What Happens When An Airline Ceases Operations?

The carnage in the aviation sector in the last year and a half is unlike anything we’ve seen before. Even in a good year, the finances of most airlines are precariously placed like a house of cards. A couple of bad business decisions can sometimes start a chain of events that can lead to complete shutdowns.
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Пікірлер: 80

  • @ElSupercell217
    @ElSupercell2172 жыл бұрын

    I have been on Jet Airways Airbus A330-300 I loved their services the food, the inflight entertainment was just Top notch. I am really sad that they ceased operations.

  • @AshishKumar-fn9en

    @AshishKumar-fn9en

    2 жыл бұрын

    U may soon be able to get on jet maybe by 2022 or 2023 fingers crossed

  • @solracer66

    @solracer66

    2 жыл бұрын

    At least the last time I drove by several Boeing 737 MAX aircraft in Jet Airways livery were still parked at Boeing Field in Seattle. I assume at some point they will be sold off either by Boeing or Jet Airways creditors.

  • @suvangamingrblx1055

    @suvangamingrblx1055

    2 жыл бұрын

    I rode on a Jet Airways B777 when I was a kid.

  • @zombiedodge1426
    @zombiedodge14262 жыл бұрын

    I've never been stranded by an airline going out of business, but I did have a return trip from St. John's to Toronto on the Canadian low-cost carrier JetsGo just a few weeks before it went belly up. After the experience I had flying with them, their collapse really didn't surprise me that much.

  • @frankholden237
    @frankholden2372 жыл бұрын

    Some may recall the Court Line bankruptcy in 1974. One of their Tristars was in Canada with a load of passangers ready to go at the time bankruptcy was declared and should have stayed there . Pilot thought otherwise, said 'we're out of here' and did a runner back to the UK. Can't find anything about it on the net. Anybody else remember it?

  • @MSRTA_Productions
    @MSRTA_Productions2 жыл бұрын

    A very interesting video indeed. I do feel bad for the passengers and the airline crew who lost their airline (and to those who are stranded with no way home).

  • @albertsammut433
    @albertsammut4332 жыл бұрын

    Having worked in the Aviation Industry for 3 decades it hurts to experience the final closure of many smaller carriers while their business gets consumed by the much bigger dishonest carriers that I would never fly with..even with massive discounts.

  • @explorenaked

    @explorenaked

    2 жыл бұрын

    I must have missed something in my time on this earth. I have been flying commercially for over 40 years using both smaller carriers and very large carriers. Never once from any of them have I experienced any dishonesty. In that same time however, I have dealt with numerous small business owners such as mechanics, electricians and plumbers (to name a few) that have tried to screw me over by attempting to take advantage of my perceived ignorance of their profession. Many people try to send a message that large corporations are evil. It simply isn't true. By no means are they perfect but most conduct business within the bounds of the law.

  • @albertsammut433

    @albertsammut433

    2 жыл бұрын

    @@explorenaked Thank you for your ideas and life experiences..When an Airline company grows to a size where money becomes more important than safety..then I have a valid reason to post my opinion here..Everyone has different life experiences..and I'm all about safety in that industry..nothing less ok😁😁😁

  • @ThirdEngr
    @ThirdEngr2 жыл бұрын

    I remembered in the mid 2000’s when Delta Air Lines was going through bankruptcy, and then later on US Airways attempted to take over the airline. Delta manage to save their airline, turn it around and become one of the most profitable and I would say best in the United States.

  • @hoangbuithanh5709

    @hoangbuithanh5709

    2 жыл бұрын

    That was Northwest Airlines

  • @ThirdEngr

    @ThirdEngr

    2 жыл бұрын

    @@hoangbuithanh5709 Delta ended up merging / acquiring Northwest, but before that US Airways attempted a hostile takeover of Delta.

  • @whiskers78753

    @whiskers78753

    2 жыл бұрын

    The best in the United States? I think not; Delta is a crappy airline.

  • @vistalite-ph4zw
    @vistalite-ph4zw2 жыл бұрын

    Never as a passenger, but I worked at LAX when ATA (American Trans Air) ceased operations. I saw a pilot abandon a 757 behind the old TWA hangar and used the emergency rope to exit the plane. The plane stayed there for about a week...

