PEOPLExpress (Newport News) has lost a contract with Charleston, WV airport to provide a 3x weekly service to Orlando International on account of its prolonged suspension of operations.
The Charleston Daily Mail says the airport's board had now opened talks with other carriers over the route for which the Small Community Air Service Development has allocated USD700'000 in grant funding.
“(PEOPLExpress) had not formally accepted our offer on the grant agreement, but just to make sure, we sent them a formal letter saying that because you are unable to fulfill your obligations under the agreement and in the time frame it was offered, we have rescinded this offer and we are actively seeking other airlines to partner with and use the grant funds,” Airport executive director Rick Atkinson said. “They sent back an email that said we understand and we hope to be up and operational and we will be talking to you when we are available to fly again.”
A lack of available equipment, brought on when one of its two leased B737s was damaged by a vendor truck while the other required an engine change, forced the LCC to suspend operations in late September. Thereafter, it indefinitely deferred a planned October 16 resumption date after it announced plans to pursue US Part 380 certification (Indirect Aircraft Carrier).
