Empire stayed break-even or better, despite aggressive competition by much larger and/or better capitalized airlines, the turbulence of the early deregulation era and many years of substantial expansion.

Founded by Paul Quackenbush, Empire Airlines began with a base at Oneida County Airport serving the Utica-Rome metropolitan area.

[4] This not only brought incremental traffic to Empire, but helped set it apart from other small carriers at a time when the Pan Am name still meant something.

Paul Quackenbush invested $25,000 initially (over $150,000 in 2024 dollars), expanding the capital base in two rounds of private offerings in 1976 and 1977 for $160,000 and $250,000 respectively.

[7] As of the date of its CAB application (February 22, 1979) Empire’s fleet comprised three Swearingen Metros and three Piper Navajos.

The presence of a Goldman Sachs partner as a significant shareholder presumably helps explain the success the small airline had in the capital markets.

The CAB certified Empire for Utica to Buffalo, Washington D.C., and Boston, and, via Syracuse, to New York, Newark, NJ and Hartford, CT.

[8] In early 1980, Empire was just one of over a half-dozen turboprop operators in New York State trying to backfill for Allegheny and other bigger carriers in the wake of deregulation.

Apart from USAir, which despite having withdrawn from some New York State routes remained Empire’s main competition, Empire competed against aggressive and much larger deregulation startups such as People Express (which served routes like Newark to Buffalo and Rochester)[32] and New York Air (which served Rochester to LaGuardia Airport).

In July it announced it was moving its headquarters from Utica to Syracuse, driven in significant part by the convenience of collocating with its hub.

[36] In August, in conjunction with a decision to purchase two more new F-28s to be delivered by year-end (taking the fleet to 15), Empire announced it was retiring its five Metro turboprops, becoming all jet.

The acquisition allowed Piedmont to accelerate its expansion into New York State, which started in 1985 with service from Baltimore to Buffalo and Rochester.

Ordering jets while flying only a handful of 19-seat turboprops was a bold move that set Empire apart from the other small airlines of the age.

[49] The mergers were difficult and the timing inopportune, as in 1990 the world suffered an oil price shock, the US entered a recession and there was a collapse in international air travel driven by the Iraq’s invasion of Kuwait.

[53] Empire’s final network included 20 cities, 11 in New York State, plus Baltimore, Boston, Burlington (VT), Cleveland, Hartford, Newark and Washington D.C., and Ottawa and Montreal in Canada.