Fliers stranded as MAXjet Airways ceases flights

Source: Associated Press

MAXjet Airways ceased operations on Monday — leaving jets on tarmacs and stranding passengers on Christmas Eve — as the all-business class airline said it would file for bankruptcy protection.

MAXjet cited soaring fuel prices and the deteriorating credit market for what it called a "drastic measure." But analysts said the company's failure may raise questions about the viability of all-business class airlines.

The company also announced the immediate resignations of its non-executive chairman, Ken Woolley, and directors Paul Kehoe and Roger Flynn.

MAXjet launched in 2005 and offered "all-premium" flights between London, New York, Las Vegas and Los Angeles. But analysts said it couldn't compete with deeper-pocketed AMR Corp.'s American Airlines business class.

Read more: http://www.usatoday.com/money/industries/travel/2007-12-24-maxjet_N.htm

....but instead of filing BK these guy's are quitting biz...

http://biz.yahoo.com/bw/071219/20071219006073.html?.v=1

from the article - "Big Sky began its eastern operations in April 2007 as a Delta Connection codeshare partner," Rumors are flying all over Atlanta about the *possible* merger between Delta and United. Atlanta is the hub for Delta, and there is a lot of worried people here.

Bankrupt or not, you KNOW they ain't walking away with empty pockets...

Who wants to fly into London Stansted airport?! According to their article it sounds like their load factors were in the 40-70% range and no airline is going to survive flying around partially empty jets like that. I expect Eos and Silverjet to join the ranks of Maxjet sooner rather than later.

Stock - up until they (insider) announced it - It always amazes me that some 30 day notice or something cant be done (law) ....now workers, customers are left out besides some honest stock holders and venders..while the CEO/CFO/etc...walk away