Hawaii Island Air shuts down cancelling all of its flights

Hawaii’s second-largest airline, Island Air, shut down Friday after exhausting all options to keep flying.

Island Air, which has about 400 employees, made the announcement Thursday.

The company filed for bankruptcy protection on October 16 after its aircraft lessor attempted to repossess the company’s three remaining Q400 aircraft for nonpayment.

The had been losing money every quarter for the past four years. 

Hawaii’s second largest airline shut down on November 10th. Island Air flew inter-island routes in Hawaii Island, Maui, Oahu and Kauai for the past 37 years but ceased operations on Friday

It flew inter-island routes within the state of Hawaii for 37 years.

‘Island Air has taken every measure possible to avoid this tremendous hardship to its passengers,’ said David Uchiyama, Island Air president.

‘Island Air appreciates the loyalty and support its customers, management, employees, and vendors have shown the airline, especially during the last few weeks of this bankruptcy process.’

The airline said in a message on its website that passengers should contact their credit card company for inquiries on refunds. 

The shutdown puts more than 400 people out of work and leaves Hawaiian as the only airline offering inter-island routes

The shutdown puts more than 400 people out of work and leaves Hawaiian as the only airline offering inter-island routes

An view of Waikiki and the Diamond Head crater seen from an Island Air plane

An view of Waikiki and the Diamond Head crater seen from an Island Air plane

Hawaiian Airlines said it will honor Island Air tickets for the next week on a standby basis.

Island Air was known for flying at lower-than-average altitudes, to give passengers better views of the Hawaiian scenery

Island Air was known for flying at lower-than-average altitudes, to give passengers better views of the Hawaiian scenery

‘I want to thank Island Air for its decades of service to our communities,’ Gov. David Ige wrote in a statement. ‘The closure will have a tremendous effect on 400 employees and their families, and the state will be working with Island Air to help the employees apply for unemployment insurance and provide assistance with job searches and training opportunities.’

Island Air was known for flying at lower-than-average altitudes, to give passengers better views of the Hawaiian scenery.

Its closure gives Hawaiian Air, already the largest airline in Hawaii, an even greater share of the local market.

Customers looking to travel to Hawaii from the mainland, however, recently gained another option: Southwest, which will begin offering flights to the state in 2018.

The airline has said it is considering the possibility of running its own inter-island flights 

Island Air's closure gives Hawaiian Air, already the largest airline in Hawaii, an even greater share of the local market

Island Air’s closure gives Hawaiian Air, already the largest airline in Hawaii, an even greater share of the local market

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