Midwest Express Airlines has raised $1 million in a funding round led by three investors, according to a U.S. Securities and Exchange Commission filing. Now a startup company, Midwest Express is led by a group trying to relaunch the brand, which was eliminated in 2011 after Midwest Airlines (originally known as Midwest Express) merged into
Midwest Express Airlines has raised $1 million in a funding round led by three investors, according to a U.S. Securities and Exchange Commission filing.
Now a startup company, Midwest Express is led by a group trying to relaunch the brand, which was eliminated in 2011 after Midwest Airlines (originally known as Midwest Express) merged into Denver-based Frontier Airlines.
The company’s efforts to relaunch were centered around a service agreement with Portland, Maine-based Elite Airways, in which Elite would provide aircraft, pilots, flight crews and maintenance to get Midwest Express off the ground.
However, a Milwaukee County Circuit Court civil lawsuit filed in March made it clear the airlines were parting ways. Midwest Express, who filed the suit, alleges that Elite owes the airline $150,000.
According to the complaint filed by Midwest Express, the airline terminated its agreement with Elite on Dec. 31, 2019 and Elite only returned a portion of Midwest’s monetary deposit, which was an undisclosed amount in the complaint.
By failing to immediately return Midwest’s entire deposit, Elite breached the agreement between the two airlines. Elite was ordered to pay Midwest Express $150,000 after the airline did not respond to the complaint within 20 days of receiving the summons, according to Milwaukee County Circuit Court records.
Attorney Daniel Blinka, who is representing Midwest Express in the lawsuit, did not comment on the case.
Prior to the coronavirus pandemic, Midwest Express executives said they planned to begin service during the fourth quarter of 2019. But the launch date was delayed, and the new airline hadn't begun service.
"Because of the pandemic, things have not moved as quickly as we would like, but we remain focused on fundraising. We continue forward with those efforts, as reported in the SEC filing. While we do not have a firm date or timeframe for a launch of our service, we are committed to bringing back the 'best care in the air,'" Midwest Express said in a statement to BizTimes.
In May of 2018, Midwest Express raised $750,000 in a funding round led by two investors, according to an SEC filing.
In August, Midwest Express and Elite Airways unveiled the aircraft for the new Midwest Express and announced that initial destinations would be from Milwaukee to Omaha, Nebraska; Grand Rapids, Michigan; and Cincinnati.
In a March press release, Midwest Express president Greg Aretakis said the new Midwest Express is still moving forward with plans to relaunch service.
“We are in substantial discussions with other airline operators to bring back non-stop service to Milwaukee,” he said. “We have received a tremendous amount of support from the business community and former passengers who tell us that they need better options for air travel in Milwaukee, and we intend to deliver it.”
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