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Cathay Pacific is to retire the Cathay Dragon brand. The airline has also announced 8,500 jobs will be cut as a cost saving measure.
Cathay Dragon was founded in 1985 as Dragonair. The airline flew on regional routes from Hong Kong. In the 1990s, Cathay Pacific became a shareholder of Dragonair and in 2006 the company was completely acquired by Cathay Pacific. In 2016, Dragonair’s name was changed to Cathay Dragron.
In addition to the travel restrictions that currently apply, Cathay Dragon has long been troubled by the protests in Hong Kong, which is deterring travelers. The company also faced competition from Chinese high-speed trains.
Cathay Dragon’s routes are taken over by both HK Express Airways, another Cathay Pacific subsidiary, and Cathay Pacific itself. Cathay Pacific does not operate narrow-body aircraft, leaving routes with less demand to HK Express.
Cathay Pacific has announced it will cut 8,500 jobs. Some of these jobs are vacant positions, which have arisen because the airline has not been hiring new employees for some time. In total, about a quarter of the company’s personnel will be let go.
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