PRNewswire -- SkyWest, Inc., (Nasdaq: SKYW) announced today that it has reached a mutual understanding with Midwest Airlines to wind-down the service SkyWest Airlines, Inc., currently provides under the Airline Services Agreement between SkyWest Airlines and Midwest Airlines. As a result, SkyWest has agreed to remove its remaining 12 CRJ200 regional jet aircraft from Midwest service based on the following schedule: one aircraft will be removed in June 2009, one aircraft in July 2009, three aircraft in October 2009, two aircraft in November 2009, two aircraft in December 2009 and the last three aircraft in January 2010. Additionally, SkyWest Airlines agreed to cancel the unsecured note from Midwest of approximately $9.3 million in exchange for a $4.0 million payment from Midwest that is guaranteed by Republic Airways Holdings, Inc. The Midwest payment is scheduled to be paid to SkyWest at the rate of $400,000 per aircraft as each applicable aircraft is removed from service. Midwest has agreed to continue to pay existing rates and charges to SkyWest as agreed to under the Midwest agreement, as previously amended, until the aircraft are removed from service.
