ExpressJet continues to explore alternatives, negotiating capacity purchase agreement with Continental

By Lisa Kerner

Charlotte, N.C., June 3 - ExpressJet Holdings, Inc. said it will continue to explore "a full range" of strategic and operational alternatives in response to the unsolicited nonbinding merger proposal from SkyWest, Inc. announced in April.

The company is also negotiating a new capacity purchase agreement with Continental Airlines, Inc., an ExpressJet news release stated.

SkyWest proposed acquiring ExpressJet for $3.50 per share in cash.

It was previously reported that ExpressJet rejected the offer, which it called "opportunistic," and said it did not adequately reflect the inherent value of the company.

"The ExpressJet board and management continue to evaluate all appropriate and necessary actions to enhance value for ExpressJet stockholders in this difficult operating environment," ExpressJet chairman George R. Bravante Jr. said in the release.

Bravante noted the company will evaluate ways to reposition the company's current operating plan in light of the "challenging macroeconomic headwinds that all airlines are facing."

Houston-based ExpressJet operates as a regional airline under the name Continental Express.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.