Mesa Air shareholders approve debt plan

The Phoenix-based regional carrier wanted the new shares to help it pay back as much as $37.8 million in senior convertible notes in June. Analysts have questioned the move, saying it would seriously dilute the value of Mesa's stock.

Mesa has had an especially tough financial year. It's Hawaiian carrier, go!, has struggled to make a profit, and it sparked a lawsuit with Hawaiian Airlines Inc. that ended with Mesa agreeing to pay $52.5 million.

Meanwhile, Delta Air Lines Inc. said it plans to pull Mesa's contract-flying agreement worth $20 million a month.

The carrier's shares have dropped 75 percent in value since the beginning of the year, ending Wednesday at 64 cents. At those prices, it would take about 59 million shares to pay off the senior notes.

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