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Wow Air plane at the Pittsburgh International Airporton Friday, June 16, 2017, in Moon.
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Wow Air says it is laying off employees, cutting airplanes

Haley Nelson/Post-Gazette

Wow Air says it is laying off employees, cutting airplanes

Discount carrier Wow Air is cutting employees and airplanes, moves that could further jeopardize its service from Pittsburgh International Airport.

In a statement released Thursday, Wow outlined changes that included the layoff of 111 employees and reduction in its single aisle Airbus jets from 20 to 11.

With the changes, Wow plans to implement a new flight schedule in mid-January. The airline will contact passengers about those changes.

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That could mean trouble for Wow’s service to Iceland from Pittsburgh, which currently operates four days a week.

Wow Air suspended flights from Pittsburgh Jan. 11, and airport officials are not expecting it back any time soon.
Mark Belko
Allegheny County Airport Authority wants partial subsidies back from Wow Air

Travelers have been unable to book the flight beyond mid-January. One traveler who had a mid-January flight from Pittsburgh told the Post-Gazette Thursday that he has been notified that it had been canceled, with no rebooking options.

A Wow spokesman said he had no information beyond the statement released by the airline.

Wow started the service from the airport in June 2017 backed by $800,000 in subsidies over two years. At the time, the flight was considered a major coup for the airport.

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But in recent months, Iceland-based Wow has struggled financially. Thursday’s moves come after it was announced that Indigo Partners, which owns Frontier Airlines and has investments in other discount carriers, had reached an agreement to invest in Wow after Icelandair backed out of a deal to buy it.

At the time, Christina Cassotis, CEO of the Allegheny County Airport Authority, which operates Pittsburgh International, considered Indigo’s involvement a good sign.

She said last week that while Wow had suspended ticket sales it had not canceled the Pittsburgh service.

“We haven’t been informed of any final decisions by the carrier,” authority spokesman Bob Kerlik said.

In its statement, Wow also said it was in negotiations with its lessors to return some of its aircraft including all Airbus A330s. In addition, the airline stated four Airbus A321s were being sold in a transaction aimed at improving its liquidity by more than $10 million. 

It also said contractors and short-term staff “will not be renewed for the time being.”

“This is the most difficult day in the history of Wow Air. We have dedicated people who have worked hard to make Wow Air a reality and it breaks my heart to downsize the company. However, in order to ensure our future and preserve Wow Air in the long run, we unfortunately must take these drastic measures,” stated Skuli Mogensen, the carrier’s CEO and founder.

Mark Belko: mbelko@post-gazette.com or 412-263-1262.

First Published: December 13, 2018, 6:34 p.m.

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Wow Air plane at the Pittsburgh International Airporton Friday, June 16, 2017, in Moon.  (Haley Nelson/Post-Gazette)
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