Ailing CCAir selects new chief executive Commuter airline serves USAir hubs

October 31, 1990

CCAir Inc., a commuter airline that operates under the name USAir Express, announced yesterday that the U.S. Bankruptcy Court has approved the appointment of Kenneth Gann, a former MGM Grand Air executive, as chief executive of Charlotte, N.C.-based CCAir. The appointment is effective tomorrow.

CCAir filed for protection from creditors under Chapter 11 of the U.S. Bankruptcy Code in July, citing cash-flow difficulties it blamed on USAir Group Inc., the leading carrier at Baltimore-Washington International Airport.

At the time of the bankruptcy filing, Arlington, Va.-based USAir declined to comment on CCAir's contention.

CCAir connects 23 smaller Southern cities to airports that USAir uses as hubs for its route system.

MGM Grand Air is a small luxury airline that offers two daily flights between New York and Los Angeles. The Los Angeles-based airline, a subsidiary of MGM Grand Inc., also has plans to offer international flights to the United Kingdom and the Pacific Rim.

Mr. Gann will replace CCAir founder Roy Hagerty, who had headed the company since its 1984 inception. Mr. Hagerty will remain a CCAir director and will be a consultant to the company through 1991.

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