Dan-Air launched a year-round Manchester–Newcastle–Oslo scheduled route, the company's first scheduled services to the Norwegian capital. In 1986, Dan-Air launched a year-round non-stop Manchester–Amsterdam scheduled service. In 1987, Dan-Air began a scheduled service between Gatwick and Lisbon, its first scheduled service on a main trunk route between the UK and the Iberian peninsula. The same year, the airline joined the International Air Transport Association (IATA) as a Trade Association member. Following British Airways's takeover of British Caledonian in December 1987, Dan-Air's scheduled services transferred to Texas Air's SystemOne CRS. In 1988, Dan-Air commenced scheduled services between Gatwick and Madrid. Towards the end of that year, the airline also assumed the former British Caledonian routes from Gatwick to Paris Charles de Gaulle, Manchester, Aberdeen and Nice, gaining access to some of Gatwick's most important feeder routes, as well as some of the densest and most lucrative short-haul European trunk routes. At the start of the 1988–1989 winter timetable, Dan-Air became a two-class scheduled airline when, under the stewardship of Vic Sheppard, it introduced its Class Elite business class between Gatwick and Paris and between Gatwick and Nice on three refurbished One-Eleven 500s. Sheppard had joined Dan-Air from British Caledonian. In 1989, Dan-Air introduced Class Elite on all scheduled flights from Gatwick to Dublin, Zürich, Lisbon, Madrid and Toulouse. In 1990, Dan-Air introduced year-round two-class scheduled services from Gatwick to Tegel and Vienna. Gatwick–Tegel was Dan-Air's first scheduled link between its main UK base and its long-established overseas base. At the start of the 1990–1991 winter timetable, the firm replaced one of the two Berlin HS 748 turboprops with larger BAe 146 jets on Berlin–Amsterdam and introduced direct scheduled services linking Berlin with Manchester and Newcastle via Amsterdam. In addition, the company took over the Gatwick–Amsterdam feeder route from British Airways. Following Air Europe's demise at the end of the first week of March 1991, Dan-Air began assuming most of the failed carrier's scheduled routes from Gatwick, starting with Gatwick–Brussels and Gatwick–Oslo. Dan-Air's rival's collapse also enabled it to increase frequencies and introduce larger aircraft on the busy Gatwick – Charles de Gaulle and Gatwick–Manchester routes. At the start of the 1991–1992 winter timetable, Dan-Air increased the frequency of its Gatwick – Charles de Gaulle Airport services to nine return flights per day and Gatwick–Manchester to eight daily returns. The airline replaced BAC One-Eleven 500s with Boeing 737s on both routes. From