"We had planes going one way empty and returning with only two to three passengers on board so in the end it wasn't viable."
For the retiring chairman he said that it wasn't the way he wanted to step down especially to cut the Napier service, his home region.
"It isn't what I wanted to see happen to the route but we had been warning over the last year that it was a matter of use it or lose it."
Stace said that while the Napier and Blenheim service wasn't reaching the right numbers, their other services have been booming.
"Some of the services we acquired from Air New Zealand have been going off and we need more services available and so that meant having to lose this service to cope with the growing demand in other areas."
A Sounds Air spokesperson said they would be contacting affected passengers over the coming days and keep them up to date with changes.
"We will be following up those impacted in the coming days to ensure everyone is advised and accommodated on an alternative service or fully refunded."
"We ask that you please call reservations on 0800 505 005/info@soundsair.com at your earliest convenience, to acknowledge this cancellation and discuss affected booking options. We are able to reschedule you to an alternative service or provide you with a full refund of ticket purchase."