Vijayawada-based airline Air Costa is on the verge of becoming history after the Directorate General of Civil Aviation (DGCA) under Civil Aviation Ministry suspended its flying license as it did not operate its flight for the last three months. The airline had a 0.8% market share in the Indian domestic airline market as of February 2016.
The license would be suspended permanently if the airline did not begin its service in the next two months. The Airlines management is trying to overcome the financial crisis, which includes getting private equity to restart the services. But things are definitely not easy as said.
Air Costa, which began its operations in 2013, ran services to Jaipur, Ahmedabad, Hyderabad, Tirupati, Chennai, and Bengaluru after obtaining a pan-India license. In the wake of not being able to pay salaries, the employee strength has come down from 750 to 70.
