XJTs flying is going to be done is small under-served markets..... There wont be any competition with CAL or any other "major" carrier. This is what makes the branded flying that they are going to do unique.
Are you familiar with the flying the "RJ" does for CAL? I am....and they dont feed anything...these aircraft are used in ways that they werent made for and are actually doing quite well. Most of the passengers we carry dont ever step foot on a CAL aircraft.
I have heard of Midway....Im not familiar with the flying they did.....why dont you enlighten me??

Then we can compare the similarities between XJT and Midway and decide if they can even be compared.
edited for after thoughts