Atlantic Coast Airlines
| Company type | Private |
|---|---|
| Industry | Airline |
| Founded | 1989-12-15 |
| Defunct | 2006-01-05 |
| Fate | Converted into Independence Air; operating certificate sold to Northwest Airlines |
| Headquarters | Loudoun County, Virginia , United States |
Area served | United States |
| Products | Regional airline services (United Express, Delta Connection) |
Atlantic Coast Airlines (ACA) was a regional carrier in the United States owned by Atlantic Coast Holdings, Inc.. It operated flights under the brands United Express for United Airlines and Delta Connection for Delta Air Lines. The airline's headquarters were located near Dulles in unincorporated Loudoun County, Virginia, with previous office locations in Reston and Sterling, Virginia.
History
Founded and commencing operations on December 15, 1989, ACA immediately entered into a marketing partnership with United Airlines. In 1999, the airline introduced Atlantic Coast Jet as a Delta Connection affiliate, which was eventually merged back into the main operation.
Atlantic Coast Airlines provided United Express services from Dulles and O'Hare International Airport, utilizing aircraft such as the Jetstream 32, Jetstream 41, De Havilland Canada Dash 8, Embraer EMB 120 Brasilia, and Bombardier CRJ100/200. Meanwhile, its Delta Connection flights operated from Logan International Airport (Boston), LaGuardia Airport (New York City), and Cincinnati/Northern Kentucky International Airport using the Fairchild Dornier 328JET. By 2003, approximately 80% of ACA’s revenue stemmed from United Express flights, with the remaining 20% generated through Delta Connection operations.
After United Airlines filed for bankruptcy protection in December 2002, it engaged Bain to renegotiate contracts with regional carriers. Atlantic Coast Airlines undertook extensive cost-cutting measures to remain viable but was unable to finalize a new contract with United. Despite this setback, ACA continued to honor its existing 10-year agreement while developing contingency plans in case United defaulted.
In mid-2003, ACA’s robust financial position made it a target for a hostile takeover bid by Mesa Air Group, which included alleged violations of regulations enforced by the U.S. Securities and Exchange Commission. Employees mounted grassroots opposition efforts that contributed to Mesa withdrawing its acquisition attempt within a few months.
On November 19, 2003, Atlantic Coast Airlines revealed plans to convert into a low-cost carrier under the brand name Independence Air. The airline terminated its United Express partnership on August 4, 2004, followed by ending Delta Connection service on November 2, 2004. Independence Air began operations on June 16, 2004, but ceased all flights on January 5, 2006.
Subsequently, on March 10, 2006, Northwest Airlines purchased Independence Air’s Department of Transportation Operating Certificate to establish a new regional subsidiary. This acquisition led to the creation of Compass Airlines (North America), which launched service using Embraer E175 aircraft starting in August 2007.
See also
- List of defunct airlines of the United States
- United Express Flight 6291, an ACA-operated flight for United that crashed.
External links
- Atlantic Coast Airlines (Archived)
- Eric Gillin, "Atlantic Coast Pushes Ahead With Plans to Become Low-Cost Carrier," TheStreet.com, November 19, 2003 (Archived)
- Articles with short description
- Defunct airlines of the United States
- Airlines established in 1989
- Airlines disestablished in 2006
- Companies based in Reston, Virginia
- Companies based in Dulles, Virginia
- American companies established in 1989
- 1989 establishments in Virginia
- 2006 disestablishments in Virginia