Slovak airline AirExplore and Spanish charter carrier AlbaStar suspended operations on November 10, 2026, as rising fuel costs, financial losses and weaker demand placed further pressure on smaller European airlines.
AirExplore, based in Bratislava and owned by Avia Solutions Group (ASG), confirmed it had ceased flying and requested the surrender of its Air Operator Certificate (AOC). The decision followed mounting losses in its cargo business and difficulties securing contracts for the winter season.
- AirExplore ceased operations on November 10, 2026, and applied to surrender its Air Operator Certificate after reporting a €22.4 mn net loss in 2025 and continued losses in cargo operations.
- AlbaStar temporarily suspended commercial flights, citing debt accumulated since COVID-19, higher fuel prices and geopolitical tensions, while pursuing discussions with potential investors.
- AirExplore’s parent, Avia Solutions Group, disclosed €25.5 mn in cargo losses since January 2025 and alleged unauthorized transfers of €3.3 mn, with less than 10% recovered.
Majorca-based AlbaStar described its suspension as temporary and said it was holding discussions with potential investors. Both carriers have been affected by challenging market conditions, although their financial circumstances differ.
Why did AirExplore cease operations?
AirExplore’s closure follows several years of financial deterioration. The airline reportedly recorded a €22.4 mn net loss in 2025, compared with approximately €12 mn in 2024, despite generating annual revenue of around €109 mn.
In a November 11 statement, Avia Solutions Group said deteriorating cargo market conditions and the effects of the conflict in the Gulf had increased operating costs and weakened the airline’s commercial position.
Higher fuel prices, uncertainty across the aviation market and difficulties obtaining winter contracts had left the company without a sustainable operating model. “Cargo operations have recorded a loss of €25.5 mn since January 2025, adding to the company’s financial challenges,” ASG said.
The company also disclosed alleged financial irregularities that had further damaged AirExplore’s finances.
According to ASG, the airline suffered losses following unauthorized transfers totaling €3.3 mn in late 2025. The group alleged that AirExplore’s former chief financial officer transferred the funds to overseas bank accounts belonging to companies unknown to the airline.
ASG said the transactions were reported to Slovak police after they were discovered. Lithuanian authorities are assisting with the investigation because the aviation group is headquartered in Lithuania.
Less than 10% of the transferred funds had been recovered at the time of the statement.
AirExplore reduces Boeing 737 fleet before closure
AirExplore had already substantially reduced its aircraft operations before announcing the shutdown.
At the end of 2025, the company operated eight passenger aircraft and three Boeing 737-800 freighters. By the time it ceased flying, ASG said only one passenger aircraft remained operational.
Fleet tracking reports separately indicated that three Boeing 737-800 aircraft remained associated with the airline and had been placed into storage.
As part of its efforts to reduce costs, AirExplore reportedly returned two Boeing 737-800 aircraft to lessors ahead of their lease expiration and sold another aircraft. The airline also withdrew two cargo aircraft as weak freight demand and high operating costs reduced the viability of its cargo operations.
ASG said all scheduled flight programs had been completed and agreements had been reached with most aircraft lessors. “All flight programs have been completed in full, and mutual agreements have been reached with the majority of lessors regarding the aircraft,” the group stated.
An AirExplore spokesperson described the shutdown as an extremely difficult decision, citing cargo market weakness, winter contract shortages and substantial financial losses.
The company confirmed that October salaries under employment contracts, together with associated social security contributions and taxes, had been paid in full. Other creditor claims will be addressed under applicable law.
Avia Solutions Group restructuring fails to prevent shutdown
AirExplore was established in 2008 and began providing aircraft, crew, maintenance and insurance (ACMI) services in 2010 using a Boeing 737-400.
The airline subsequently expanded its fleet with Boeing 737-800 aircraft, developed partnerships with European carriers and entered the air cargo market using converted Boeing 737 freighters.
Avia Solutions Group acquired AirExplore in June 2023 as part of its international expansion in ACMI aviation services.
In February 2026, ASG announced plans to combine AirExplore’s management and administrative operations with those of another subsidiary, KlasJet.
The arrangement was intended to preserve separate operating identities, with AirExplore concentrating on ACMI services and KlasJet continuing to provide VIP and private charter flights.
The restructuring did not prevent AirExplore’s financial deterioration. Its closure followed reductions in fleet capacity throughout 2026 and continued losses in cargo operations.
ASG continues to operate other aviation businesses, including KlasJet and Avion Express.
The group also maintains an agreement covering 40 Boeing 737 MAX aircraft, with deliveries scheduled to begin in 2030. AirExplore’s closure does not automatically affect the parent company’s aircraft order.
AlbaStar suspends flights amid debt and higher fuel costs
Spanish charter airline AlbaStar also suspended commercial operations on November 10, citing financial pressures that had intensified since the COVID-19 pandemic.
According to Spanish aviation publication Preferente.com, AlbaStar CEO Oriol Fernandez informed employees that the airline would temporarily stop flying because of its financial position.
The company attributed the decision to substantial debt accumulated during the pandemic, compounded by higher fuel costs and geopolitical tensions over the preceding year.
AlbaStar said it was conducting discussions with potential investors, leaving open the possibility of resuming operations.
Unlike AirExplore, which requested the surrender of its AOC, AlbaStar characterized its decision as a temporary suspension rather than a permanent withdrawal from commercial aviation.
The simultaneous announcements illustrate the financial pressures facing smaller airlines that depend on charter demand, ACMI contracts and access to affordable aircraft and fuel.
European airline closures increase amid financial pressure
AirExplore’s shutdown follows several other airline closures and suspensions involving companies previously associated with Avia Solutions Group.
Icelandic cargo carrier Bluebird Nordic ceased operations on April 30, 2024, after struggling with excess capacity and weakening air freight demand.
ASG had acquired the airline in 2020. Following its closure, Bluebird Nordic surrendered its operating certificate and returned aircraft to lessors.
SmartLynx Airlines Latvia stopped commercial operations in November 2025. The Latvian ACMI carrier had been sold by ASG to Dutch investment vehicle Stichting Break Point Distressed Assets Management in October 2025, before it ceased flying.
SmartLynx was therefore no longer owned by ASG when its operations ended. The group’s former UK subsidiary Ascend Airways also ceased operations in April 2026.
ASG had entered the UK market through its acquisition of Synergy Aviation in July 2023. Ascend Airways began commercial operations in April 2024 but announced on April 28, 2026, that it would surrender its UK AOC and stop flying.
Other European carriers have faced similar financial difficulties.
Romanian airline AnimaWings suspended services on October 2, 2026, and subsequently extended the interruption through December 31. Another Romanian operator, Dan Air, filed for insolvency proceedings on October 22 but said it intended to maintain flight operations.
