INDIANAPOLIS -- Indianapolis-based Republic Airways announced Thursday it had filed for Chapter 11 bankruptcy.
The company has run into financial troubles in recent years, as pilot shortages and labor standoffs have affected its ability to operate regional flights.
Republic said in July it had cut flying by 4 percent earlier that summer, and was talking with American, United, Delta and U.S. Airways about reducing its flying more.
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Republic Chairman and CEO Bryan Bedford said the company had "worked hard to avoid this step."
“Over the last several months, we’ve attempted to restructure the obligations on our out-of-favor aircraft – made so by a nationwide pilot shortage – and to increase our revenues," Bedford said. "It’s become clear that this process has reached an impasse and that any further delay would unnecessarily waste valuable resources of the enterprise. Our filing today is a result of our loss of revenue during the past several quarters associated with grounding aircraft due to a lack of pilot resources, combined with the reality that our negotiating effort with key stakeholders shows no apparent prospect of a near term resolution.”
Republic currently employs about 6,000 people.
In a statement, the company said it would continue conducting normal flight operations and would do "business as usual" across its locations.
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