Despite a slew of denials issued earlier this week, V air (Taipei Taoyuan) has now confirmed it will suspend all operations effective October 1.
In a statement, the LCC said following that date, it will be merged back into its parent TransAsia Airways (Taipei Sung Shan). Until then, barring any unforeseen circumstances, it will continue to operate all scheduled flights.
Passengers who are already booked on flights to Osaka Kansai and Okinawa Naha after October 1 will now be transferred to TransAsia Airways while those travelling to Chiang Mai and Fukuoka will have to wait until TransAsia has secured the relevant traffic rights, due by the end of the month.
V Air currently operates two A320-200s (with a third inbound) and two A321-200s on flights to ten destinations across Japan, Thailand, and South Korea.
Local media reports pointed to the possible closing down of both V Air and Tigerair Taiwan (IT, Taipei Taoyuan) last week after undisclosed sources in the Taiwanese Civil Aviation Administration (TwCAA) revealed that in the less than two years the LCCs had been operational, they had incurred total losses of TWD1 billion (USD31.55 million) equivalent of half of each carrier's paid-in capital.
According to the Central News Agency China Airlines (CI, Taipei Taoyuan) is reportedly considering recapitalizing its Tigerair brand or either closing it down completely or bringing it under its Mandarin Airlines (AE, Taichung Ching Chuan Kang) unit.
Both LCCs have struggled to gain traction in the face of stiff international competition.
