New York – based business class – only Eos Airlines has filed for bankruptcy after failing to finalize an eleventh – hour bailout package. Eos Airlines has filed for Chapter 11 bankruptcy, while its rival airlines; Silverjet and Virgin Atlantic plan to put up special prices for stranded Eos passengers.
MoneyCNN.com reports that the bankruptcy filing in New York has listed $70.2 million in assets and $34.9 million in debts.
The price for the New York to London flights, which it offered twice a day, ranged from $3,500 to $9,000 roundtrip.The high-flying luxuries came to an end Sunday as Purchase, N.Y.-based Eos ceased operations after filing for bankruptcy protection, the latest casualty of a credit crunch and a money-losing airline industry that has been hit hard by high fuel prices.
The airline plans to operate its final flights between London’s Stansted Airport and New York’s Kennedy Airport on Sunday. WMTW Portland quotes Chief Executive Officer Jack Williams commenting on the company’s decision to file for bankruptcy.
“The challenging economic and credit environment forced the company to file a voluntary petition for Chapter 11 bankruptcy. There are times in business when even though you execute your business plan and even though your employees do their jobs beautifully, external forces prevent you from controlling your own destiny, ” Williams said in his statement.
Photo:© Vidiot
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