http://www.indystar.com/article/20090320/BUSINESS/90320021/1003?source=nletter-business Republic now half-owner of Hawaiian airline Associated Press Posted: March 20, 2009 Republic Airways is becoming a 50 percent shareholder of Hawaii-based Mokulele Airlines in a recapitalization deal that will install new management at the interisland carrier. Thursday's announcement said Indianapolis-based Republic will convert a significant portion of its $8 million loan to Mokulele and invest additional equity. "We are very pleased we were able to successfully recapitalize our airline thanks to Republic Airways," said Mokulele founder Bill Boyer, who has served as president and CEO. "They've been a terrific partner and their continued support will allow us to realize our dream of nurturing and growing our young airline." Republic Vice President for Strategic Alliances Scott Durgin will serve as Mokulele's interim president and CEO, with Boyer concentrating on sales and marketing efforts. "Republic's investment in Mokulele gives it greater financial strength and positions it to compete effectively and continue to grow its expanding base of loyal interisland customers," said Republic CEO Bryan Bedford. Just last month, Mokulele managed to make a last-minute $300,000 loan payment, staving off seizure of its assets and operations by business partner Republic Airways Holdings Inc. Had Mokulele defaulted on the $8 million loan, Republic said it would come in and operate the carrier. Boyer said at the time that he was working to clear up Mokulele's financial situation with new capital and investors. <<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>> If you wish to unsubscribe from the AIRLINE List, please send an E-mail to: "listserv@xxxxxxxxxxxxxxxxx". Within the body of the text, only write the following:"SIGNOFF AIRLINE".