Jakarta, CNBC Indonesia – AirAsia Japan aka AirAsia Japan Co Ltd (AAJ) goes bankrupt. This airline filed for bankruptcy at the Tokyo District Court, Japan, Tuesday (11/17/2020).
This is a follow-up to the airline’s announcement last October that the company’s operations were suspended. The decline in demand due to the Covid-19 pandemic is the cause.
Reporting from Japan Today, AirAsia Japan announced a loss with a total liability of 21.7 billion yen (IDR 2.9 trillion). This loss made the airline the first to go out of business during the pandemic in Japan.
Tamotsu Ueno, a court-appointed lawyer handling the company’s protection from creditors, said at a press conference the company was unlikely to return the 23,000 tickets that passengers bought. The ticket value is around 520 billion yen (Rp. 70 billion).
Therefore, prospective passengers who have purchased tickets will be transferred to another flight. Ueno also said AirAsia Japan would ask shareholders, including e-commerce firm Rakuten Inc, which holds an 18% stake, to help with the remaining refund.
Previously, AirAsia Japan also stopped operating in 2013. However, it re-entered in 2017 after Rakuten Inc injected fresh funds for the low-cost airline’s operations.
In times of pandemic, the companygrounded fleet in April. Then reopen the service in August.
The Covid-19 pandemic has rolled low-cost airlines into bankruptcy. This is due to the focus of low-cost airlines on serving travelers and tourists.
Movements of companies stop during the pandemic. Some time ago British airline EasyJet also announced a loss.
(Head / head)
– .
