AIRDO , airline based in Hokkaido, and Solaseed Air (Miyazaki City), which mainly operates in Kyushu and Okinawa, merged their operations on the 3rd October and held a commemorative ceremony at Haneda Airport in Tokyo.
As business performance deteriorated, the carriers merged their operations to cut costs and effectively utilize resources amid a slump in travel demand caused by the coronavirus pandemic. Synergy drive will focus on utilizing the facilities and personnel of both companies.
The two companies established a joint holding company "Regional Plus Wings" (Tokyo) on the 3rd and entered the umbrella. Kosuke Takahashi, president of Solaseed Air, was appointed president of the holding company, and Susumu Kusano, president of Air Do, was appointed chairman.
Airdo, headquartered in Sapporo on the northernmost main island of Hokkaido, and Solaseed Air, based in Miyazaki in the southwestern region of Kyushu, will retain their names and current routes under the new holding company.
With the operational merger , the struggling carriers aim to reduce costs through the joint maintenance of aircraft and procurement of supplies.
Transport minister Tetsuo Saito welcomed the move , telling a press conference ,
"I hope it will help maintain and further improve their airline services."
The merger plan was announced by both the companies in May 2021 as their operations were being hit by shrinking passenger volumes, amid pandemic lockdowns.
Airdo and Solaseed suffered net losses in the business year ended March for the second straight year as air travel slumped due to COVID-19 restrictions and a strict border control imposed by the Japanese government.