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The article focuses on a study which examines productivity and quality issues in the regional airline industry in the United States. In this study, the regional industry refers to those airlines that generally operate aircraft of fewer than sixty seats in short-haul scheduled passenger service between smaller communities and larger hub airports. Code sharing arrangements, marketing alliances, and a host of other joint business strategies have resulted in a process of industry consolidation, concentration, and integration of regional with the large commercial carriers. The case study involving the decision by two large regional airlines to introduce new, larger aircraft into their fleet was initiated in 1991. In 1991, Sky West ranked as the 13th largest regional airline in terms of number of passengers. The other airline involved in the study is Wings West Airlines, the 16th largest regional carrier in 1991, carrying over 1 million passengers. Airline management is disturbed by the fact that only 7 percent of the respondents commented that they believed the newer and larger aircraft offered higher levels of safety.