AirAsia shuts its operations in Japan.
AirAsia will cease operations in Japan immediately, the company said in a bourse filing on Monday., Reuters reported.
See also: Qatar Airways announces its winter schedule with plans to expand the network to 124 destinations.
The airline said it has been notified that the board of directors of its majority-own subsidiary AirAsia Japan (AAJ) has taken a decision to cease operations with immediate effect.
See also: Lufthansa Group has reimbursed more than 3 billion Euros to its clients.
“We respect and have agreed to the decision made by AAJ as this would reduce the cash burn of AAJ and the Company amid the highly challenging operating conditions in Japan which have been aggravated by the COVID-19 pandemic,” it said.
Group Chief Executive Officer Tony Fernandes last month told Reuters that the group was reviewing its business in Japan due to the impact of the pandemic.
“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,” said Jun Aida, AAJ Representative Director and Chief Operating Officer.
Related Topics
Avianca Expands Its Business Class Experience to Over 80 International Routes in the Americas
Arajet Announces Direct Flights Between Punta Cana and Córdoba, Argentina
Porter Airlines Announces Flights to Mexico, the Caribbean, and Costa Rica from Canada for Winter
LATAM Launches Two New Routes Between Brazil and Argentina
Líder en noticias de aviación