Cathay Dragon closes down

Cathay Pacific owned airline closes after 35 years

Cathay Dragon, Cathay’s wholly owned regional subsidiary, has ceased operations. with immediate effect. Cathay Dragon’s routes will most likely be operated by Cathay Pacific and HK Express, a wholly-owned subsidiary.

The closure comes as a direct result of the impact on the Cathay Pacific Group’s finances caused by COVID-19.

The move comes as part of a major restructuring by Cathay Pacific that includes:

  • Reducing approximately 8,500 positions across the entire Group, which accounts for around 24% of its established headcount. 
  • Changing contracts for Cathay Pacific’s Hong Kong-based cabin and cockpit crew to ones with substantially inferior terms to those they currently have.
  • Executive pay cuts and no salary increases for 2021 nor the payment of the annual discretionary bonus for 2020 across the board for all employees.

Cathay Dragon was a full service regional carrier flying mainly to mainland China and other Asian destinations.

Cathay Pacific acquired a stake in the airline in 1990, and then bought it outright in 2006.

It changed the brand name to Cathay Dragon in 2016.

Routes: Cathay Dragon operated to over 40 cities in more than 10 countries in Asia.

Fleet: At close of operation, Cathay Dragon had an all Airbus fleet of over 30 aircraft, comprising:

  • 12 Airbus A320 (all parked)
  • 8 Airbus A321 (1 in operation, 7 parked)
  • 18 Airbus A330 ( 6 in operation, 12 parked)

N.B. Image credit: Cathay Pacific

Internet links

Cathay Pacific (CX)

HK Express (UO)