Iceland's Fly Play ceases operations, 400 jobs lost

Icelandic low-cost carrier Fly Play hf. announced on Monday that it has ceased operations with immediate effect, grounding all flights and cancelling services from its base at Keflavik Airport and other airports it served. The sudden shutdown leaves thousands of passengers facing disrupted travel plans and an estimated 400 employees without jobs, the airline said in a statement issued on Monday.

Fly Play said in the announcement that "Fly PLAY hf. has ceased operations, and all flights have been cancelled" and advised customers to seek alternative carriers, noting that some airlines may offer special rescue fares. The company also advised passengers who paid by card to contact their card issuer about refunds and urged travellers with package bookings in the European Economic Area to contact their travel agents for assistance. The airline pointed customers to the websites icetra.is and kefairport.com for further guidance.

The UK Civil Aviation Authority confirmed that all flights operated by Fly Play from Stansted and Liverpool are cancelled and advised customers not to travel to the airport. Andrew McConnell, a CAA spokesperson, said on Monday evening that "it is always...