Avelo Airlines is an American ultra-low-cost airline based in Houston, Texas. Originally operating as Casino Express Airlines and later Xtra Airways, it rebranded and began scheduled flights as Avelo Airlines on April 8, 2021. Its inaugural flight was on April 28, 2021, from Hollywood Burbank Airport to Charles M. Schulz–Sonoma County Airport, marking its entry into the commercial aviation market.
On July 20, 1987, Casino Express Airlines was established, setting the foundation for what would eventually become Avelo Airlines.
In 1989, Casino Express Airlines commenced operations, utilizing Boeing 737-200 jetliners exclusively for the Red Lion Hotel and Casino in Elko, Nevada.
In 1999, Casino Express Airlines operated one Boeing 737-200 jetliner for Tahoe Air, providing scheduled passenger air service from South Lake Tahoe Airport to Los Angeles and San Jose.
On December 8, 2005, Casino Express Airlines changed its name to Xtra Airways to reflect a broader focus beyond casino-related services.
Starting in 2007, Xtra Airways dedicated two Boeing 737-400 aircraft to fly for Direct Air, an airline business based in Myrtle Beach, South Carolina.
Through 2012, Xtra Airways had dedicated two Boeing 737-400 aircraft to fly for Direct Air, an airline business based in Myrtle Beach, South Carolina, until this arrangement ended.
In 2015, Xtra Airways updated its aircraft livery to an executive jet style, featuring flag blue and red stripes.
In September 2016, Xtra Airways began operating a Boeing 737-800 for Hillary Clinton's 2016 presidential campaign, featuring a sky-blue and white livery with "Stronger Together" titles.
In August 2018, Andrew Levy acquired Xtra Airways with plans to transform the charter airline into an ultra-low-cost carrier.
By April 2019, the airline, formerly Xtra Airways, was considering operating Boeing 737-800s as part of its transformation into an ultra-low-cost carrier.
In February 2020, Andrew Levy announced the new holding company for Xtra, named Houston Air Holdings, Inc., reflecting the company's Houston headquarters. The same month, the company raised US$125 million in funding and received its first airplane from GE Capital Aviation Services.
On April 8, 2021, Casino Express Airlines rebranded as Avelo Airlines, marking its transition to scheduled operations. Simultaneously, Avelo began selling tickets for flights operating out of Hollywood Burbank Airport in California.
On April 28, 2021, Avelo Airlines operated its inaugural flight from Hollywood Burbank Airport to Charles M. Schulz–Sonoma County Airport, marking the start of its scheduled service under the Avelo brand.
On May 6, 2021, Avelo Airlines announced its plan to open a new base at Tweed New Haven Airport in Connecticut during the third quarter of 2021.
By May 20, 2021, Avelo Airlines completed the launch of its initial route network consisting of eleven unserved destinations from Burbank.
On June 1, 2021, Alaska Airlines announced a new service between Burbank and Santa Rosa in response to Avelo's entry into scheduled flight operations.
On July 7, 2021, Avelo Airlines announced that it would terminate its flights to Bozeman and Grand Junction by the end of September.
On July 29, 2021, Avelo Airlines announced five additional destinations including Fort Collins, Las Vegas, Monterey, Provo, and St. George. However, the planned flights to Monterey, Provo, and St. George were later cancelled.
On August 19, 2021, Avelo Airlines revealed details of its operations at its New Haven base, initially announcing four routes between New Haven and destinations in Florida to launch during November 2021.
During November 2021, Avelo Airlines launched operations at its new base at Tweed New Haven Airport, initially with four routes between New Haven and destinations in Florida.
On January 6, 2022, Avelo Airlines announced that it had raised an additional US$42 million, bringing its invested capital base to over US$160 million.
On April 14, 2022, the Association of Flight Attendants was certified as the exclusive representative of all of Avelo's flight attendants.
In April 2022, Avelo Airlines established a new base at Orlando International Airport.
In October 2022, Avelo Airlines established a base at Wilmington, Delaware's New Castle Airport.
In November 2022, Avelo Airlines established a base at Raleigh–Durham International Airport.
In September 2023, Avelo Airlines established its sixth base at Las Vegas's Harry Reid International Airport.
In February 2024, Avelo Airlines announced plans to add five additional aircraft to its fleet, sourced from bankrupt Brazilian airline GOL.
In May 2024, Avelo Airlines relocated its base from Las Vegas's Harry Reid International Airport to Charles M. Schulz–Sonoma County Airport in Santa Rosa.
By the end of 2024, Avelo Airlines had expanded its service from New Haven to 26 destinations, making the airport its largest base.
As of January 2025, Avelo Airlines operates an all-Boeing 737 fleet composed of the following aircraft: