It looks like one of my predictions for the year is destined to occur before the week is out:
D.C.-based, low cost carrier, Independence Air, announced today that is will cease operations on Thursday, January 5th. The last flight will be #1777 from Westchester County to Washington-Dulles, departing Thursday at 7:26 pm.
The failure of Independence Air to emerge from bankruptcy is, unfortunately, not surprising. I just thought it would take a little longer.
Passengers who disregarded the impending doom of Independence, and are holding tickets for travel after January 5th, have a couple of options. These range from changing plans to travel before cessation of operations, or hope that the bankruptcy court approves a plan allowing for an automatic refund of the ticket price. After that, it's a matter of standing in line with the other creditors.
There are lessons to be learned from the Independence business model. The question remains, will anyone get it?