Skybus Airlines Goes Bust

Airline will emerge from bankruptcy with fewer workers

(AP) - The parent of American Airlines wants to eliminate about 13,000 jobs—15% of its workforce—as the third-biggest US airline remakes itself under bankruptcy protection. The company aims to cut labor costs by 20%, and will soon begin negotiations with its three major unions. AMR Corp. CEO Thomas W. Horton said today that the company hopes to return to profitability by cutting spending by more than $2 billion per year and raising revenue by $1 billion per year. More»

Find tickets, new flights, even lounges

(NEWSER) - Every air traveler armed with a smartphone should load up on these five apps, says the Travel section of USA Today:

• SkyScanner (Free): This app will hunt down the best price for your ticket. It scans not only all of the airlines' websites but all of the online travel agencies (Expedia, Priceline) as well.
• Next Flight ($2.99): Yeah, it's relatively pricey, but worth the cost when needed. If your flight is canceled or delayed, or you just plain miss it, the app provides a list of all available flights from all carriers over the next two days. If none are there, it searches for hotels and car rentals.
• Priority Pass (Free): This app supplies a list of all the lounges at your airport. You can look through photos and amenities before deciding whether to shell out money for a pass.

Parent firm says voluntary move best choice for firm

(AP) - American Airlines and American Eagle's parent companies are filing for bankruptcy protection. AMR Corp. and AMR Eagle Holding Corp. said today that they filed voluntary petitions to reorganize, saying it's in the best interest of the companies and its shareholders. American says it sought protection to reduce its costs and debt to remain competitive in the airline industry. American was the only major US airline that didn't file for bankruptcy protection after the 2001 terrorist attacks. American says labor-contract rules force it to spend at least $600 million more than other airlines. Fox News adds that rising jet fuel costs also contributed to the airline's massive debt. More»

They raked in billions more in reservation and change fees

(AP) - You may want to take a deep breath before reading this one: Airlines collected a whopping $3.4 billion in baggage fees last year, up 24% from 2009. Reservation and change fees accounted for an additional $2.3 billion, down 3% from the year prior. The add-ons are one of the few bright spots for an industry that is caught between rising fuel costs and customers who expect rock-bottom airfares. Analysts say without the fees, the industry would be losing money. More»

Couples can book a row and sleep

(NEWSER) - It’s not “economy” seating—it’s “cuddle class.” That’s the genius innovation cooked up by Air New Zealand, which is fitting its Boeing 777s with new “Skycouches,” rows of three regular seats that can convert into something vaguely resembling a bed. (Aol has a picture here .) Buy out the row—paying full price for two seats and half price for the third—and you should have room for two adults and a small child to sprawl out and nap. More»