Southeast Airlines Shuts Down!!!

[sandspms]

I was trying to book tickets with Southeast Airlines and when I got to their website this is what it said:

 

SOUTHEAST AIRLINES

 

 

 

Southeast Airlines has made its final landing and has ceased airline operations. We apologize for the inconvenience this will cause to our customers, vendors and employees.

 

 

 

We sincerely thank all of our loyal employees, customers and vendors for their dedication, support and efforts.

 

 

 

Customers seeking refunds of unused tickets purchased with a credit card should contact their credit card companies and request that the charge for the cancelled flight(s) be “charged back”.

 

 

 

Customers who purchased their tickets with cash, check or debit cards should contact United Bank at 727.898.2265

 

 

 

You may also re-book your flight on Airtran Airways for $50.00. If you elect this option, please fax a copy of your Airtran receipt along with a copy of the invoice for your cancelled Southeast flight to 757.220.5818, and Southeast will arrange for reimbursement from its DOT-approved escrow account.

 

 

Thought this would be helpful if anyone has tickets to fly with them.

 

Pam

[hdawson]

Get used to this happening. There will certainly be one more airline (major) to do this in the next 3 or 4 months. And there is no warning given first.

Poof and they're gone. Once the decision is made the creditors take possesion of the assets and most employees are sent home.

[flamingosun]

In this particulara case, Southeast did NOT file Chapter 11, hence the sudden shut-down with no warning.

 

Had they gone into Chapter 11, there would have been a period during which they continued operating, resulting in either a more orderly shutdown, or a reorginazition.

 

I'd think that - even in a struggling sector - Chapter 11 filings would be more likely than multiple unexpected door closings.

[ducklite]

When a carrier ceases operations, generally other carriers under Federal Law must accept the tickets of the out of business carrier. I believe a small service fee of around $25 per ticket can be charged.

 

With Southeast, they were a charter airline, so other carriers do not (and my bet is will not) accept their tickets. ANyone booked on Southeast will have to try to get their money back from their credit card companies or file a claim against the carrier. Eventually their assets will be sold and hopefully some travelers will recoup their money, but my guess is that will be a small percentage.

 

Anne

[springtxbill]

A prime example of why all purchases should be made with a credit card rather than a debit card or cash.

[PokrChick]

I don't know what link you went to, but Southwest Airline is alive and well and one of the most profitable airlines around. This must have been a hoax.

[MackMasterson]

SouthEAST airlines, not SouthWEST...

[Cruisechik]

Get used to this happening. There will certainly be one more airline (major) to do this in the next 3 or 4 months. And there is no warning given first.

Poof and they're gone. Once the decision is made the creditors take possesion of the assets and most employees are sent home.

 

 

Are you speaking of United? I know they are in Chapter 11.

[hdawson]

Cruisechick. USAir is my bet for the next shutdown. This is the second time to be in banckruptcy in 3 yrs.

[sandspms]

The airline served Allentown/Bethlehem, Pa.; Newburgh, N.Y.; Gary, Ind.; Columbus, Ohio; and three Florida locations: Fort Lauderdale, St. Petersburg/Clearwater and Orlando. Yes, this airline was a small one, but very convenient for us.

 

Pam

[Driftwoodgal]

I didn't book my tickets with Delta, even though they were cheaper, because I was worried that they might not be around in January. I don't think it is fair that companies can take your money and then fold on you and leave you with the mess of getting your money back. They must have a good idea of their financial situation.

 

I feel sorry for those that have been left in this mess..... I wish you luck getting your money back.

[ducklite]

I'm putting my money (and FF miles which I'm trying to use up!) with HDawson for that one. US is the next to go, and IMHO Untied isn't far off behind. Not sure how UAL didn't fall apart a long time ago.

 

CO and SW are both healthy, JetBlue seems to be holding their own, and Delta, well, we'll see.

 

Anne

[hdawson]

Pam. At least AirTran stepped up to the plate to help those holding tickets on Southeast. AirTran is my line of choice and am a proud stockholder.

AirTran is growing and expanding and had 9 out of 10 profitable quarters.

[DannyS]

If one of the major airlines goes under, you will not be left hanging. Most of them have enough assets that they'd simply be taken over by another carrier. (This is what happened when TWA shut down - American got the aircraft and took over all the flights.)

[hdawson]

Danny. You're right. AirTran is in the process of taking over ATA's flights and operations at Midway and also ATA's landing and take off slots at LGA in NYC and Reagan National in DC. Midway will become AirTran's second hub operation.

