American Airlines files for bankruptcy protection
Posted November 29, 2011 12:20 pm.
This article is more than 5 years old.
VANCOUVER (NEWS1130) – A local travel expert is not surprised by a decision by American Airlines to file for bankruptcy protection. Claire Newell with Jubilee Travel doesn’t think travellers will feel any impact, especially during the Christmas travel season.
“The airline industry is a tough one right now. There has been a rise in oil prices, labour, as well as a slump in the worldwide economy.”
She says, as of right now, it should be business as usual. “If anyone has flight changes they will be contacting the passengers or the travel agent who booked them to make sure they are put on other flights.”
Newell doesn’t think other airlines will be headed down the same road in the New Year. “I don’t suspect so. In fact, American Airlines is the last of the large US carriers to actually do bankruptcy protection to get their house in order.”
American Airlines is facing a large debt of $1.8 billion that is due by the end of next year. United Continental and Delta Air Lines both filed for bankruptcy protection over the past decade.
