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Vermillion was disbanded after the SDF-1's exile and the death of Dixon, and integrated into Skull Squadron.
According to one source, after the SDF-1 returned home, Hunter trained Hiro Amano for the Vermillion, but he was killed by a rogue squadron led by Raven. Hunter went on to stop his killers and their Zentaredi ally, Khyron. (Robotech: Vermilion)