Avelo Airlines
| Company type | Private |
|---|---|
| Industry | Airline |
| Predecessor | Casino Express Airlines, Xtra Airways |
| Founded | July 20, 1987 |
| Founder | Andrew Levy (owner since 2018) |
| Headquarters | Houston, Texas , United States |
Area served | United States (primarily east and west coasts) |
Key people | Andrew Levy (President) |
| Products | Scheduled commercial flights, charter services |
| Owner | Andrew Levy (via Houston Air Holdings, Inc.) |
| Parent | Houston Air Holdings, Inc. |
| Website | aveloair |
Avelo Airlines, Inc. () is a US-based ultra-low cost airline with its headquarters located in Houston, Texas. The airline initially operated under the names Casino Express Airlines and later Xtra Airways as a charter service before rebranding to Avelo Airlines on April 8, 2021, shifting its focus toward scheduled commercial flights. Its inaugural scheduled service commenced on April 28, 2021, connecting Hollywood Burbank Airport with Charles M. Schulz–Sonoma County Airport.
Casino Express Airlines
Established on July 20, 1987, as Casino Express Airlines, the company began flight operations in 1989, exclusively utilizing Boeing 737-200 aircraft to serve the Red Lion Hotel and Casino located in Elko, Nevada. It operated Boeing 737 flights from Elko Regional Airport to various destinations across the United States. By 1994, Casino Express had introduced weekend nonstop flights between Elko (EKO) and both Portland, Oregon (PDX) and Seattle (SEA), deploying McDonnell Douglas MD-80 jets for these routes. In 1999, the airline briefly operated a Boeing 737-200 for the startup carrier Tahoe Air, providing connections from South Lake Tahoe Airport to Los Angeles International Airport and San Jose International Airport.
Xtra Airways
Broadening its scope beyond casino-related charters, the company adopted the name Xtra Airways on December 8, 2005, reflecting an expanded clientele that included sports teams, government entities, and media groups. Between 2007 and 2012, Xtra Airways dedicated two Boeing 737-400 aircraft to support operations for Direct Air, which was headquartered in Myrtle Beach, South Carolina.
In 2015, Xtra Airways refreshed its visual identity with a corporate jet-inspired livery featuring flag blue and red stripes and completed its relocation to the Miami metropolitan area. During September 2016, it operated a Boeing 737-800 (N881XA) adorned with "Stronger Together" branding in support of Hillary Clinton’s presidential campaign. Additionally, a Boeing 737-400 (N314XA) was chartered by the campaign sporting "Clinton/Kaine" graphics.
Avelo Airlines
Andrew Levy—formerly President of Allegiant Air and CFO of United Airlines—acquired Xtra Airways in August 2018 with plans to convert it into an ultra-low cost carrier. At that time, Xtra had divested most of its fleet but maintained one Boeing 737-400 to preserve its FAA operating certificate. By April 2019, the airline was exploring operations using Boeing 737-800 aircraft.
In February 2020, Levy announced the formation of Houston Air Holdings, Inc., the new parent company reflecting its Houston base of operations. The company secured US$125 million in funding and received its first aircraft from GE Capital Aviation Services ahead of a planned launch later that year.
On April 8, 2021, the airline officially rebranded as Avelo Airlines and commenced ticket sales for flights originating from Hollywood Burbank Airport. Its initial route network comprised eleven previously unserved destinations from Burbank, launching between April and May 2021 with three Boeing 737-800s and expanding to six by year-end. Competitors such as American Airlines and Alaska Airlines responded by adjusting their routes and introducing new services. Avelo’s first scheduled flight took off on April 28, 2021, flying from Burbank to Sonoma County Airport. By July 2021, some routes were discontinued while five new destinations were announced; however, certain planned services were later canceled.
Following its California debut, Avelo established a base at Tweed New Haven Airport in Connecticut during Q3 2021, investing US$1.2 million in infrastructure and operating Boeing 737-700 aircraft. By late 2024, New Haven had become Avelo’s largest base with service extending to 26 destinations.
In January 2022, Avelo raised an additional US$42 million in capital, bringing total investment above US$160 million. The Association of Flight Attendants was recognized as the official representative body for Avelo’s flight attendants in April of that year. Throughout 2022, the airline expanded by opening bases at Orlando International Airport, Wilmington’s New Castle Airport, and Raleigh–Durham International Airport. In September 2023, it launched a base at Las Vegas’s Harry Reid International Airport, which was subsequently relocated to Sonoma County Airport in May 2024. The airline reported its first profitable quarter in Q4 of 2023.
In February 2024, Avelo disclosed plans to acquire five Boeing 737NG aircraft previously operated by bankrupt Brazilian carrier GOL. Additional planes were also sourced from Aerolíneas Argentinas and Southwest Airlines within the same year. In July, Avelo announced its most extensive network growth yet: adding eighteen new routes along with new bases at Hartford's Bradley International Airport and Lakeland Linder Airport. This expansion included international flights to destinations in the Dominican Republic and Mexico—marking Avelo’s first ventures outside the United States. Levy identified a market niche catering to passengers traveling to visit friends and family who prefer nonstop connections. Further routes from Santa Rosa to Ontario and Salt Lake City were introduced in August but discontinued after several months.
Deportation contract
In April 2025, Avelo Airlines finalized a long-term charter agreement with the U.S. Department of Homeland Security's Immigration and Customs Enforcement (ICE) to facilitate deportation flights. To support this initiative, the airline inaugurated a new operational base at Mesa Gateway Airport in Arizona, commencing activities on May 12, 2025. Simultaneously, Avelo discontinued its service to Boise, Idaho, reallocating three Boeing 737-800 aircraft previously assigned to Boise routes toward domestic and international missions under the removal contract.
This agreement provoked considerable controversy. Justin Elicker, Mayor of New Haven—home to Avelo’s largest base—publicly opposed the arrangement and urged the airline’s president, Andrew Levy, to reconsider the decision. Following the announcement of closing its Charles M. Schulz–Sonoma County Airport base, Sonoma County officials in California criticized Avelo for seemingly favoring federal contracts over local tourism interests and called for boycotts. Additionally, city council members in Portland, Maine, where Avelo began operations in January 2025, contemplated revoking incentives designed to attract the airline.
On July 14, 2025, citing unfavorable market dynamics, Avelo revealed plans to shut down its Burbank base and withdraw completely from all West Coast operations by December.
Corporate affairs
Avelo’s corporate headquarters are situated at 12 Greenway Plaza in Houston, Texas.
Destinations
Avelo offers domestic flights primarily serving markets along the U.S. east and west coasts. Prior to adopting the Avelo brand, the company operated ad-hoc and on-demand charters under Casino Express Airlines and Xtra Airways throughout the Americas.
Current fleet
As of , Avelo's fleet consists exclusively of Boeing 737 aircraft:
| Aircraft | In service | Passenger capacity |
|---|---|---|
| Boeing 737-700 | 8 | 149 |
| Boeing 737-800 | 14 | 189 |
| Total | 22 |
Former fleet
The predecessor airlines Casino Express Airlines and Xtra Airways previously operated these models:
| Aircraft | Quantity | Entry into service | Retirement year | |
|---|---|---|---|---|
| Boeing 737-200 | 7 | 1994 | 2005 | |
| Boeing 737-300 | 1 | 2010 | 2011 | |
| Boeing 737-400 | 12 | 2006 | 2020 |