Chautauqua Airlines was founded in 1973 in Jamestown, New York by Joel and Gloria Hall. The airlines primary mission was to operate under a code-share agreement with Allegheny Airlines operating as Allegheny Commuter. Initial scheduled operations from Jamestown to Pittsburgh and Buffalo were started with two new nine passenger Beech 99 aircraft.
In 1979, Chautauqua Airlines developed a mini-hub in Orlando, Florida offering service to Ocala, Lakeland, and Vero Beach, Florida. This new service operated under the USAir Express brand as Allegheny had completed a name change to better suit its growing operation. Later that year Chautauqua Airlines added two new 30-passenger Shorts 3-30 aircraft and expanded its operation to include service out of USAir’s hub in Pittsburgh, Pennsylvania to Canton/Akron.
In 1984 the airline added five new 19 passenger Fairchild Metro III aircraft to its fleet. In1986 Chautauqua Airlines was purchased by GAC. Later that year the airline entered into a an agreement with Saab Aircraft of America for the purchase of Twelve, 30-passenger Saab 340 aircraft to replace the slower Shorts 3-30’s.
On May 8, 1994 the airline announced the renewal of the code-share agreement with USAir. The new agreement included a route realignment, which required the airline to relocate the corporate headquarters to Indianapolis, Indiana to better support its growing operation. As the airline completed the transition flying routes previously operated by Jetstream International Airlines further growth was to come. Chautauqua Airlines would later gain the routes it had previously operated via an agreement with Jetstream International Airlines to acquire its entire fleet of 19-seat BAE Jetstream 31 aircraft.
Chautauqua Airlines continued to take delivery of Saab 340 aircraft in 1995 and 1996. New US Airways Express service was started between Newark International Airport and Buffalo, Rochester, and Syracuse, NY as well as service between Pittsburgh and Fort Wayne, Indiana and Flint, Michigan..
On May 15, 1998 Wexford Capital, LLC of Greenwich Connecticut purchased Chautauqua Airlines. In March 1999, the airline entered into an agreement with Embraer for the purchase of ten ERJ-145, 50 passenger regional jet aircraft.
In July 1999, Chautauqua Airlines announced the appointment of Bryan K. Bedford as President and Chief Executive Officer. In addition, the airline announced the appointment of Robert Hal Cooper as Vice president and Chief Financial Officer. The airline continued to attract several well-known industry veterans to its senior management ranks as it positioned itself for continued growth.
In November 1999, Chautauqua Airlines announced a new Ten-year code-share agreement with Trans World Airlines. As a part of the agreement, Chautauqua Airlines will operate at least 15 Embraer 145 50 passenger regional jet aircraft with an option for an additional 15 aircraft. All 15 firm ordered aircraft will be in service by the fourth quarter of 2001..
On March 21, 2001 Chautauqua Airlines announced that it has entered into a new partnership with America West Airlines to operate regional jets under a code-share agreement which calls for the airline to operate as an America West Express affiliate in the eastern United States. The agreement with Chautauqua calls for the deployment in 2001 and 2002 of 12 Embraer 145 regional jets to serve Midwestern and Eastern business markets including Chicago, Baltimore and Boston from America West's Columbus hub. The arrangement also includes an option for an additional 12 Embraer 145’s for operation in the America West Express system. The new partnership with Chautauqua reaffirms America West's commitment to its Columbus, Ohio hub providing opportunities for increasing flights to both existing and new markets.
On June 19, 2001 Chautauqua Airlines announced the renewal of the existing regional jet service agreement with American Airlines, which earlier in the year had purchased TWA to provide feeder service at St. Louis Lambert International Airport. As part of the multi-year agreement, Chautauqua will make a transition away from 50-seat regional jets to 44-seat Embraer ERJ-140 units by June of 2002. Then airline will maintain its current delivery schedule for 15 regional jets with 20 options.
On March 11th 2002, Republic Airways Holdings Inc., the parent of Chautauqua Airlines, announced that is has filed a registration statement with the U.S. Securities and Exchange Commission relating to the initial public offering of its common stock. All of the shares are being offered by Republic Airways Holdings on the NASDAQ national market under the ticker symbol RJET.
On June 10th, 2002 Chautauqua Airlines announced an agreement for Chautauqua to provide regional jet service in Florida for the Delta Connection network beginning in November 2002. Chautauqua will be the fifth regional carrier in the Delta Connection system and will serve mid-Atlantic and Florida markets with a total of 22 Embraer regional jets by the end of 2003.
On June 11th, 2002 Chautauqua Airlines announced the order of 22 Embraer regional jets including 15, 37 passenger ERJ 135’s and 7 50 passenger ERJ145’s with options for 30 additional aircraft. This brings Chautauqua’s firm orders for Embraer regional jets to 75. In addition, Chautauqua will be one of two carriers that operate the entire family of ERJ aircraft.