airline industry

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Skybus Airlines Goes Bust
Skybus Airlines Goes Bust

Skybus Airlines Goes Bust

Low-cost Ohio carrier with $10 fares is airline industry's third casualty in a week

(Newser) - Anybody who wondered how Skybus could make money with its famous $10 airfares can stop: they didn't. The Ohio-based airline has become the latest US carrier to go bankrupt in the face of soaring fuel costs and a sluggish economy, the Columbus Dispatch reports. It made its last flight yesterday...

FAA Too Cozy With Airlines, Whistle-Blowers Say

Lawmakers cite agency's 'complacency' in letting safety risks fly

(Newser) - An overly cozy relationship between airlines and the federal agency tasked with inspecting them has lawmakers worried in the wake of hearings yesterday on Capitol Hill, the Chicago Tribune reports. Federal Aviation Administration officials let serious safety issues fly, ignoring maintenance and inspection regulations, safety specialists, government overseers and whistle-blowers...

Northwest Hikes Fares, Cuts Flights

Big carriers scurry to boost bottom line as small airlines go bust

(Newser) - Northwest Airlines is jacking up fares and fees and scaling back domestic operations, the Wall Street Journal reports. The airline, trying to deal with soaring fuel costs and a slowing economy without instituting pay cuts, also plans to freeze hiring. Northwest will keep adding international flights, but will add fuel...

Southwest Tried to Cover Up Safety Issues: Inspectors

FAA too cozy with airlines, they say

(Newser) - Southwest Airlines tried to cover up maintenance problems, and the FAA almost let them, according to two inspectors who will testify before Congress today that the agency is too cozy with airlines. When the inspectors realized Southwest was flying dozens of jets without required inspections, their superiors did nothing, they...

ATA Goes Bankrupt, Cancels All Flights

No ticket refunds given

(Newser) - Passengers booked on ATA Airlines flights got a rude awakening this morning: The low-cost carrier declared bankruptcy in the middle of the night, shut down operations, and canceled all further flights, Eyewitness News reports. “Unfortunately, we were not in a position to provide our customers or others with advance...

Aloha Airlines Shuts Down
 Aloha Airlines Shuts Down 

Aloha Airlines Shuts Down

Fierce competition and rising fuel costs push carrier over the edge

(Newser) - Unable to find a buyer and running out of cash, Hawaii’s ubiquitous Aloha Airlines is shutting down operations after today, idling 1,900 workers and ending more than six decades of island-hopping and transpacific flights, the Honolulu Advertiser reports. The airline filed for bankruptcy March 20 because of rising...

Boeing Moves to Speed 787 Production

Buys pre-assembly plant that caused serious delays

(Newser) - Seeking to stem mounting delays in the production of its breakthrough 787 jetliner, Boeing is getting more involved in the early steps of the assembly process, the Chicago Tribune reports. Boeing said yesterday it will buy out a partner's share of a South Carolina plant that assembles two rear sections...

Delta Latest to Cancel Flights
 Delta Latest to Cancel Flights 

Delta Latest to Cancel Flights

Following American's shutdown, voluntary inspections ground older planes

(Newser) - Delta Airlines canceled dozens of flights today and tomorrow after voluntarily grounding 133 of its older jets for inspections, the Atlanta Journal Constitution reports. As with American Airlines, Delta is checking wiring on some McDonnell-Douglas jets to ensure compliance with FAA directives. "It's an inconvenience," one traveler said,...

UK Moves Closer to In-Flight Cell Phones

Service awaits nod from EU aviation safety boards

(Newser) - British air travelers may soon be able to use their cell phones while in flight, Reuters reports. UK telecom regulator Ofcom approved airline proposals to offer mobile service, pending assent by the European aviation safety authorities. Passengers would be able to make calls once the aircraft was in the air...

American Cancels 171 Flights to Inspect Boeing Jets

Dozens of planes grounded to check out wiring issue

(Newser) - American Airlines canceled 171 flights today, benching almost its entire fleet of Boeing MD-80 twinjet aircrafts, the Chicago Tribune reports. American said it was inspecting how a “certain bundle of wires” was attached to ensure it complied with an FAA directive. But American said the grounding was voluntary, not...