  • @julianbrelsford

    @julianbrelsford

    2 жыл бұрын

    I didn't know there's an emergency rope :-) knew there were slides as well as a select few airliners having their own stairs (including a few that I have flown on)

  • @jaysmith1408

    @jaysmith1408

    2 жыл бұрын

    @@julianbrelsford yep, both flight crew windows have them

  • @thatsicilian787
    @thatsicilian7872 жыл бұрын

    I was on an Airbus A321 of Alitalia back in 2019 and I gotta say, they had really good service. I’m really sad they had to go…

  • @r250salvemosucrania3
    @r250salvemosucrania32 жыл бұрын

    Simpleflying has bring us a lot of Excelent Aviation information

  • @RobEJC
    @RobEJC2 жыл бұрын

    I was on one of the last, if not THE last, revenue flights of MarkAir, DEN - MCI in 1995. I remember the cabin crew and pilots were good-natured about it, knowing it was the second bankruptcy and reorganization of the airline had not done enough to bring it out to compete.

  • @phidiaschimarides206
    @phidiaschimarides2062 жыл бұрын

    A very interesting video. I remember when our national airline ( cyprus airways) ceased operations after almost 70 years. It really was a brilliant airline with top notch pilots. So sad it went bankrupt.

  • @raghusimhan4845
    @raghusimhan48452 жыл бұрын

    One famous business personality once said “if you want to be a millionaire, then invest a billion by starting an Airline Co”

  • @andrewleung5049

    @andrewleung5049

    2 жыл бұрын

    I thought that's Warren Buffett

  • @norseman3693
    @norseman36932 жыл бұрын

    I was going home to Oslo - Norway, from Larnaca - Cyprus, when the airline Sterling Airlines went bankrupt while I was there. It was 1 extra day there and we were flown home with Air Europa (from Spain). It was an interesting day there :-)

  • @PlaneFS
    @PlaneFS2 жыл бұрын

    I remember I flew jet airways on their 737-800 and A330-300. I found the long haul flight to be reasonably pleasant with responsive crew and decent food. The inflight entertainment was also decent. Sad to see the collapse of Jet Airways

  • @leadfoot323
    @leadfoot3232 жыл бұрын

    I've never been stranded by a bankrupt airline, but my parents have. Back in the day, they got stuck in NYC when Legend Airlines went belly-up in 2001.

  • @KeemBeckford
    @KeemBeckford2 жыл бұрын

    Another great video !

  • @SimpleFlyingNews

    @SimpleFlyingNews

    2 жыл бұрын

    Thanks for your feedback - TB

  • @maureenferrer6119
    @maureenferrer61192 жыл бұрын

    Last 2015, I was on Tigerair asia on a320-232 from Manila to Singapore. The flight was fun. It was OK. But i heard that airline ceased operations and gave their a320s to Scott airlines.

  • @makuli2012
    @makuli20122 жыл бұрын

    I was stranded in Dubai when Bahrain Air shut down. Total chaos.

  • @Luke_Go
    @Luke_Go2 жыл бұрын

    I've flown on many defunct airlines. Good airlines like Crossair, Swissair, Continental; but also on bad airlines, like Northwest or Sabena.

  • @justanaviationguy11
    @justanaviationguy112 жыл бұрын

    I have not experienced a bankruptcy personally. The closest thing to it was the closure of Germania. Months after their shut down, a few of their planes were parked at some airports for longer time. I remember seeing one of their A319 stored in Nuremberg (EDDN) in July 2019

  • @rajr5936
    @rajr59362 жыл бұрын

    Kingfisher is worst example for how not to do business....A popular business man said ... There is no business model in kingfisher.....only models are there..,lol

  • @shootingstar1854
    @shootingstar18542 жыл бұрын

    I remember when i flew with Olympic before the merger with Aegean and it was 2007 2008 and it was the greatest and the most terrifying experience in the 737-400 when i knew it later in 2014 it ceased operations in 2009 i was upset and i will never forget that last flight

  • @bobdickman2522
    @bobdickman25222 жыл бұрын

    Yes, my fiance at the time back in 1989 flew to Orlando for a vacation and while we were there, Braniff Airlines went bankrupt and had to find another way home to Columbus, Ohio. We got on a flight to Cleveland instead on Continental Airlines ( miss this airline!!) but ALMOST forgot to inform my parents of the airport change, as they took us to Columbus Airport.

  • @AerzenMexico
    @AerzenMexico2 жыл бұрын

    I was stranded in Madrid when Air Madrid ceased operations. Not only that but later it was known the airplanes had not had maintenance for some time which had me thinking of the high risk I was in on the flight in. Not a nice experience at all. Very expensive too.

