Funds airline Avelo shutting down West Coast operations

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Avelo Airways, a finances service primarily based in Texas, on Monday mentioned it’s going to shut down its West Coast operations at Hollywood Burbank Airport amid monetary challenges.

Avelo will scale back its operations on the airport to at least one plane till Dec. 2 earlier than closing its Southern California base, which at present serves 13 routes, the airline mentioned.

“We believe the continuation of service from [Burbank] in the current operating environment will not deliver adequate financial returns in a highly competitive backdrop,” the corporate mentioned in a press release.

The airline mentioned it’s going to relocate its West Coast fleet to different areas the place the corporate sees extra “efficient longer-term growth prospects,” whereas additionally bolstering its East Coast operations.

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Avelo Airways introduced it’s going to finish its operations at Hollywood Burbank Airport on account of monetary challenges. (Ernst Peters/The Ledger / USA TODAY NETWORK, File / IMAGN)

Staff in California will probably be given the chance to switch to a different Avelo base, in keeping with the corporate. Avelo at present operates out of a number of hubs on the East Coast, together with airports in North Carolina, Florida, Connecticut and New Hampshire.

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Clients with present flights will have the ability to cancel their journeys on-line and get a refund.

Avelo has confronted backlash over signing a contract with the Trump administration to move migrants to detention facilities inside and outdoors the U.S.

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An airline spokesperson mentioned the protests and its contract with the Division of Homeland Safety didn’t have any impact on its choice to shut the bottom and haven’t impacted its enterprise.

Reuters contributed to this report.