ABSTRACT
This chapter talks about the regional services in Australia, Canada, remote ports, German and Europe. The airline industry commonly makes a distinction between mainline routes and regional routes. The regional airline can be a subsidiary of the mainline jet operator that serves the major cities in the region. Otherwise the regional may be independently owned, but contracted by the major airline to provide services that connect with the flights of the major. Following the 1978 deregulation of inter-state aviation, many of the established trunk airlines arranged with other companies to operate short-haul services under brand names that generally included the name of the main airline. Much of the service provided by the regionals is performed under capacity purchase agreements. Furthermore, the capacity purchase agreements are usually detailed and complex, which can result in costly legal battles, especially if they also contain some performance incentives.
