The local agent here said their passengers scheduled to head back to or leave Palau will be flown by Continental Airlines.
In a statement, Pacific Flier said it has not been able to secure traffic rights for its scheduled flights since it began regular charter flights in April.
It said it has also undergone an ownership change.
Pacific Flier will change its aircraft which has been leased from Portuguese airline Hi Fly.
Pacific Flier admitted that it “launched operations prematurely” and that it is “foolhardy to continue to operate on parameters now proven to be inappropriate.”
The statement added, “The launch was done at the time to meet the requirements of major potential tuna shippers and alleged confirmed rights to Asia. History will show that the necessary traffic rights were not forthcoming nor were the perishable shipments.”
Pacific Flier said the “difficulties in securing traffic rights led to substantial trading losses.”
The airline was operating regular charter flights between Palau, Brisbane, Guam and Clark Airport, north of Manila in the Philippines.
Pacific Flier said it will continue to pursue applications with U.S. and Philippine authorities for scheduled traffic rights.
“A complete review of the schedule, timetable and route structure is currently being carried out,” Pacific Flier said.
It is now majority-owned by Australian Grant Vickers, the airline’s executive chairman and president.
Previously, Pacific Flier was owned by Vickers, Australian Reginald Free and New Zealander Rex Banks.
It was learned that Banks who was listed then as CEO of the airline had left Pacific Flier.
The carrier, which had been in service for four months, cancelled all its flights last week “until further notice.”
The date of the re-launch is unknown.
The airline operated an Airbus A310-300 and had an operational base in Australia.
