PLAY Airlines Launches New Malta-Based Subsidiary PLAY Europe

Icelandic low-cost airline PLAY has announced the launch of its new Malta-based subsidiary, PLAY Europe, following the receipt of its Air Operator’s Certificate (AOC) from the Maltese Civil Aviation Directorate on March 28, 2025. The announcement was made during a special event at the new subsidiary’s headquarters in Malta.

The establishment of PLAY Europe comes as part of PLAY Airlines’ broader strategy to make significant changes to its operating model and route network. This decision followed the airline’s disclosure that its projected earnings for 2024 were below market expectations, prompting the need for restructuring to ensure the company’s long-term viability.

PLAY Europe will focus on operating wet-lease arrangements, also known as ACMI (aircraft, crew, maintenance, insurance) deals, a first for the airline. In these arrangements, PLAY Europe will operate aircraft on behalf of other airlines, with the aircraft typically adopting the external livery of the customer airline, although this is not always the case, depending on the length of the lease. This move allows PLAY Europe to enter the wet-lease sector in Europe for the first time.

The Iceland-based parent airline, which currently operates a fleet of ten Airbus aircraft, including six A320neos and four A321neos, will transfer three aircraft to the new subsidiary. These aircraft, already contracted by PLAY Malta, will operate on behalf of a major airline in Eastern Europe, though the identity of the customer remains undisclosed. The three aircraft will operate exclusively outside of Iceland and will not be part of PLAY’s scheduled services.

PLAY Europe will hire pilots and senior cabin crew who will be based in the country where the wet-lease customer operates. The first aircraft registered under the Maltese AOC is one of the parent company’s existing A321neos, which was previously registered in Iceland as TF-AEW and is now listed under the Maltese registration 9H-PEA.

“This is an important step for us,” said Einar Örn Ólafsson, CEO of PLAY Airlines. “These leasing projects will generate profitability for PLAY, aligning with our previous projections and creating more predictable and stable operations. The successful receipt of the Maltese AOC ahead of schedule is the result of tireless work by our team, and we are extremely proud of this milestone.”

Charles Pace, Director General of the Civil Aviation Directorate of Malta, expressed his excitement about the new addition to Malta’s aviation sector, praising both the PLAY team and the Civil Aviation Directorate inspectors for their diligent work to achieve the milestone.

Meanwhile, PLAY Airlines continues to operate as an Icelandic-based low-cost carrier, with its main fleet based at Keflavík Airport (KEF) near Reykjavik. Although it has recently dropped services from Iceland to Toronto and Washington DC, it still operates flights to New York, Boston, and Baltimore.

The changes at PLAY Airlines reflect the carrier’s shift away from primarily connecting passengers between Europe and North America. In 2024, the airline has focused on expanding its point-to-point leisure routes between Iceland and Southern Europe, which has proven to be a more profitable market. The airline’s refocused strategy comes after disappointing results from its hub-and-spoke operations across the Atlantic, as other carriers increased capacity on key routes.

Related News : https://suspicious-zhukovsky.67-21-117-18.plesk.page/?s=PLAY+Airlines