Regional Airline Aha! Ceases Operations

The Nevada-based budget airline Aha! has ceased operations following its parent company, ExpressJet Airlines, filing for bankruptcy protection and announcing plans to sell its assets.

ExpressJet cited lower-than-anticipated revenue due to a decline in travel demand caused by new COVID-19 variants. The airline also mentioned being weighed down by high costs, especially for jet fuel.

The Atlanta-based company filed for protection on August 23 in the federal bankruptcy court located in Delaware.

Aha! served approximately a dozen cities on the West Coast from its hub in Reno, Nevada. A notice on its website states that the airline cannot assist stranded travelers with alternative travel arrangements, and customers with future bookings should reach out to their credit card companies for refunds.

ExpressJet, located in the Atlanta area, was established in 1986 through the merger of several small commuter airlines. For many years, it operated smaller aircraft as a regional carrier for Continental, JetBlue, American, and United. In 2020, United Airlines withdrew its fleet from ExpressJet, resulting in a significant loss of revenue. In 2021, ExpressJet rebranded itself as a charter airline and the operator of Aha!, which represents air, hotel, and adventure.

In its filing, a company executive stated that ExpressJet has halted all operations, including charter flights, laid off the majority of its staff, and will return its aircraft to leasing companies. ExpressJet reported having 1,300 pilots currently on furlough.

The largest debt recorded in the filing is a $10 million unsecured claim from the U.S. Small Business Administration under the payroll protection program designed to assist businesses affected by the pandemic. Additionally, it owes $3.9 million for a pandemic-relief loan provided by the Treasury Department.