Primera Air Collapses, Ceases Operations

Danish leisure airline Primera Air has ceased all operations, stranding passengers after it failed to secure emergency funding.

A message on the budget airline’s website announced the suspension and expressed thanks for its customers’ loyalty, saying “On this sad day we are saying Goodbye to all of you.”

The announcement that operations were stopping happened while some flights were in the air and passengers waited to board others. An estimated 60,000 people have been affected by the collapse, including flight crews who have also been stranded.

Primera Air and its Latvia-based sister airline PrimeraAir Nordic, which has also ceased operations, are subsidiaries of Denmark’s Primera Travel Group.

“This is a sad day for all the employees and passengers of Primera Air. The company has been working relentlessly during the last months to secure the long-term financing of the airline,” Primera said.

“Not being able to reach an agreement with our bank for a bridge financing, we had no other choice than filing for bankruptcy.”

Primera blamed several unforeseen events for its collapse including the withdrawal of an aircraft due to corrosion, with cost implications of EUR€10 million (USD$11.5 million).

Delivery delays to the airline’s order of Airbus A321neos “ended up being rocky and incredibly problematic,” causing revenue losses and additional leasing costs of over €20 million.

Primera said it had decided to cease operations now because it would have a smaller effect on customers.

“This is an enormous disappointment after the incredible hard work and dedication put into building the airline. The company wants to sincerely thank all its employees for their hard work and dedication, its clients for years of loyal support and its suppliers for their cooperation during the years.”

According to it website, Primera Air operated 10 Boeing 737s on European routes and five Airbus A321neos on its transatlantic services. It carried over 400,000 passengers until its entry into administration.