All Nippon Airways (ANA) last week applied to the Ministry of Transport in Japan for approval to start a new international airline - Air Japan.

Air Japan will be operated under the framework and operating license of the now-dormant World Air Network (WAC), and, subject to government approval, will begin daily scheduled service January 1, 2001, between Osaka (Kansai International Airport) and Seoul, using a 216-seat Boeing 767-300ER, leased from ANA.

Air Japan will remain under the ANA corporate umbrella. ANA will handle maintenance and sales for the new airline, in addition to codesharing on Air Japan flights, which will be operated under the Air Japan code.

"Under our Medium-term Corporate Plan, covering the four-year period ending March 2003, we are reorganizing ANA's international route network to boost profitability. Air Japan is part of our overall international route network strategy," said ANA president and CEO Kichisaburo Nomura.

"By gradually transferring to Air Japan selected short and medium-haul routes currently operated by ANA, and by reorganizing ANA's international route network at our Narita and Kansai hubs, we will be able to improve network efficiency, profitability, and connectivity. This will result in a more competitive and flexible ANA Group in which the different airlines can meet specific network needs,'' Nomura said.

Air Japan will provide scheduled service to destinations in Asia and resort destinations, including service on routes such as Osaka-Guam and Osaka-Honolulu.

After the opening of Narita's second runway in 2002, the airline plans to further expand operations to include routes from Tokyo.