All-Business Class Airline EOS Is Out Of Business

Bankruptcy isn’t just for discount carriers anymore! The all-business class carrier EOS filed for Chapter 11 bankruptcy protection yesterday, and will fly its last flight tonight. Eos envisioned a beautiful world, one where business elites traveled unfettered by proles and crying babies, unless the babies were crying for more gold. That vision lies shattered, hopeless pummeled by rising oil prices and stingy business travelers who will now have to share planes with the rest of us.

Our unique relationship makes it all the more difficult to share with you the news that Eos has filed for bankruptcy in the U.S. Bankruptcy Court in the Southern District of New York. On April 26, 2008, we plan to operate Flight 6 (8:30pm) from JFK to STN. On April 27, 2008, we plan to operate Flights 3 (1:00pm) and 7 (6:30pm) from STN to JFK. Flight 5 from STN to JFK and all flights from JFK to STN on April 27, 2008 are canceled. We will cease operations entirely after April 27, 2008.

This announcement is particularly regrettable since we have achieved so much, including having a term sheet in hand for additional financing. Clearly, even in today’s challenging economic and credit environment, investors believe in Eos. Unfortunately, some issues arose that prevented the parties from moving forward.

We sincerely apologize to those of you who have travel planned in the days ahead. Eos Guests should seek alternative arrangements for travel and should contact their credit card companies or travel agents directly for information about how to obtain a refund for unused tickets.

For our Club 48 members, unfortunately, in the face of this bankruptcy filing, you will no longer be able to redeem your points for rewards. Any value related to your membership will be determined by the court as part of the bankruptcy process.

Ticket holders should call their personal Black Card concierge and request a refund, because even EOS doesn’t think they’ll return to the skies:

Q: Is there a chance that Eos will emerge from bankruptcy and begin operations again?

A: We understand the affinity our Guests have had for Eos and we feel the same way about our Guests. We wish we could have pursued other options, but unfortunately, Eos is going out of business.

You will be missed.

Eos Airlines to Stop Flying by Monday [AP]
To Our Valued Guests [EOS Airline]
(AP photo/ EOS Airlines, HO)

Comments

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  1. thirdbase says:

    hmmm…. This effects like maybe 8 people in the whole world. Not including the two pilots that worked for them.

  2. Amelie says:

    I flew Silverjet last summer to London, when they had a $1600 fare promo. It was absolutely wonderful, especially considering that steerage class on the regular carries was running $1200 for similar flights to Europe. I believe EOS was about $3500 round trip, but I’m sure it was delightful.

  3. spinachdip says:

    I’m guessing the biggest problems with the seemingly (not really) recession-proof business model of targeting the rich folks were:
    1) You can offer an all-business-class flight experience, but you can’t offer an all-business-class airport experience, and really, the airport is where the majority of the headache is.
    2) The high-end of their target market can afford private jets, the low-end of their market is presumably too invested in frequent flyer miles with mainstream airlines.
    3) Low-volume, high-margin business is fine if your bottom line weren’t so directly tied to fuel prices

    Yeah, this wasn’t going to work, like, ever.

  4. mobilehavoc says:

    God damn it, I loved that airline and I had a bunch of miles on it too. Definitely one of the best flight experiences I’ve had. You will definitely be missed.

  5. jpx72x says:

    The subtle jabs that you make at fliers who may prefer the services of a business class only airline annoy me. You run the risk of alienating your readership base. Framing posts from the point of view of someone who is poor and hates people who purchases luxury items will cause me to quit reading.

  6. spinachdip says:

    @jpx72x: You’d think wealthy, successful people would not be insecure or suffer from persecution complex. But you’d be wrong.

  7. Gari N. Corp says:

    I’m sure that flying into Stansted (connections mainly with low-cost airlines, 40-min train connection to London) didn’t help.

  8. Web2PointOhShit says:

    yeah, everything @spinachdip said.

    Also, why would anyone want to fly to STN (“London” Stansted). 45 minutes train (plus the wait) or 1hr+ drive into London…

  9. Silversmok3 says:

    Wow. I didn’t even know this airline existed. Maybe that’s why they’re going under.

  10. thirdbase says:

    @jpxt2x: c-ya

  11. Trai_Dep says:

    Damn. Because the overweening levels of schadenfreude that I would have wallowed in following the Consumerist complaint of a customer trapped in a cabin filled with well-coifed yet horrible children would have been delicious.
    De.
    Li.
    Cious!

  12. weave says:

    I flew MaxJet before they went under. They also flew into STN. I loved the location, although I usually went north into the Midlands. There’s this delightful B&B near Thaxted, in the middle of the country yet only a few minutes from the airport. A great place to spend one’s last night in UK before flying home.

  13. jamar0303 says:

    @Gari N. Corp: Well, sounds better than Heathrow, withtheir current “little” fiasco…

  14. FrankReality says:

    EOS = End Of Service

  15. tweemo says:

    Damn I wish these airlines were succeeding. Coach makes me want to kill myself, private is too bad for the environment, even if I could afford it, and I don’t want to pay major airlines extra money for business class on principle (even if it’s cheaper than all-business airlines). So these sounded like a nice option.

  16. cascascas says:

    @Web2PointOhShit:
    Because if you’re heading for the City, it’s a darn site quicker to take a 45 min train stright into Liverpool St than 20 mins into Paddington from Heathrow, then an hour on the tube or sitting in the traffic in a taxi!

  17. FLConsumer says:

    How much was EOS charging for NYC->LDN?

    I saw someone comment that EOS fliers could just take a private jet for the trip. Doubtful. Firing up a private jet is terribly expensive, far more so than anything offered by the airlines.

  18. sister_mary_fake says:

    Agree w Jamar0303. If you’re a business traveller, flying into Heathrow is the absolute worst, esp. if you have to get into the City. To get in , it’d take minimum 20minutes on the train, plus another half hour in a cab – total cost of close to £50. Meanwhile, the train from Stansted goes direct to the City and will run you less than £20.

  19. bobblack555 says:

    Business class isn’t any better than Economy.

    2 inches more legroom! Woohoo!

    Lame.

  20. mobilehavoc says:

    @bobblack555:

    You’re a moron, and obviously haven’t flown EOS in the past. Trust me, it’s 10x more than just 2 more inches of legroom. How about a fold flat seat with fresh linens and blankets, portable entertainment unit with tons of free premium movies, complimentary Bose noise cancelling headphones during the flight, they give you pajamas to change into, their meals are to order and served on china with real cutlery, free alcohol, special terminals where they escort you through security and customs (one time I got from the airport curb to the lounge in 10 mins flat)….I could go on and on.

    If you don’t know what you’re talking about just move along.

  21. Poster99 says:

    Their main competition here was Virgin Atlantic’s “Upper Class” not United/American/etc. business classes. Even MaxJet and SilverJet aren’t in the same league. In both EOS’ and Virgin’s case it is really first class service coded as business class so it can get approved on the expense report.

    mobilehavoc has it right this is 10x more than “2 more inches of legroom”

    Guess it’s back to Virgin Atlantic
    .