All Nippon Airways (ANA) aims to absorb the operations and personnel of its subsidiary, Air Nippon (ANK), by the end of April 2012.
"The flight-operation functions, aircraft maintenance and administrative sectors of ANK will be integrated into ANA to enhance overall efficiency," said an ANA spokeswoman.
ANK is based in Tokyo's Haneda Airport and has maintenance operations there, in addition to administrative offices in Osaka and Fukuoka. Its pilots operate Boeing 737-500 and Airbus A320 aircraft, although they fly under the ANA livery.
ANK was formed in 1974 as a shuttle service operating services to the country's remote islands. It now operates services from Haneda to Osaka Kansai, Fukuoka, and Akita. It also operates international services from Tokyo's Narita airport to Mumbai, Xiamen, Guangzhou and services the Kansai-Beijing route.
Air Nippon has around 2,300 staff, about 400 of which will lose their jobs as a result of the merger, said the ANA spokeswoman.