructuring needs. It said it will “remain focused on providing passengers with safe, reliable and timely service.”
Tupelo Regional Airport said service is operating as usual for now.
Pinnacle said it will restructure operating agreements with Delta Air Lines and identify other cost-reduction opportunities, such as cutting staff and fleet.
Said Sean Menke, president and CEO of Pinnacle, “Quite simply, our current business model is not sustainable, as increasing operating expenses, liquidity constraints, business integration delays and difficulties associated with combining our operations have hindered our ability to maximize our growth potential.”
Pinnacle subsidiaries operate 199 regional jets and 62 turboprops on more than 1,540 daily flights to 188 cities and towns in the United States, Canada, Mexico and Belize.