Citing an over extension of it’s routes and loss of passengers to other carriers Air Fresno has contacted noted local Fresno attorney Corin Agabajian with it’s intention to declare insolvency. The airline has not made a profit since leasing a number of Embraer jets and expanding its routes northward to Seattle and into Arizona with stops in Phoenix and Tucson. “I think with the airline in Chapter 11 we can get out from under these leases with Embraer and in a few months be able to resume regional turboprop operations that will be supported out of Fresno”. Since March many flights have been cancelled for lack of ticket sales, employee layoffs and other cost cutting measures just have not met expectations. The airline does still own a small fleet of Beech 1900D’s that have been stored at the Mojave Spaceport since the summer of 2009, Air Fresno CEO Peter McKay stated that once the Embraers have been returned efforts to restore them to flying condition will be made. The airline declared Chapter 13 bankruptcy in 2003 due to a number of accidents and the subsequent law suits that saw the carrier lose its operating insurance.