[2] Following the Airline Deregulation Act of 1978, nearby Erie, Pennsylvania, saw a decline in service, and Vee Neal saw an opportunity.

The company made several unsuccessful attempts to start a new airline operation out of Erie International Airport using Embraer EMB 110 Bandeirante aircraft.

Vee Neal Airlines was able to raise venture capital from a group of civic and business leaders, investors and corporations in the Erie area.

Jetstream established a network of routes between Erie and Chicago, Cleveland, Detroit, Harrisburg, Newark, Philadelphia, Pittsburgh, and Washington, D.C.

[2] US Airways entered a second Chapter 11 bankruptcy on September 12, 2004, and was acquired by America West Airlines in 2005 in a reverse merger.

[citation needed] In January 2008, US Airways flight activity at the Pittsburgh International Airport was significantly reduced due to market condition changes.

In August 2015, PSA Airlines announced a maintenance base would be established at Cincinnati/Northern Kentucky International Airport.

[3] In August 2016, PSA Airlines announced a new 45,000-square-foot maintenance base would be opening in late 2016 at the Greenville-Spartanburg International Airport (GSP).

The airline will maintain a maintenance hangar and flight crew location in Dayton, with a total of 550 employees.