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In 1919, the first airplane arrived in this northern European country, .

Icelandair Boeing 757.

In 1937 Icelandair began its life, but with the name of Flugfelag Akureyrar, based primarily in the northern city of Akureyri. In 1943 the airline moved its base to the country's capital of Reykjavík and changed its name to Flugfelag Islands.

By 1944, a competitor appeared - Loftleiðir, also known as Icelandic Airlines. In 1945, Flugfélag Íslands became the first Icelandic air company to fly international flights, when service was inaugurated to Denmark. In 1947, Loftleiðir followed suit, starting their own international flights, and in 1953, Loftleiðir became the first Icelandic company to fly transatlantic flights from Iceland.

Fierce competition continued until 1973, when the two airlines merged. At first, they adopted the name Flugleiðir, a hybrid of their two old names. In 1979Events January-February January 1 Sino-American relations: United States and the People's Republic of China establish diplomatic relations January 4 State of Ohio agrees to pay $675,000 to families of dead and injured in Kent State University shootings., they changed the name to Icelandair, but they kept the name of Flugleiðir for domestic advertising.

In the 1990sCenturies: 19th century 20th century 21st century Decades: 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010s 2020s 2030s 2040s Years: Events and trends Computers, technology Explosive growth of the Internet; decrease in the cost of computers and other techn, they expanded their cargo operations and made several advertisingAdvertising is the paid promotion of goods, services, companies and ideas, by an identified sponsor. Marketers see advertising as part of an overall promotional strategy. Other components of the promotional mix include publicity, public relations, persona agreements with such model airplane manufacturers as WoosterThis article is about the manufacturer of model airplanes. For other meanings, see Wooster (disambiguation Wooster was a model airplane manufacturer that introduced plane model collectors to snap together plastic commercial airline models. In 2000, Wooste and SchabakSchabak is a die cast toy producer from Germany. Schabak is well known for its line of car models and commercial airliner models. Schabak produces cars of all scales and has carved a name for itself in the die cast car market, although outside of Germany,.

For a long time, Icelandair relied on Boeing 707The Boeing 707 is a four engined commercial passenger jet aircraft developed by Boeing in the early 1950s. Although it was not the first commercial jetliner in service (that distinction belongs to the De Havilland Comet), it was the first one to be commers for their international routes. That began to change during the 1990s, when they acquired new Boeing 757s.

Today, Icelandair is Iceland's far biggest carrier and the only one on most routes but the low-fares airline Iceland ExpressIceland Express is a low-fare airline that began operations in 2003. It flies from Keflavik airport near Reykjavik to Copenhagen and London (Stansted). Airlines of Iceland Low-cost airlines. started competing with Icelandair on two routes in 2003, from Keflavík to Copenhagen and London.