Appeals Court Strikes Down NY's Passenger 'Bill of Rights'

Federal deregulation law takes precedence

(Newser) - A New York law, known as the airline “passenger bill of rights,” was rejected today by a US appeals court, Bloomberg reports. The measure required airlines to provide food and water when their delayed plane has sat on the tarmac for more than three hours. The court said...

Airlines Fasten Seatbelts for Bumpy Ride

Major US carriers downgrade as hard times loom

(Newser) - America's major airlines are getting ready for tougher times ahead, slashing jobs and cutting back operations. As the Christian Science Monitor reports, soaring fuel prices will inevitably lead to higher ticket prices, which will lead to less passengers—which, in turn, will force airlines to hike fares again to cover...

Fly the Tech-Friendly Skies
 Fly the Tech-Friendly Skies 

Fly the Tech-Friendly Skies

PC World takes a look at getting connected in the air

(Newser) - Travelers who want to stay connected while they're on the move get an assist from PC World, which finds that some airlines and airports are soaring ahead in the technology stakes while others are stuck on the runway. Virgin America leads the way, with a power port in every seat,...

Air France Buys Alitalia in Cut-Rate Deal

Struggling Italian carrier sells for 81% below market value

(Newser) - Embattled Italian airline Alitalia has accepted a severely discounted buyout from Air France, the BBC reports. The $1.17-billion deal, which includes both the airline and its debt, sees Air France take over the Italian carrier at 81% below company's current share price. Alitalia has been in the red for...

Fare War Breaks Out at LAX
Fare War Breaks Out at LAX

Fare War Breaks Out at LAX

Thanks to Virgin America, ticket prices dip as fuel prices soar

(Newser) - Even as fuel prices soar, Los Angeles airline passengers are enjoying an old-fashioned fare war sparked by newcomer Virgin America, the LA Times reports. Sir Richard Branson's brainchild has drawn United, Alaska, Southwest, and even longtime LAX holdout JetBlue into a feud that's seen one-way fares as low as $44....

Northwest's Merger Offers Won't Fly: Delta

So far, proposals skirting key Delta concerns

(Newser) - An airline merger isn't going to take off until Northwest comes up with a proposal that addresses Delta's concerns, according to Delta executives. So far, offers haven't jelled with Delta priorities, including maintaining employee seniority rankings, according to a Delta memo obtained by the Wall Street Journal. Delta plans to...

Dreamliner Delays May Drive JAL Away

Longtime customer weighs defecting from Boeing to Airbus

(Newser) - Japan Airlines may abandon its plan to stock up on Boeing Dreamliners because of tie-ups in production of the new 787, Reuters reports. The carrier, a loyal Boeing customer, planned to buy 55 Dreamliners, but the delivery date has slipped again, to early 2009. Now JAL is checking out the...

Delta-Northwest Merger Close to Takeoff

Boards meet tomorrow to vote on plans that would create world's largest airline

(Newser) - Directors at Delta and Northwest meeting tomorrow could announce a marriage of the two airlines by day’s end if a crucial deal with the airlines’ 11,000 unionized pilots can be reached, reports the Wall Street Journal. The resulting company would be the largest airline in the world, and...

Travel Costs Rise, But for What?
Travel Costs Rise, But for What?
OPINION

Travel Costs Rise, But for What?

2008 is the 'year of the fee,' but one writer demands more in return

(Newser) - We can't duck travel fees imposed by air carriers, hotels, and Uncle Sam, so let's demand more in return, Christopher Elliott writes on MSNBC. Airlines are adding $25 baggage fees and "probably illegal" fuel surcharges, and the TSA will add a “temporary” bump in security fees—so can't...

2 Airline Mega Mergers Prepare for Takeoff

Delta-Northwest marriage looms; United eyes Continental

(Newser) - The airline industry is bracing for what would be a mammoth double wedding, as merger talks between Delta and Northwest airlines shift into second gear, and Continental and United Airlines begin their courtship. Currently on the Delta-Northwest plate is a market price stock-for-stock transaction, with no premium for either company,...

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