ANA Holdings, parent company of Japan's All Nippon Airways, will create a new low-cost widebody airline brand as part of a restructuring brought about by the Covid-19 crisis.

The airline will use Boeing 787 Dreamliners equipped with more than 300 seats and will mainly fly medium-distance routes to Southeast Asia and Oceania.

"The brand will be capable of responding to sudden changes in demand and begin operations quickly after its establishment," ANA said Tuesday.

ANA said that demand for business travel likely won't return to pre-pandemic levels, due to the growth in online conferences and meetings. The new carrier, which has not been named, will help ANA reorient toward the leisure market, which the carrier said has the potential for new growth thanks to the leap in people working remotely and the possibility for people to more easily maintain multiple residencies.

The new carrier will join ANA Holdings' eponymous flagship airline, ANA, as well as the company's short-haul low-cost unit, Peach.

ANA rival Japan Airlines launched its own widebody low-cost carrier this year.


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