ATA says it will maintain flights, honor tickets
Wednesday, October 27th 2004, 9:24 am
By: News On 6
INDIANAPOLIS (AP) _ ATA says it will honor all tickets and maintain its full schedule, after filing for Chapter Eleven bankruptcy yesterday.
The Indianapolis-based airline becomes the latest to be snared by rising fuel costs and fare wars over declining passenger business following the 2001 terrorist attacks.
ATA founder and chief executive George Mikelsons says ATA will sell off most of its operations at Chicago Midway Airport to AirTran Airways and make Indianapolis its primary hub.
Orlando-based AirTran will assume ATA's flight operations, gate leases and routes at Midway and arrival and departure slots at New York's LaGuardia and Washington's Reagan National airports.
Mikelsons said he expects the airline to emerge from bankruptcy within a few months as a low-cost carrier.