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| Version | User | Scope of changes |
|---|---|---|
| Sep 1 2008, 10:16 AM EDT (current) | jimglab | 249 words added |
| Sep 1 2008, 10:15 AM EDT | jimglab |
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Transatlantic carrier served three U.S. cities
Zoom Airlines, a low-cost carrier operating on a number of transatlantic routes – mostly between Canada and the U.K. – has grounded its planes, cancelled all future flights and said it will file for bankruptcy. The shut-down affected both Zoom Airlines Inc., which flew from several Canadian cities to points in England, Scotland and Northern Ireland, as well as Paris and Rome; and Zoom Airlines Ltd., a U.K.-based affiliate that flew from London Gatwick to New York, Ft. Lauderdale and San Diego, as well as New York-Bermuda. The airline had about 600 employees. Zoom founders Hugh and John Boyle issued a statement saying that they “left no stone unturned to secure a refinancing package” for the airline, and in fact had lined up a new investment package, “but the actions of creditors meant we could not continue flying.” For example, there were press reports that at last one jet fuel supplier in Canada was refusing to refuel Zoom’s planes because of unpaid bills. The brothers said that last year, Zoom was in the black, but more recently had been losing money “due to the unprecedented increase in the price of aviation fuel and the economic climate.” They said the airline’s fuel bill jumped by $50 million in one year, “and we could not recover that from passengers who had already booked their flights.” They noted that British Airways and Virgin Atlantic are offering special fares to persons holding tickets on Zoom.
