Qantas is closed Jetstar Asia more than two decades after the budget airline was launched Singapore.
The announcement of the ASX on Wednesday comes when Jetstar Asia is struggling with increasing costs and competition in the region.
Qantas will divert the 13 Jetstar Asia Airbus A320 planes to routes in Australia and New -Zeeland. About 500 jobs can be from the airline established in Singapore.
The move will also free up $ 500 million to invest in fleet renewal plans.
Qantas Group CEO Vanessa Hudson said that the supplier costs of Jetstar Asia had risen by ‘to 200 percent’.
“We are currently keeping the most ambitious fleet renewal program in our history, with nearly 200 sturdy aircraft orders and hundreds of millions of dollars investing in our existing fleet,” MS Hudson added.
Jetstar Asia will stop working on July 31 and will continue the flights for the next seven weeks.
Jetstar Japan will not be influenced.
Qantas will close Jetstar Asia for more than two decades after the budget airline has been launched in Singapore
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