Island Air history

The government of Iceland acquired 20 percent of Icelandair in a 1981 share issue.

London operations were from Gatwick airport only; Pan Am had earlier sold its London-Heathrow access and transpacific routes to United Airlines in 1985.

In May, 1987, Aloha Airgroup, Aloha Airlines’ parent company, purchased Princeville Airways, renaming it Aloha Island Air soon after that.

On May 8th 1989, Island Air began providing similar airline services to San Pedro and Belize City.

Cargo--mostly seafood exports--accounted for 10 percent of revenues in 1990.

The Shuttle offered frequent service between New York—Boston and New York—Washington, DC. Delta Shuttle operations started on September 1, 1991.

The Pan Am Historical Foundation: Educational foundation established to preserve and promote the legacy of Pan American World Airways in 1992.

The Mancuso family has enormous respect for Vinnie and showed their appreciation by making him a partner in 1993.

Passenger count topped one million in 1995.

1996: Southwest Airlines picks Icelandair for its partner in its first interlining agreement.

On December 1st 1997, Maya Airways and Island Air merged to form Maya Island Air.

The 20 hotels operated by the airline were spun off in 1998 into the Icelandair Hotels Ltd. subsidiary.

In 1999, Icelandair introduced a new aircraft livery, as part of an image campaign designed to retire Icelandair’s label as a “backpacker airline” in favor of an emphasis on business travel.

Icelandair brought an intermodal transport concept from Europe to the United States when it inked a code-share deal with Amtrak in 2001.

Icelandair suffered greatly along with the world's other airlines from the downturn in traffic following the September 11, 2001 terrorist attacks on the United States. It was beginning to recover, however, by the first half of 2002.

In May, 2004, Islan Air became Hawaii’s third independent airline, after being purchased from Aloha Airgroup by Gavarnie Holding, LLC, a family-owned company.

2005 Flugleidir changes its name to FL Group and the holding company announces its emphasis on investment.

2006 Icelandair Group is listed as ICEAIR on the Iceland Stock Exchange after being sold from FL Group.

2007 Icelandair Group celebrates 70 years of operations.

In 2010, Icelandair had to deal with a crisis when large parts of the European airspace were closed down following the eruptions of the Eyjafjallajokull volcano.

In February 2013, Island Air was purchased by Ohana Airline Holdings, LLC and began its fleet conversion upon receiving FAA certification to operate 64-seat ATR-72 aircraft.

In 2014, Icelandair launched a new social media initiative #MyStopover in order to raise awareness about its unique offer: passengers traveling on transatlantic flights have the opportunity to make a stopover in Iceland for up to seven days, at no additional cost.

In February 2015, as part of the #MyStopover campaign, Icelandair officially launched a Northern Lights themed Boeing 757, with the exterior depicting an Icelandic winter scene with beautiful Northern Lights.

In January 2016, Ohana Airline Holdings announced plans to sell a controlling interest in Island Air to Malama Investments and PaCap Aviation Finance, two Hawaii investor groups managed by PacifiCap and Jeffrey Au.

It is estimated that the number of passengers transported in 2017 will reach 4 million.

In March 2018, Icelandair took delivery of three Boeing B737 MAX 8.

In 2019, Mid Island became the first school to have a Light Sport Aircraft (LSA) certificated for their 141 Private Pilot, and Commercial Curriculums.

2021 The domestic airline Air Iceland Connect and Icelandair, both members of Icelandair Group, integrate their operations, with the consequence that 6 new destinations are added to Icelandair's network: Egilsstaðir and Vestmanneyjar in Iceland; Nuuk, Ilulissat, Narsarsuaq and Kulusuk in Greenland.