Mesa Agreement

Two years after changing their pilot contract, Mesa Air Group pilots are facing new opportunities and threats. This section begins by describing a typical agreement on energy services (ESA), as it is the most common structure of efficiency as a single service. The two “Alternative Approach” sections then examine different structures in relation to ESA. Note that the efficiency space as a service is changing rapidly, so many different arrangements are in use and others are being developed. Mesa Air Group, Inc. based in Phoenix, Arizona, is the holding company of Mesa Airlines, a regional airline that offers scheduled flights to 101 cities in 39 states, the District of Columbia, Canada and Mexico, as well as freight routes from Cincinnati/Northern Kentucky International Airport. As of October 31, 2020, Mesa operated a fleet of 146 aircraft with approximately 342 daily departures and 3,200 employees. Mesa operates all American Eagle, United Express or DHL Express flights in accordance with the terms of the capacity purchase agreements with American Airlines, Inc., United Airlines, Inc. and DHL. This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, among other things, statements on the new contract with American Airlines, which position Mesa for long-term stability and improved performance in its U.S.

operations, as well as the benefits of the new agreement for both parties. All forward-looking statements contained in this press release are made as the date of this release and are based on the information Mesa has as of the date. These forward-looking statements are the Company`s judgment at the time of this publication, and the Company refuses to publicly update or verify any forward-looking statements, whether on the basis of new information, future developments or other means, unless required by law. The Managed Energy Services Agreement (MESA) is a variant of ESA with some important differences. In a MESA structure, the supplier assumes the broader energy management of a customer`s facility, including responsibility for electricity bills. The MESA operator acts primarily as an intermediary between the customer and the utility company. The MESA-Anbieter charges the customer an agreed fixed price based on historical energy consumption and thus protects the customer from changes in electricity prices. ESM is particularly interesting in areas where a “split-incentive” between landlord and tenant is a theme, as the structure of the contract allows for the cost of MESA to be tracked by tenants.

With the 2017 pilot agreement underway, the MEC is preparing for the next round of negotiations in 2021. “The MEC`s strategic plan for 2020 is to lay the groundwork for successful negotiations in our next cycle, including pilot training and engagement,” said Hughes. Investor RelationsBrian Citi took advantage of an energy service agreement to provide efficient electricity and cooling at its London data centre. The project is expected to result in annual savings of $1.1 million. Some providers offer other models of efficiency and service that differ from ESA and MESA. An example is “lumens-as-a-service,” in which a customer indicates their desired lighting power (which can be framed in terms of candles or light lumens or other metrics provided) and the supplier provides a contract lighting service to achieve these results.

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