Air Costa extends cancellations till May 31

Air Costa had to halt operations after it failed to pay lease amount to GE Capital Aviation Services

Vijayawada-based regional airliner Air Costa, which grounded its services a fortnight ago, has started cancelling tickets booked until May 31 in a clear indication that the company is not in a position to resume the operations any time soon.

Air Costa had to halt the operations on February 28 after it failed to pay three months’ lease amount to GE Capital Aviation Services — a unit of GE Capital, from which it has leased two Embraer (EMB-190) aircraft. The company first said it has suspended the flight services only for a few days but started extending the status quo indefinitely