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Zoom Airlines suspend all flights Zoom Airlines suspend all flights
(40 minutes later)
Transatlantic budget carrier Zoom Airlines has suspended all of its flights after admitting it was applying to go into administration.Transatlantic budget carrier Zoom Airlines has suspended all of its flights after admitting it was applying to go into administration.
Passengers due to fly with Zoom were told to book with other carriers and to contact card issuers about refunds.Passengers due to fly with Zoom were told to book with other carriers and to contact card issuers about refunds.
Earlier, two of the airline's jets were held at Glasgow and Cardiff airports.Earlier, two of the airline's jets were held at Glasgow and Cardiff airports.
UK-Canadian Zoom blamed its problems on the "horrendous" price of jet fuel - which had added $50m (£27.3m) to annual fuel bills - and the economic slowdown.UK-Canadian Zoom blamed its problems on the "horrendous" price of jet fuel - which had added $50m (£27.3m) to annual fuel bills - and the economic slowdown.
It is a tragic day for our passengers and staff Zoom founders Hugh and John Boyle Passengers hit by Glasgow grounding This was supposed to be a holiday of a lifetime for my wife and I William MoonieWould-be Zoom passenger Passengers hit by Glasgow grounding Zoom, which has flown since 2001, employs 450 staff in Canada and 260 staff in the UK.
Zoom employs 450 staff in Canada and 260 staff in the UK.
It operated flights from London Gatwick, Glasgow, Manchester, Cardiff, Belfast, Cardiff as well as Paris and Rome.It operated flights from London Gatwick, Glasgow, Manchester, Cardiff, Belfast, Cardiff as well as Paris and Rome.
And it flew to eight destinations in Canada, New York, San Diego, Fort Lauderdale and Bermuda.And it flew to eight destinations in Canada, New York, San Diego, Fort Lauderdale and Bermuda.
'Desperately sorry''Desperately sorry'
"We deeply regret the fact that we have been forced to suspend all Zoom operations. It is a tragic day for our passengers and staff," said Zoom founders Hugh and John Boyle."We deeply regret the fact that we have been forced to suspend all Zoom operations. It is a tragic day for our passengers and staff," said Zoom founders Hugh and John Boyle.
"We are desperately sorry for the inconvenience and disappointment that this will cause passengers and those who have booked flights."We are desperately sorry for the inconvenience and disappointment that this will cause passengers and those who have booked flights.
"We have done everything we can to support the airline and left no stone unturned to secure a re-financing package that would have kept our aircraft flying.""We have done everything we can to support the airline and left no stone unturned to secure a re-financing package that would have kept our aircraft flying."
WHAT SHOULD ZOOM AIRLINES' PASSENGERS DO? Any Zoom flight you have booked will not be departing. If you still wish to travel, Zoom recommends contacting other carriers and lists several on its website If your flight is part of a package holiday originating from the UK, you may be able to CAA's Air Travel Organiser's Licence scheme. If you have paid for Zoom flight, contact your credit card or debit card issuer to see if they can refund some or all of your money Source: Zoom Airlines
They added that hopes of securing a new investment package to ensure future operations had failed, meaning administration procedures had to begin.They added that hopes of securing a new investment package to ensure future operations had failed, meaning administration procedures had to begin.
Zoom said BA and Virgin Atlantic were offering "generous" fares for Zoom passengers. Zoom said BA and Virgin Atlantic were offering "special" fares for passengers whose flights had been cancelled.
They had based their business model on oil prices of about $70 or $80. When they topped $140, Zoom simply could not cope Simon CalderTravel editor, The Independent Trip jeopardy
The announcement came after one of its planes was detained at Glasgow Airport for non-payment of air traffic control charges.The announcement came after one of its planes was detained at Glasgow Airport for non-payment of air traffic control charges.
Meanwhile passengers on a flight from Cardiff were told to get off their Zoom plane, which was then impounded.Meanwhile passengers on a flight from Cardiff were told to get off their Zoom plane, which was then impounded.
One of the passengers due to fly from Glasgow to Vancouver said he had been told on Thursday morning that there was a "technical difficulty" with the aircraft, and that the plane would not leave until 11pm.
"Then at 7 o'clock the British airport authorities started telling us that Zoom Airlines had entered into administration and basically that we could go home," William Moonie told BBC News.
They had based their business model on oil prices of about $70 or $80. When they topped $140, Zoom simply could not cope Simon CalderTravel editor, The Independent
"This was supposed to be a holiday of a lifetime for my wife and I. I've just retired from the fire service after 30 odd years and my wife is 50 this year.
"We were going to have a celebration holiday. We were supposed to go on a cruise to Alaska and supposed to go to the Rocky Mountains by train."
He added he was hopeful that, because his flight was part of a package holiday, he may be covered by the CAA's Air Travel Organiser's Licence (ATOL) scheme.
Cutting back
A number of other budget long-haul carriers have gone into administration in recent months including Hong Kong to London carrier Oasis and business class transatlantic firm Silverjet.A number of other budget long-haul carriers have gone into administration in recent months including Hong Kong to London carrier Oasis and business class transatlantic firm Silverjet.
The rising cost of oil - which topped $147 a barrel in July - has led to aviation fuel bills soaring.The rising cost of oil - which topped $147 a barrel in July - has led to aviation fuel bills soaring.
"They had based their business model on oil prices of about $70 or $80," said Simon Calder, travel editor of The Independent."They had based their business model on oil prices of about $70 or $80," said Simon Calder, travel editor of The Independent.
"Once they topped $140 they simply could not cope.""Once they topped $140 they simply could not cope."
He added that "tens of thousands" of passengers were likely to suffer.He added that "tens of thousands" of passengers were likely to suffer.
Airline analysts say that with consumers being more cost-conscious, many were cutting back on luxury spending such as travel.Airline analysts say that with consumers being more cost-conscious, many were cutting back on luxury spending such as travel.


Are you due to travel on Zoom? Have you been affected by any issues raised in this story?Are you due to travel on Zoom? Have you been affected by any issues raised in this story?
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