InselAir (Curacao) has confirmed that its administrators, the government of Curaçao, and fellow Caribbean carrier interCaribbean Airways (JY, Providenciales) are in talks regarding a potential investment into the financially struggling Curaçaoan airline.

interCaribbean's chief executive Trevor Sadler has said he was in talks with the administrators of InselAir. The Curaçaoan airline is currently operating under the local version of bankruptcy protection, essentially a creditor payment moratorium.

InselAir's new executive chairman Lars de Brabander said he eyed either an investment by interCaribbean or a potential strategic alliance with an investor.

The airline currently operates a single Fokker 50 and wet-leases an E190 from Conviasa (V0, Caracas Simón Bolivar). de Brabander told ch-aviation that it planned to reactivate a second Fokker 50 and to replace the Embraer with a "different type of jet".

interCaribbean, in turn, operates eight E120s and three DHC-6-300s, as well as BN-2 and Beech 99 aircraft. It flies domestically within the Turks & Caicos Islands and Jamaica, and internationally out of Tortola, Dominica Melville Hall, Providenciales, and Santo Domingo Las Américas thanks to the relatively liberal open skies policies across the Caribbean. It is also in the process of inducting its first E145 regional jets and of establishing a interCaribbean Airways (Dominican Republic) (Santo Domingo Las Américas) subsidiary.