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 ahead of its original plans to launch scheduled operations later in 2020. On April 8, 2021, the new airline was announced under the name Avelo Airlines, and began selling tickets for flights based at Hollywood Burbank Airport in California. Its initial route network consisted of eleven unserved destinations from Burbank, launching between April 28 and May 20, 2021, with an initial fleet of three Boeing 737-800s, expanding to six by the end of 2021. Avelo's announcement of its entry into scheduled flight operations was met with competitive response initially from American and Alaska Airlines, with American upgauging the aircraft on its existing route between Phoenix Sky Harbor and Burbank, while Alaska announced a new service between Burbank and Santa Rosa to start on June 1, 2021. Avelo's inaugural flight occurred on April 28, 2021, which traveled from its Burbank base to Santa Rosa's Sonoma County Airport. Following the airline's launch in late April, Avelo announced on May 6, 2021, that it would open a new base at Tweed New Haven Airport in Connecticut during the third quarter of 2021. The airline additionally announced that it planned to invest US$1.2 million toward the New Haven airport's facilities, and that it would use Boeing 737-700 aircraft for its operations at the new base. The airline on July 7, 2021, announced changes to its network, consisting of its flights to Bozeman and Grand Junction which would terminated by the end of September, while by July 29, 2021, the airline announced an additional five destinations including Fort Collins, Las Vegas, Monterey, Provo, and St. George, although the planned flights to Monterey, Provo, and St. George were later temporarily cancelled. On August 19, 2021, details of the airline's operations at its New Haven base were revealed, initially with four routes between New Haven and destinations in Florida announced to launch during November 2021. Additional routes were announced during October 2021, including flights between Fort Collins and Las Vegas beginning in December 2021, and flights between New Haven and Sarasota/Bradenton beginning in January 2022. On January 6, 2022, Avelo announced that it had raised an additional US$42 million. This second-round offering increased Avelo's invested capital base to over US$160