Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Hot on Facebook
Man Tries to Order Priciest Starbucks Drink Ever Total cost: $23.60 »

Thousands Stuck as Asian Budget Airline Folds

Hong Kong airline becomes 4th carrier to go bust this month

By Rob Quinn,  Newser Staff

Posted Apr 9, 2008 8:00 AM CDT

(Newser) – Thousands of passengers have been stranded in Hong Kong, London, and Vancouver with the collapse of Asian budget airline Oasis, the New York Times reports. In a sign that the industry's woes are spreading rapidly, the Hong Kong-based airline joins three US budget carriers to have gone under this month in the face of soaring fuel prices and economic jitters.

Oasis, which had planned to start flying to California this year, set itself up as the world's first long-haul budget airline when it launched in 2006, but was hit hard when fuel prices more than doubled in the following months. Experts warn the business model for cheap, long-haul carriers could now be on shaky ground, unless they pack in more passengers.

Stephen Miller, right, CEO of Oasis Hong Kong Airlines Ltd. speaks during a news conference in Hong Kong Wednesday, April 9, 2008.
Stephen Miller, right, CEO of Oasis Hong Kong Airlines Ltd. speaks during a news conference in Hong Kong Wednesday, April 9, 2008.   (AP Photo/Kin Cheung)
Oasis Hong Kong owners and executive toast a 2007 financing deal. The airline has now filed for liquidation, grounded by high fuel prices and aircraft costs.
Oasis Hong Kong owners and executive toast a 2007 financing deal. The airline has now filed for liquidation, grounded by high fuel prices and aircraft costs.   (AP Photo/Vincent Yu)
An Oasis passenger flight arrives at Hong Kong International Airport from London Wednesday, April 9, 2008.
An Oasis passenger flight arrives at Hong Kong International Airport from London Wednesday, April 9, 2008.   (AP Photo/Kin Cheung)
« Prev« Prev | Next »Next » Slideshow
To report an error on this story, notify our editors.
A snapshot of the day's best news stories.
 
COMMENTS
Be the first to comment on this story.

More Newser Stories

Ryanair Boss: You Want Service? Try Another Airline

Airline Eyes Charging for Toilets

Stranded Brits Expected Home on Schedule

Flight Grounded Over Irate Passengers

Fuel Costs Bump Up Budget Airfares


NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   Betty Confidential   |   BuzzFeed   |   Cracked   |   Fark   |   Timelines   |   The Frisky   |   Geek Sugar   |   NewsOne