Pinnacle Tapped for Expanded Service w/ Colgan, Q-400

In early 2008, Colgan will begin operating the Bombardier Q400s as part of a new 10-year, capacity purchase agreement between its parent company, Pinnacle, and Continental Airlines. The 15, 74-seat aircraft, scheduled to begin delivery in December, will be used to serve Continental’s Newark hub as part of its Continental Connection network. The move finally resolves the open-ended question as to whether Continental will ise the Q400, something that has been in the wind for some time. Pinnacle will purchase the aircraft and Continental will purchase all Q400 capacity at predetermine rates and industry standard pass-through costs. Fuel will also be purchased by CAL and provided to Colgan at no cost. Deliveries of the new aircraft run through June 2008. Colgan has long been a Continental Connection and with its purchase by Pinnacle, its parent company adds another partner to its stable which also includes operating as a Northwest Airlink.