Virgin Samoa, the joint venture airline between the Samoa government and Virgin Australia will cease operations come December of this year.
The Samoa Observer reports that Prime Minister Tuilaepa Sailele Malielegaoi has written to Virgin Australia to officially inform him of government’s decision.
In his letter, Tuilaepa is reported to have said, “Cabinet has unanimously decided not to renew the joint venture”.
The letter also acknowledged the airline’s contribution.
The PM wrote to Virgin Australia CEO John Borghetti, “I would like to take this opportunity to thank you for all the excellent work we have undertaken together to date.”
The joint venture airline started flying October 31, 2005 as Polynesian Blue with flights linking Samoa to New Zealand and Australia.
The airline was rebranded in 2011 and became known as Virgin Samoa.
Government owned Polynesian Airlines has reently indicated it was looking at the possibility of revisiting the other international routes of New Zealand, Australia and USA.
In the meantime, if a new airline is not found, Air New Zealand will have a monopoly on the New Zealand and Australia routes after December this year.