Republic Airlines will operate large regional jets as an American Eagle affiliate within the American Airlines network, starting in June 2013.

As part of the deal, Republic by 2015 will take delivery of and deploy 53 new Embraer E175 aircraft with 76 seats in two-class configurations. The 12-year agreement between Republic Airways Holdings and AA must be approved by the court overseeing the latter's bankruptcy restructuring. "Establishing a large regional jet fleet has long been part of our business plan," according to AA vice president of network planning Chuck Schubert. AA added that the deal "is designed to offer customers more choices with the right size aircraft to match market demand, strengthen service from American's hubs and diversify its partnership with regional carriers." Republic Airways Holdings, which through its Chautauqua Airlines subsidiary already provides to AA service at Chicago O'Hare with smaller regional jets, also operates as a regional affiliate for United Continental, Delta and US Airways.