Hawaii interisland airline Island Air, which tech billionaire Larry Ellison recently sold to local investors, will scrap flights to Lanai at the end of this month.
The island of Lanai is majority owned by Ellison.
"It was a difficult decision. However, as Island Air continues to restructure, we are taking a hard look at all of the destinations we serve and where our resources are best deployed," Les Murashige, new CEO of Island Air said in a statement.
Lanai-based Island Air staff will be offered employment elsewhere in the company and customers with confirmed bookings from April will be offered a full refund.
"We appreciate and thank all of our employees who have provided impeccable service and our customers who have supported Island Air over the years," Murashige said.
Island Air’s pullout leaves Ohana by Hawaiian as the only scheduled carrier serving Lanai.
"I have spoken with representatives from Island Air and I understand their business concerns and their need to run a profitable business. I hope that the one remaining airline, Ohana by Hawaiian, will step up and offer more flights in and out of Lanai and use this as an opportunity to expand services for the Lanai community and its visitors," said local Rep. Lynn DeCoite.