  • @skylineXpert
    @skylineXpert2 жыл бұрын

    Had a friend who was onboard the last cimber sterling flight. They just got of the ground at LGW when it came

  • @gordonc2792
    @gordonc27922 жыл бұрын

    Great video - was not only a passenger but an investor in the Aussie airline Compass mark 2 when it collapsed also lost 70000 ff points when Ansett Australia collapsed. Not a good track record for me

  • @yoyo-kl4xz
    @yoyo-kl4xz2 жыл бұрын

    Cabin crew of Cathay Dragon here.....

  • @jfmezei
    @jfmezei2 жыл бұрын

    In Noth America and other countries, "bankruptcy PROTECTION" laws provide soft landing. *(Chapter 11 in USA, CCAA in Canada). When granted on day X, all unpaid bills as of day X are stayed and the people owed money become creditors. But once granted, there is also a stay to prevent any creditor from seazing any asset in order to allow the airline (or company) to continue to operate. Employees continue to get paid. And supplied are OBLIGATED by the court to continue to seve the company and the court garantees that services furnished after date X will be paid. This is why airlines like Air Canada and all the US majors continued normal operation after entering bankruptcy protection. Without this, an airport can't seize an aircraft not owned by airline, but it can prevent it from leaving intil airport fees are paid. Refuelers can refuse to put fuel in aircraft unless apid in cash before fuel is put into plane. Bankruptcy protection gives time for creditors to find new investors to recapitalize airline. Failing this, the judge will suspect the "protection" and the airline then moves to liquidation (Chapter 7 in USA). At this point, all assets are frozen, operations stopped and all but a couple of key employees are retained. The laws generally protecty normal e ployee pay, but not bonuses etc so employees owed extra become creditors. One story: Jetsgo in Canada entered Bankruptcy protection in 2005. Couldn't re-organize, and then went into liquidation. All frozen, including some F28s that were half disassembled in a maintenance company in Québec City who was told to stop work on those planes. The company petitioned the court because inability to not only get paid, but having half diassembled planes in its hangars prevented it from doing maintenance on other planes from other customers. Creditors saw that the value of a fully maintained F28 was greater than just the parts laying in a hangar and then struck an agreement with judge to allow some of the cash held by Jetsgo to pay for finishing work on those F28s. The fleet was eventually sold. The role of the court is to collect accurate inventory of all assets and debts, and then proceed to selll all assets and distribute the proceeds amongst creditors with certain creditors (secured) having higher pecking order). In the case of Jetsgo, it owned the old jets. But when a jet is leased, the judge can simply cancel the leasing contract and return plane to lessor, with lessor then a creditor for unpaid lease amounts until that time. Québec (Canada) has a consumer protection law: if you buy your air ticket from travel agent or with credit card directly from airline, you are garanteed a refund for your purchase in such a case. This is from a separate fund and not part of the liquidation proceeding. This stems from loss of a number of Québec airlines such as National , Royal and others where many lost value of ticket or had to buy a return ticket. I have a friend who went on 6 month cycling trip, and when he returned to Paris, learned Nationair no longer existed and his ticket was worthless and had to buy a one way icket back to Montréal. Note: because of COVID, a lot of airlines ceased operatiorns due to COVID, not due to seeking bankruptcy protection/administration.

  • @nurrizadjatmiko21
    @nurrizadjatmiko212 жыл бұрын

    After watching this requested video, please pray for Garuda Indonesia

  • @AnotherManCalledJames

    @AnotherManCalledJames

    2 жыл бұрын

    Why?

  • @nurrizadjatmiko21

    @nurrizadjatmiko21

    2 жыл бұрын

    My home country airline Garuda Indonesia is also in trouble

  • @starsaber100

    @starsaber100

    2 жыл бұрын

    @@AnotherManCalledJames It has a dept of Billions of Dollars, I didn't read the whole article since it's a paid article, so I don't know the whole issue

  • @voit4090
    @voit40902 жыл бұрын

    Almost a year ago, here in Mexico Interjet folded without forenotice the same day I had to fly. Still waiting to get my money back, hopelessly.

  • @declannewton2556
    @declannewton25562 жыл бұрын

    I feel like countries need to make laws stating that creditors cannot stop flights by freezing and seizing assets for a certain time after the airline goes into forced liquidation. That way it would minimize the most harmful affects of airline closures to passengers

  • @a320neo9
    @a320neo92 жыл бұрын

    Thats very sad

  • @jaye909
    @jaye9092 жыл бұрын

    I went on board the ATA B757-300 in 2005

  • @mingming9604
    @mingming96042 жыл бұрын

    of course, the CEO will always get richer no matter what happened with their severance package!

