Low cost transatlantic carrier Zoom have suspended operations.

It all started yesterday evening at around 19:00 when planes were siezed on the tarmac at Glasgow Airport for non-payment of air traffic control charges. Another plane in Cardiff was also prevented from flying and passengers asked to disembark.

Horrendous Price of Fuel

The company says its problems were caused by the "horrendous" price of jet fuel, and the economic slowdown.
It is now applying to go into administration and its passengers are advised to contact credit or debit card issuers about refunds.

Zoom flew to eight destinations in Canada, as well as New York, San Diego, Fort Lauderdale and Bermuda.

The company, which has flown since 2001, employs 450 staff in Canada and 260 staff in the UK.

It operated flights from London Gatwick, Glasgow, Manchester, Cardiff and Belfast, as well as Paris and Rome.

Founders Statement

Hugh and John Boyle, the founders of Zoom, said: "We deeply regret the fact that we have been forced to suspend all Zoom operations. It is a tragic day for our passengers and more than 600 staff."

"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. Even late today we believed we had secured a new investment package to ensure future operations but the actions of creditors meant we could not continue flying. Having been unable to complete the investment package the directors of Zoom had no option but to instigate administration proceedings."

"The suspension of operations is a result of the exceptionally difficult trading conditions which have affected all airlines over the last 12 months. We have worked hard over the last seven years to build up a successful business but have incurred losses in the current year due to the unprecedented increase in the price of aviation fuel and the economic climate. The increase in the price of oil has added around $50 million to our annual operating costs and we could not recover that from passengers who had already booked their flights."

"We would like to thank the many thousands of passengers who chose to travel with Zoom during the last seven years and efforts of the airline's staff. We are extremely sorry for today's unavoidable actions."

Stranded

900 passengers are said to be 'stranded' and over 40,000 people may be affected in total.

British Airways and Virgin are offering Zoom passengers 'special' tickets.


Advice from Zoom's website:

• 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 make a claim under the CAA's Air Travel Organiser's Licence (Atol) scheme.
  
  
• If you have paid for a Zoom flight, contact your credit card or debit card issuer to see if they can refund your money