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ATA Goes Bankrupt, Cancels All Flights
No ticket refunds given
By Kevin Spak
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Posted Apr 3, 08 7:57 AM CDT
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(Newser)
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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 notice,” the company said in a statement.
Losing a key military contract was the final nail in ATA’s coffin, according to the statement. The Indianapolis-based airline employed some 2,230 employees. Passengers who paid with credit cards might be able to get a refund through their card agency, the company said, but those who paid with cash or check are out of luck.