Skybus Shuts Down Operations

By Tim State in News on Apr 5, 2008 3:45PM

Skybus has gone belly-up, not only canceling fights out of Gary, but flights to all 15 cities they serviced. Photo by NickWarzy.

Another sign that the economy is falling out of the sky? Skybus ceased all operations at the close of business yesterday. This is the second airline servicing the Chicago area to shut down this week. Skybus had just begun service out of Gary not even a month ago. Their actions leave Gary without any scheduled airline service.

Their Web site cites rising fuel costs and an environment of slow economic growth as being “insurmountable” to a new carrier. Their site offered an apology:

We deeply regret the impact this decision will have on our employees and their families, customers, vendors, suppliers, airport officials and others in the cities in which we have operated. Our financial condition is such that our Board of Directors felt it had no choice but to cease operations.

If you’re holding a ticket for a Skybus flight, contact your credit card company for a refund.