New Indonesia airline shuts down scheduled flight operations
BBN Airlines Indonesia has finally scrapped all scheduled flights due to low demand and what it says is a change in business strategy.
The airline will pivot to an aircraft leasing model via ACMI (Aircraft, Crew, Maintenance, and Insurance) agreements with other airlines.
The airline only launched a few months ago.
BBN operated routes from Jakarta to Denpasar, Surabaya, Pontianak and Balikpapan but has seemingly struggled to fill flights.
Some of these routes were discontinued in January.
The ACMI allows other airlines to scale up capacity and flight frequencies quickly based on current market dynamics.
According to Martynas Grigas, chair of BBN Airlines Indonesia, it is already working with Sriwijaya Airlines.
The company has also worked previously with India’s SpiceJet.
BBN Airlines Indonesia has now refunded almost all customers booked on flights, it says.
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