Regional carrier Air Costa has cancelled all its flights for today due to "aircraft issues", days after another regional player Air Pegasus suspended indefinitely its services due to severe fund crunch.
"We have suspended all our 24 flights for today due to the ongoing negotiations with our aircraft lessors," an airline official told PTI.
The services are expected to resume tomorrow, he said.
The Vijaywada-based regional airline has been operating 24 to 32 flights per day across nine destinations for the last couple of months.
The airline currently has three 112-seater Embrarer E-190 aircraft in its fleet. It flies mainly on southern routes, including Bengaluru, Hyderabad, Chennai, Tirupati and Coimbatore.
It has applied for a pan-India air operator permit, which is currently under the consideration of aviation regulator DGCA.
The Bangalore-based Air Pegasus has also not been operating since July 27 after its lessors took back possession of the three aircraft due to non-payment of rent by the airline.
Air Pegasus lessors have already approached Directorate General of Civil Aviation (DGCA), asking it to de-register the three planes loaned to the airline.
