Continental will withdraw 69 regional jets operated by ExpressJet

Continental Airlines announced that it has given notice to withdraw 69 of 274 regional jet aircraft from its capacity purchase agreement with ExpressJet Holdings, Inc. and ExpressJet Airlines, Inc. ExpressJet is currently the exclusive operator of regional jet services for Continental Airlines. Continental will request proposals from numerous regional jet operators to provide regional jet service to replace the withdrawn capacity. The transition of service from ExpressJet to a new operator is expected to begin in January 2007 and be completed during the summer of 2007. Continental and ExpressJet attempted to negotiate a more competitive long-term contract, but the parties were unable to reach agreement.

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