A CASH-STRAPPED airline has scrapped almost 300 flights to and from Southend Airport.
Bosses at Aer Arann say they cannot afford to run the twice-daily service between Southend and Galway, Ireland, this winter.
The decision means all passengers expecting to fly to the Irish city between between October 31 and April 1 will instead be handed a refund and an apology.
Paul Schutz, the airline’s chief executive, said: “We sincerely regret having to make this decision and we particularly regret the impact this will have on our customers.
“The reality, however, is that we are not yet a year out of examinership and not in a position to continue to operate routes that are not commercially viable.”
It is not yet clear whether the airline will resume flights on April 1, but Mr Schutz said he was hopeful.
He added: “We are doing what is best for business at this time and we can work on the potential for a resumption of services in 2012.”
Aer Arann became the first airline to ally itself with Southend Airport’s multi-million pound expansion plans earlier this year.
It started operating the routes to Galway and Waterford in March, announcing ambitions to cater for up to 300,000 passengers a year.
However, the airline was already in financial strife after being put into examinership – an Irish law which allows firms to trade their way out of trouble – in August 2010.
It had racked up losses of 6million euros in seven months and was in danger of running out of cash when Stobart Air, which owns Southend Airport, stepped in to bail it out last October.
The company invested an unknown amount in Aer Arann and announced plans to bring flights to Southend shortly afterwards.
The sudden cancellations are the first set-back to rock the airport since it started its expansion project.
Bosses had been enjoying a bumper period of success with the announcement of a ten-year deal with easyJet this summer.
Alastair Welch, the airport’s managing director, declined to comment on the matter.
