V Air, the low-cost subsidiary of Transasia Airways, has announced that it will be ending all operations in October and bow out of the local market altogether.
According to the Taipei Times, the airline has been making heavy losses over the past year due to ever-increasing competition from other international low-cost carriers. Parent company Transasia has therefore decided to pull the plug and absorb its subsidiary.
“The move is part of the company’s long-term transformation plans to optimise resource utilisation and lower operating costs,” said Transasia chairman Vincent Lin in a statement.
While all scheduled V Air flights until September 30 will remain operational, ticket sales for flights on or after October 1 have been suspended. Passengers who have booked to fly on flights to Bangkok, Busan or Nagoya will receive a full fare refund (including all taxes and surcharges).
Moving forward, Lin has outlined plans for Transasia to transform into a versatile carrier that is capable of serving both the full-service and low-cost market.
“We aim to provide passengers with different options in terms of in-flight meal variety and check-in luggage allowances, as we position the company somewhere between the budget and full-service market segments,” said Amy Chen, a company spokesperson.
For more information, visit flyvair.com