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RENO AIR SIGNS AGREEMENT WITH AMERICAN

 RENO, Nev., May 25 /PRNewswire/ -- Nevada-based Reno Air Inc. (NASDAQ: RENO (common stock), RENOU (units), RENOW (warrants)) has entered into definitive agreements with American Airlines to sublease gates in San Jose, Calif., and utilize American's AAdvantage frequent flyer program on Reno Air's routes. The agreements are subject to the consent of the City of San Jose and certain of their customary conditions.
 "This agreement solidifies our presence in the Western region," said Jeff Erickson, president and chief executive officer of Reno Air. "It is significant step in the continuing growth of our company."
 Reno Air is scheduled to commence service from San Jose to certain of its current destinations, including Seattle, Portland, Ore., San Diego, Los Angeles and its hometown of Reno/Tahoe on July 15, 1993. Reno Air passengers would be eligible to earn AAdvantage points beginning on that date. The agreements provide for Reno Air to initially sublease three gates in San Jose, and to have the option of subleasing as many as seven gates. The agreements may be terminated in the event that a third party acquires more than specified percentages of Reno Air's equity.
 Reno Air currently operates nine 140-seat McDonnell Douglas MD-80 series jets, and is scheduled to receive three more within the next six weeks.
 -0- 5/25/93
 /CONTACT: Sue Putnam, manager of public relations, of Reno Air, 702-686-3874/
 (RENO)


CO: Reno Air Inc.; American Airlines ST: Nevada IN: AIR SU:

LD-LM -- SF003 -- 1979 05/25/93 08:05 EDT
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Publication:PR Newswire
Date:May 25, 1993
Words:247
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