In the mid-1990s, both Southern Australia and Sunstate expanded steadily. In 1994 Southern Australia's air ambulance contract was renewed for another five years. Its fleet was expanded in December 1996 when it took delivery of two British Aerospace BAe 146s, using them to commence operations on trunk routes from Hobart and Launceston to Sydney, Melbourne and Adelaide. In 1998 Southern Australia withdrew from the Mildura - Broken Hill route in July, and from Mildura to Adelaide via Renmark in October, and the two airline Cessna 404s were taken out of service. The air ambulance contract and aircraft were taken over by the Royal Flying Doctor Service of Australia from 1 November that year.