[flowergirl15409]

we came home from our mariner thanksgiving cruise on monday morning on southeast airlines into gary/chicago via sanford - by tuesday evening they were out of business. too close for me but thank god it didn't get us!!!

[wallie5446]

Nevermind

[msts]

The federal law that allowed passengers to fly on another airline, expired I believe at the end of November, and was not renewed. Your federal government at work.

 

msts

[hdawson]

As I said before. AirTran has offered SEA's customers to honor thier paid fares for a standby fee of $50. It is of course on a standby basis.

[vossjemi]

This type of thing can happen in any business. I am reminded when my sister lost her security deposit to her landlord who went bankrupt. To a college student, $500 is a lot of $. Her landlord was a company that went bankrupt. She was allowed to file a proof of claim with the bankruptcy court, but the creditors with liens, etc... all had priority, and she got nothing.

[DocJohnB]

Read this in the St. Petersburg Times this morning and thought it germane to this thread.

 

Can I get a refund on a ticket I can't use now?

 

Yes, if the ticket was paid for with a credit card. Since Southeast was a public charter airline, it is required by federal law to place all money collected for tickets into an bank escrow account.(emphasis is mine) When a flight is completed, the airline must certify the number of passengers aboard, and that many fares are then released from the account. Anyone who canceled a reservation and is due a refund or has a credit for a future ticket should be able to get the money back. Contact your credit card company.

 

What if I paid with cash or by check?

 

Under the law, that money should have been placed in escrow. But if Southeast failed to escrow those funds, they probably have been spent and are lost to the customer

[Todd320]

I agree there is extreme turmoil in the airline industry. Under chapter 11 the bankruptcy judge runs the show. This week the creditors wanted to take back 14 aircraft from United but the judge blocked it. Continental has gone into and has come out of bankruptcy twice so there is a chance US Air could make it.

[Cruisechik]

What about frequent flier tickets? We are planning to use our United FF miles for Hawaii next November. I can't book yet, we're just outside of the 330 days, but what happens with FF tickets if an airline goes out of business? Does anyone have any experience with this?

[JDee]

Taken from today's St. Pete Times:

 

Q. Can I get a refund on a ticket I can't use now?

 

Yes, if the ticket was paid for with a credit card. Since Southeast was a public charter airline, it is required by law to place all money collected for tickets into a bank escrow account. When a flight is completed, the airline must certify the number of passengers aboard, and that many fares are then released from the account. Anyone who cancelled a reservation and is due a refund or has a credit for a future ticket should be able to get the money back. Contact your credit card company.

 

Q. What if I paid with cash or check?

 

A. Under the law, that money should have been placed in escrow. But if Southeast failed to escrow those funds, they probably have spent and are lost to the customer.

 

Q. Why won't other airlines honor my ticket?

 

A. Southeast is a charter airline and had no reciprocity with regularly scheduled airlines to honor each other's tickets. Charters generally do not have such agreements.

 

Q. If I'm stranded, do I have to pay for a full-fare ticket on another airline?

 

A. Not necessarily. ATA and USA 3000 Airlines,which fly from St. Petersburg-Clearwater airport just as Southeast did, are offering low fares to stranded Southeast passengers on a seat-available basis. The airlines will fly passengers to an airport as close to their original destinations as possible. In addition, AirTran, which flies from Tampa International Airport, is offering to fly stranded Southeast passengers on standby for $50.00 a seat plus tax.

 

Q. What if I decide to drive home?

 

A. Hertz and Budget have dropped their one-way drop-off fees for Southeast passengers, and Alamo has cut their drop-off fee by 50 percent.

 

Q. What do I do if the airline has my luggage.

 

A. Contact the airport where you checked in.

 

Q. What is a charter airline?

 

A. Public charter airlines operate under different federal regulations then major airlines. Charter airlines, for example, have more flexibility in scheduling.

In additiion, they are not allowed to spend money collected from fares until after a flight has been completed.

 

=========================

 

Hope the above will answer some concerns by those who got caught in the web.....

 

Happy cruising.....

[DannyS]

What about frequent flier tickets? We are planning to use our United FF miles for Hawaii next November. I can't book yet, we're just outside of the 330 days, but what happens with FF tickets if an airline goes out of business? Does anyone have any experience with this?

 

Frequent flier programs are one of an airline's most valuable assets. Frequent Fliers are loyal customers, and they usually pay higher fares (business travelers). If another airline bought United's aircraft and routes, they'd also want the Frequent Fliers to come with the deal. (Again, look to how AA took over the bankrupt TWA - TWA Frequent Fliers were rolled into AA's FF program)