AirAsia shuts down operations in Japan: “Extremely challenging”
AirAsia Group shut down its operations in Japan with immediate effect. Its majority-owned subsidiary AirAsia Japan (AAJ) is not financially strong enough to continue its operations under “extremely challenging operating conditions” which were caused by the COVID-19 pandemic.
AAJ, the smallest airline-unit of AirAsia Group, stated that it had been notified by the board of directors to cease operations in Japan from October 5, 2020. The decision was made after a thorough business review earlier in September 2020. AirAsia Group expected that the termination of operations would help to reduce the cash burn of AAJ and the group.
“Despite our unrelenting efforts to sustain operations through successive and wide-ranging cost reduction initiatives, we have concluded that it would be an extremely challenging feat for us to continue operating without any visibility and certainty of a post-pandemic recovery path,” Jun Aida, the Representative Director and COO of AAJ, announced in a press release.
“Further steps to this decision will be made in accordance with the applicable laws and regulations including the Japan Civil Aeronautics Act,“ added Aida.
AAJ was incorporated into the group in 2014. Since then, it was operating domestic and international flights with three Airbus A320 on its fleet from its base in the Chubu Centrair International Airport (NGO) in Nagoya, central Japan.
AirAsia Group informed that the closure of AAJ operations would not have any impact on the other group air carriers’ operations in Japan.
Boeing calls operators to address potential 737 MAX electric issue
Boeing calls 16 operators of the 737 MAX aircraft to address a potential electric issue....
IATA sees no sign of recovery, as air travel numbers plunge
IATA noted a continuous trend of negative air travel demand in February 2021....
Two Ethiopian Boeing 737s attempt landing at unfinished Zambian airport
An Ethiopian Airlines Boeing 737 attempted landing at an unfinished airport in Ndola, Zambia, two hours after another on...