Icelandair’s model has withstood the test of time but 757 replacement dilemma poses a challenge

Iceland's de facto national carrier is operating the largest schedule and the largest fleet in its 75-year history after increasing frequencies on existing routes, adding a ninth North American gateway and placing into service additional Boeing 757s. Icelandair commenced a four times weekly service from Reykjavik's Keflavik International Airport to Denver in Colorado on 11-May-2012, expanding its network in North America to nine destinations (two in Canada and seven in the US). The new route to Denver is an extension of Icelandair's expansion strategy which builds on the country's geographical location mid-way between North America and northern Europe.

The airline's predecessor Loftleidir pioneered sixth freedom rights and low-fare trans-Atlantic travel via Iceland in 1953 and in 1990 Icelandair was the first airline to offer scheduled trans-Atlantic flights on a 757. Icelandair now operates a single fleet of 757s aircraft across its entire international network, spanning 22 destinations in Europe and North America. The single-type fleet creates significant cost efficiency in terms of maintenance and training for crew and engineers.