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Sky's Limited

By Vera H-C Chan
Thu, April 03, 2008, 12:19 pm PDT

"Sorry... After more than 60 years of serving Hawaii, Aloha Airlines is no longer operating... Mahalo Nui Loa — Aloha Oe. July 26, 1946-March 31, 2008."

And there reads the self-penned epitaph of the Honolulu-based carrier, who ferried millions of newlyweds, tourists, and locals among the islands and to and from the Mainland.

Travelers were still searching for details on bankrupty, reservations, employment, and founder Ruddy Tongg when another airline called it quits. Less than two days later, ATA's home page offered a more business-like apology about filing for Chapter 11 and the "disruption caused by the sudden shutdown..."

Disruption? More like disarray. The two stunning collapses followed stories of staff buyouts at Delta Airlines and the flurry of Federal Aviation Administration inspections which have ground planes to a halt—including a White House plane.

The troubled skies have led people to research "airline safety ratings." The horrid disruptions do mean long-term safety, but consumers might not be so consoled after the Congressional testimony of two FAA whistleblowers. Southwest Airlines seems to be the main bad boy. The discount carrrier was walloped with a $10 million fine for its bad behavior.

With an already sickly economy, fewer airlines and airplanes could mean that vacations revolve around backyard barbecues. For those determined to travel, here are a few tips from the Buzz:

  • Passengers whose flights were cancelled should follow up on travel waivers. United released a statement on how to get refunds. People holding useless ATA tickets may want to look at Northwest's offer for stand-by options to Hawaii, and Southwest refunds.
  • With Aloha and ATA gone, expect an island rush for Hawaiian Air. According to the Associated Press, US Airways should swoop into ATA's void in Phoenix, while Delta and Continental while likely take its former Los Angeles routes.
  • Porfolio gives advice on controlling business travel costs, although some advice could be used by regular consumers.
  • The A.P. extracted five ideas from Travel & Leisure for domestic vacations, and the Street suggests affordable ski getaways and Caribbean vacations.
  • Searches for discount online travel brokers are rising fast. Another secret: Some consumers are seeking help from "online travel agents" (+134%).
  • The 'open skies' pact came to fruition on March 30. Now airlines can fly anywere between cities between the European Union and the United States. Depending on whom you ask, more competition may or may not mean lower fares... and the dollar is still weak against the Euro.

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