ATA Airlines files for bankruptcy
Published April 3, 2008 by CSBJ Staff
INDIANAPOLIS (AP) _ ATA Airlines canceled all flights today after filing for bankruptcy and sought help from other carriers for travelers stranded in a number of cities.
The Indianapolis-based airline, once the nation’s 10th-largest, entered bankruptcy for the second time in nearly three years Wednesday – this time citing the loss of a key military charter business.
ATA has been in contact with other airlines that may be able to assist with travelers holding tickets that the airline can no longer honor.
The company’s 2,200 employees are being notified today that their positions are being eliminated.
ATA’s bankruptcy will also affect Southwest Airlines customers. The Dallas-based airline has a code-share agreement with ATA for travel to Hawaii.
Southwest said today that it immediately began rebooking passengers with dates and times as close to the original travel plans as possible. Southwest said it would give priority to customers who are scheduled to travel in the next 14 days.
Filed under Airlines, CSBJ Daily
I can not believe that how some one can close doors taking people’s money. How stupid is judicial system allowing that. If airline collected monies, goverment should make sure Airline should fly these passangers till dates committed or make an alternate arrangement with other airline for same schedule for tkt being issued & payment collected. seems whole system is turning to worst, seems pretty soon we will be worst than any 3rd world country. At least 3rd world countries do not have infrastructure or have corrupt govenment which every one knows. while here in our pround USA, we are being slapped on face legally & no one can do anything. just think who is worst???????
Can you imagine how we, the prior employees of ATA felt? For many, it was a complete shock when we learned on the morning of the 3rd of April, that the operations had shut down? After serving as the Major Military troop carrier during Desert Storm, we had lost the Military contract??!! Along with the ridiculous gas prices, we lost our Wings!
ATA Airlines, through the years of Charter flying, touched more airports in the World than ANY other carrier!!!
Yes, this is a shame in many ways!