Loftleiðir Loftleiðir (the name being a compound of the Icelandic words for "air" and "way") was founded on 10 March 1944, by
Alfreð Elíasson and two other young Icelandic pilots who had just returned from flight training in
Canada. The first revenue flight (from Reykjavík to
Ísafjörður) took place on 6 April of that year. During the initial years, only domestic routes out of Reykjavík Airport were operated using airplanes of the types
Douglas DC-3,
Consolidated PBY Catalina,
Stinson Reliant,
Grumman Goose, The first international flight (from Reykjavík to
Copenhagen) using a
Douglas DC-4 took place on 17 June 1947, the
Icelandic National Day. Loftleiðir had expected to take delivery of the DC-4 already in 1946 (the first Icelandic airline to operate an airliner of that size and range), but the delivery was delayed because of the bankruptcy of the interior outfitter. In 1949 and 1950, the DC-4s were
leased to U.S. carrier
Seaboard & Western Airlines because of the difficult financial situation Loftleiðir was in during that period. Typical routings at that time were from New York via Reykjavík to
Hamburg or
Luxembourg, with intermediate stops at
Oslo,
Copenhagen,
Bergen,
Stavanger or
Gothenburg. From 1955 onwards,
Luxembourg-Findel Airport was the European starting point for most of Loftleiðir's transatlantic flights. With the introduction of the
Douglas DC-6 into the fleet in 1959, the DC-4s were gradually phased out. In 1964, Loftleiðir started operating its first
Canadair CL-44D-4, and two years later the first of its four CL-44Js, a variant of the CL-44D4 stretched on request by
Canadair. Loftleiðir was the only passenger operator of the turboprop, which was used as a cargo plane by other airlines. It was the largest passenger aircraft flying over the Atlantic Ocean at that time, carrying up to 189 passengers. Loftleiðir marketed the CL-44J under the name "Rolls-Royce 400 PropJet". This led to the confusion that the CL-44J is sometimes referred to as the Canadair-400. At that time, the company had 1,000 employees. In 1969, the company acquired International Air Bahama, a small airline operating
Boeing 707 jets out of the
Bahamas, and a year later, Loftleiðir became one of the founders of
Cargolux, a thriving cargo airline. Also in 1970, Loftleiðir entered the jet age with its first two stretched
Douglas DC-8-63 "Super DC-8" jetliners. In 1971, the company started flying between Iceland and Scandinavia with the slightly smaller DC-8-55. The growing competition from Flugfélag Íslands and the economic pressure during the
1970s energy crisis led to the merger of the two airlines in 1973 into one holding company, which was called
Flugleiðir. In 1979, Flugfélag Íslands and Loftleiðir merged into a new airline, also called Flugleiðir, which later became known as
Icelandair. The Loftleiðir branding re-emerged in 2003, when the newly created
wet-lease and charter subsidiary of
Icelandair Group was named
Loftleiðir Icelandic. ==Pioneering low-cost flights==