Struggling Hokkaido International Airlines, better known as Air Do, plans to fly three daily round-trips between Asahikawa, Hokkaido, and Tokyo's Haneda airport as early as July at a cheaper rate than major airlines, company sources said Thursday.
Air Do, now in the process of court-mandated restructuring under civil rehabilitation law, will begin negotiations next week with the Ministry of Land, Infrastructure and Transport, the sources said.
Under its rehabilitation plan, Air Do plans to expand its service, now limited to the Sapporo-Haneda route, to between other airports in Hokkaido and Haneda in or after 2005.
The Hokkaido Prefectural Government and the local business circle have been strongly pressing for the expansion after agreeing to give up all their invested equity stakes and waive their credits.