Eos Airlines Files for Bankruptcy, Plans to Shut Down Immediately

[PSPS]

Source: WSJ

Eos Airlines Inc., a transatlantic, all-business-class airline, filed for bankruptcy protection over the weekend and said it will shut down Sunday, becoming the fourth U.S. carrier to go out of business this month.

Rising fuel prices, tight credit markets and the slowing economy are wreaking havoc on all U.S. carriers. But smaller, less well-funded companies are proving unable to withstand the challenges. Aloha AirGroup Inc., ATA Airlines Inc. and Skybus Airlines Inc. ceased operations earlier in April and Frontier Airlines Holdings Inc., filed for bankruptcy protection but continues to operate.

Closely held Eos, based in Purchase, N.Y., earlier this month said it expected to receive $50 million in new capital from a current investor, "financing needed to take us to corporate profitability in 2009," the company said at the time. But the company said Saturday it was unable to close on the financing, leaving it with insufficient cash to continue operating.

Read more: http://online.wsj.com/article/SB120930233854447687.html?mod=googlenews_wsj

[quiet.american]

1. Damn, I feel bad for them; the interior of their planes were truly innovative.

They had a good thing.

[enid602]

2. Damn: I need to get new reading glasses. . .

Instead of Eos Airlines, my eyes read Los Angeles.

[Hardrada]

3. My eyes read Eros Airlines and I was sad I never took that one.