Flybe is to be resurrected, using Birmingham airport as its base.
The revived regional carrier is set to begin domestic services and flights to the EU from its new West Midlands headquarters next spring, creating 600 jobs.
Chief executive Dave Pflieger said Birmingham was “an ideal choice” for the airline.
Announcements about new routes and destinations from Birmingham would be revealed over the coming months.
The airline was acquired by Thyme Opco, now renamed Flybe Limited, after collapsing in March 2020 as the pandemic hit.
Many of the former airline’s UK routes have been taken up by rival Loganair.
Pflieger pointed to the airport being a global travel hub where local and connecting customers have access to over 150 worldwide destinations.
“Today’s announcement marks the culmination of over 12 months of dedicated hard work by all involved, and it would not have been possible without the support of the CAA and the UK government,” he added.
Pflieger added: “I also want to emphasise that a key area of focus from day one for Flybe will be environmental sustainability and ensuring we do everything possible to reduce our carbon footprint.
“Our entire fleet will be comprised of the De Havilland Canada Dash 8-400, which is a fast turboprop powered aircraft that can complete short journeys almost as quickly as a regional jet, but with lower CO2 emissions.
“In addition, we will also be partnering with local community charities and partners who are focused on the environment as well as other causes which align with our corporate goals and values.
“As for what’s next, please stay tuned. We plan to provide more information in the coming weeks and months about ticket prices, new routes and destinations, and other important news that will help customers visit loved ones, get away for a weekend, and get out on business trips.
“This is an incredibly exciting time for us, and we look forward to sharing more updates in the future.”
Birmingham airport described Flybe’s move as “a shot in the arm” for its recovery.
Chief executive Nick Barton said: “Flybe’s announcement that Birmingham has been chosen to become the headquarters for its launch next spring is fantastic news for our region’s connectivity needs, and it will bring with it some great new employment opportunities.
“Dave’s vast experience in managing start-up airlines and turnaround situations, coupled with the recovery of the Midlands’ economy post-Covid, means that Flybe’s return to the skies from Birmingham is a shot in the arm for our airport as well as West Midlands businesses and communities.
“We look forward to working with Dave and his team in preparation for next spring and to launch such a well-known brand here in Birmingham.”
West Midlands mayor Andy Street said: “It really is such brilliant news that Flybe is coming back as a commercial airline, and even better that it has chosen Birmingham to house its new headquarters.
“Not only does this mean better domestic and international connectivity for our region as well as local jobs and opportunities being created here, but it’s yet another show of faith in the West Midlands with businesses choosing to commit to our region as we recover from the pandemic.
“Flybe’s choice highlights the strength of the aerospace sector in the West Midlands and the talent pool available, and I wish Dave and his team all the very best ahead of their official launch early next year.”