: Classifieds : MyJU :
Stories: News
Browse News Stories: « Previous Story | Next Story »

Lequios Airline to stay on ground for good, fires staff

Date Posted: 2003-04-05

Troubled Lequios Airline is not going to operate, confirming it has fired its entire staff and closed offices in Tokyo and Naha City. The Okinawa airline has confirmed that it is unable to get its operations off the ground as it fired its entire staff of 100 on Monday. The airline also closed its two offices in Naha City and Tokyo.

Signs the venture was in serious trouble appeared several weeks ago when it surfaced that the leasing company contracted to supply Lequios with an airliner had cancelled the contract at the beginning of March. According to published reports, Lequios had not been able to make lease payments on the agreed schedule.

The Okinawan-owned independent airline had scheduled its maiden trip between Naha and Tokyo in June. Its management had envisioned offering tickets between the two cities at about one third cheaper price than its established rivals.

The company has had serious trouble raising capital, and reportedly garnered only about one billion yen of the 7.8 billion needed to get started.

Lequios Airlines started about 10 years ago as Southern Cross Co., and later changed its name to Lequios Airlines. More than 200,000 people, mainly from Okinawa, invested in the company stock. The company opened an office in Naha five years ago with a staff of 40. As late as in January, the company hired 66 more people, including pilots and hostesses.

When the staff learned about the lease contract cancellation, management reportedly assured them the company was still on track and was only looking for a leasing company that would offer an airliner on more favorable terms.

Many of the staff came from outside Okinawa, and had reportedly rented apartments waiting without pay to sign formal employment contracts with the company. Instead, they received a letter on Monday informing them that the company will cease to exist.

Browse News Stories: « Previous Story | Next Story »

weather currency health and beauty restaurants Yellowpages JU Blog

JU FacebookOkistyleOkistyle

Go to advertising PDF?||?|o?L?qAE?|?}?OA?N?ga`OkiStyle?A??q?qM?oeu^?I`??N?gX?<eth>?<ETH>?ni^?IWanted!!Golden Kings ScheduleOkiNightSeeker