SYDNEY, April 30 (Reuters) - Australian low-cost airline Bonza...

SYDNEY, April 30 (Reuters) - Australian low-cost airline Bonza suspended flights on Tuesday and was assessing the viability of its business as several newspapers reported its fleet of planes had been repossessed by creditors.

Bonza CEO Tim Jordan said the regional airline had temporarily suspended all services planned for Tuesday while it held discussions about the ongoing viability of its business.

"We apologise to our customers who are impacted by this and we’re working as quickly as possible to determine a way forward that ensures there is ongoing competition in the Australian domestic aviation market," he said in a statement.

The airline's fleet of Boeing 737-Max-8 aircraft had been repossessed by creditors, according to reports in The Guardian and The Australian Financial Review.

An airline spokesperson did not respond to questions about the repossession.

Australia's airline market is dominated by Qantas Airways (QAN) , its subsidiary Jetstar and Virgin Australia, which together control just over 90% of the market, according to the competition regulator.

Backed by U.S. private investment firm 777 partners, Bonza launched in January of last year, aiming to fly regional routes untouched or under-served by its larger rivals.

777 Partners did not immediately respond to a request for comment.