Editing Icelandair (section)

=== Post-merger Icelandair ===
[[File:Icelandair Douglas DC-8 Luxembourg - 7 August 1983.jpg|thumb|A pair of Icelandair [[Douglas DC-8]]s at [[Luxembourg - Findel Airport|Luxembourg-Findel Airport]] in 1983]]
[[File:Boeing 727-185C, Icelandair AN1937278.jpg|thumb|right|A [[Boeing 727]] of Icelandair approaches [[London Heathrow Airport]] in 1983.]]

In 1980, the Icelandic government provided a loan to Icelandair due to the company's bad financial situation.<ref name=":0" />

[[File:Icelandair Boeing 737-400 Aragao.jpg|thumb|An Icelandair [[Boeing 737 Classic|Boeing 737-400]] at [[Faro Airport]] in 1992]]

The aircraft fleet of Icelandair remained mainly unchanged until the [[Boeing 757|Boeing 757-200]] became the new backbone for transatlantic flights during the 1990s. The domestic Fokker F27s were replaced by [[Fokker 50]]s and Boeing 737s deployed on European routes. The European hub at [[Luxembourg Findel Airport|Luxembourg Airport]] had been taken over from Loftleiðir. Passenger count topped one million in 1997<ref>{{Cite news|url=http://icelandreview.com/news/2015/07/31/rapid-growth-icelandic-aviation-sector|title=Rapid Growth in Icelandic Aviation Sector|last=Elliott|first=Alëx|date=2015-07-31|work=Iceland Review|access-date=2017-05-05|language=en}}</ref> as the company's business grew on a reputation as a "backpacker airline", similar to Loftleiðir, which had been referred to as "Hippie Airline" since the late 1960s. In the same year, it was begun to dismantle the Luxembourg hub in favour of today's decentralized European network, linking the largest cities non-stop to Reykjavík,<ref>{{cite web|url=http://www.mbl.is/mm/gagnasafn/grein.html?grein_id=414893 |title=1.578 milljóna króna tap á fyrri árshelmingi |publisher=Mbl.is |date=21 August 1998 |access-date=7 October 2012}}</ref> closing it down altogether by 1999.<ref>{{Cite web|url=http://luxembourgensia.blogspot.com/2013/01/9-january-1999-icelandair-last-flight.html|title=9 January 1999: Icelandair Last Flight.|access-date=2017-05-05}}</ref>

In 1997 the domestic operations of Icelandair, part of which had previously been operated under the 'Flugfélag Nordurlands' branding, were combined with a small airline Nordurflug to form the [[Air Iceland Connect|Air Iceland (Icelandic: ''Flugfélag Íslands'')]] subsidiary,<ref>{{cite web|url=http://www.mbl.is/mm/gagnasafn/grein.html?grein_id=313552 |title=Innanlandsflug Flugleiða verður sameinað Flugfélagi Norðurlands undir nafninu |publisher=Mbl.is |access-date=7 October 2012}}</ref> allowing mainline Icelandair to fully concentrate on international flights since then. On 20 November 1999, a new aircraft livery was introduced, as part of an image campaign designed to retire Icelandair's "backpacker" label in favour of an emphasis on business travel. In 2001, the Icelandair hub was moved to [[Keflavík International Airport]]. As Icelandair particularly focuses on flights to North America, the company was significantly affected by the [[Operation Yellow Ribbon|airspace closure]] following the [[September 11 attacks]] in the same year.

The Flugleiðir holding was reorganized as [[Icelandair Group]] (for aviation business) and [[Stodir|FL Group]] (for non-aviation finance and investment business) between 2002 and 2005, with Icelandair becoming the largest and most important of eleven subsidiaries. The [[aircraft lease|wet-lease]] and charter department, which was founded in 2003, was named ''Loftleiðir Icelandic'', thus re-introducing a familiar name.<ref>{{cite web|url=http://www.loftleidir.com/ |title=A reliable long term partner |website=Loftleidir.com |access-date=7 October 2012}}</ref>