  • @Trek001
    @Trek0012 жыл бұрын

    Unusually for bankrupt airlines, TC retained it's certs and documents so TC crews could ferry passengers and planes home.

  • @ashokupadhyay6442
    @ashokupadhyay64422 жыл бұрын

    rumour has it that jet airways can come back in service because a group of people have just started an initiative to bring jet back on it's legs and i would really hope that they become successful in doing so

  • @medicinaemdia4895
    @medicinaemdia48952 жыл бұрын

    The worse is the fact that people lose jobs and passengers are left stranded!!!

  • @anweshbhowmick4411
    @anweshbhowmick44112 жыл бұрын

    I had flown on a Jet Airways Airbus A320 to Guwahati from Kolkata...just a 50 mins flight but with food, in-flight entertainment, blankets offered 😊❤....n then u hear one fine morning they have shut down💔

  • @jantschierschky3461
    @jantschierschky34612 жыл бұрын

    Well I had 2 situations were Airlines went bankrupt, sempati Air and Ansett. Had over 3 million points with Ansett and most of those I made with SIA and Lufthansa wished I had my frequent flyer with SIA, Sempati I had platinum.

  • @robinbradsmith626
    @robinbradsmith6262 жыл бұрын

    Wow air

  • @ZRHTrainspotter
    @ZRHTrainspotter2 жыл бұрын

    im sad that alitalia gone bankrupt... but ITA seems good! im happy to try them

  • @mynintendogamingfeed5208
    @mynintendogamingfeed52082 жыл бұрын

    This video is informative; however, the practices behind these need to be permabanned. As in completely banned, public or not.

  • @ChrisJones-ru9yx

    @ChrisJones-ru9yx

    2 жыл бұрын

    If an airline cannot pay bills, there is no option. Fuelers, airports, lessors, caterers and the like will not provide services for free. Banning the practice is as ineffective as it is naive.

  • @Brick-Life
    @Brick-Life2 жыл бұрын

    Awesome when airlines i do not like shut down!

  • @dhruvaneja3898
    @dhruvaneja38982 жыл бұрын

    4:17 I think I will experience it now. I bought a ticket from Air India from Delhi to San Francisco a year in advance!

  • @himanshuranjan7200

    @himanshuranjan7200

    2 жыл бұрын

    After TATA's takeover...it's less likely

  • @MSRTA_Productions
    @MSRTA_Productions2 жыл бұрын

    Yeh

  • @W8D_
    @W8D_2 жыл бұрын

    "Allows some airlines to get back on their feet" shows Alitalia

  • @thomasburke7995
    @thomasburke79952 жыл бұрын

    Worked for 2 airlines that went belly up . Not fun

  • @Brick-Life
    @Brick-Life2 жыл бұрын

    What Happens When An Airlines merge?

  • @gooner72
    @gooner722 жыл бұрын

    People lose their jobs.....

  • @kristoft51
    @kristoft512 жыл бұрын

    Poor Malév

  • @heroknaderi
    @heroknaderi2 жыл бұрын

    Good toknow. Did alitalia go outof business

  • @ahaanb2108
    @ahaanb21082 жыл бұрын

    New video idea: A video on the upcoming Noida International Airport (India)

  • @johnmatthews8088
    @johnmatthews80882 жыл бұрын

    Not a bankruptcy but I was duevto fly northwest airlines when merged with I think united and I was supposed to me moved to united flight in business class that what I booked with northwest but there was a cocktail and I was booked on united but in economy class 5 hr of hit the roof to there call centre's was what it took to get what I originally paid for

  • @Tasek7
    @Tasek72 жыл бұрын

    a330 vs a350 reply witch is better🙂

  • @dhruvaneja3898

    @dhruvaneja3898

    2 жыл бұрын

    A350 in my opinion

  • @gianlu_a350

    @gianlu_a350

    2 жыл бұрын

    A330 was the best until A350 arrived for me

  • @NorcalValleyRailfan

    @NorcalValleyRailfan

    2 жыл бұрын

    A330 is better, A350 is trash

  • @rosskelly4383

    @rosskelly4383

    2 жыл бұрын

    A330neo

  • @equin_xx

    @equin_xx

    2 жыл бұрын

    @@NorcalValleyRailfan give me 5 good reasons why.

  • @lvkcm
    @lvkcm2 жыл бұрын

    Airlines business is too weak and no profit I think at least in India

  • @suttondiehl7507
    @suttondiehl75072 жыл бұрын

    First like