ExpressJet Holdings, which provides regional jet service for Continental Airlines, on Wednesday said quarterly profit edged higher as it flew more flights amid a resurgence in air travel.

The feeder airline said first-quarter profit rose to USD$23.8 million, from USD$23.3 million a year earlier.

The airline flew 12 percent more flight hours in the latest quarter over a year ago as the demand for air travel continued to rebound.

ExpressJet said it performed better than the terms of its agreement with Continental and rebated USD$2.6 million to its partner airline to reach its contractual operating margin.

ExpressJet, under pressure from Continental to yield greater profit, said last week it would keep 69 planes leased from its partner airline after the two carriers failed to agree new terms for providing regional services.

The move frees up ExpressJet to release some or all of the planes to another operator, or try to operate them under a new banner. The 69 jets represent about one-quarter of the 274 planes that ExpressJet operates.

The regional carrier is the latest to come under pressure from larger partners trying to negotiate tougher terms as they struggle with high fuel prices.