Go Back  FlyerTalk Forums > Travel&Dining > Travel News
Reload this Page >

XL Airways about to go...

XL Airways about to go...

Reply

Old Sep 11, 08, 4:55 pm
  #1  
Original Poster
 
Join Date: Apr 2008
Location: London
Programs: Mucci, BA Gold, VS Gold, Accor Gold, Hilton Gold
Posts: 1,675
XL Airways about to go...

Reports UK press...

http://business.timesonline.co.uk/to...cle4735790.ece

The XL Group is Britains 3rd largest tour operator, behind Thomson/First Choice and Thomas Cook/Airtours.
Sealink is offline  
Reply With Quote
Old Sep 12, 08, 1:28 am
  #2  
Suspended
 
Join Date: Jan 2007
Posts: 5,159
And gone ...

ITN - 1 hour 37 minutes ago

Around 50,000 British holidaymakers are stranded overseas after the collapse of one of the UK's biggest tour operators.
(Advertisement)

XL Leisure Group has grounded its fleet of planes after failing to secure a multi-million pound rescue package.

An operation is now under way to get customers home from places like Florida and the Caribbean.

XL Airways provided flights to more than 50 destinations across Europe, Africa and the US.

Passengers yet to travel should make alternative arrangements, while those already on holiday will be brought home on flights arranged by the Civil Aviation Authority.

Customers who booked through four tour operators - The Really Great Holiday Company, Kosmar Holidays, Freedom Flights, and Aspire Holidays - are protected under the Air Travel Organiser's Licenses (Atol) scheme.
Showbizguru is offline  
Reply With Quote
Old Sep 12, 08, 6:35 am
  #3  
 
Join Date: Jan 2007
Location: RTM
Programs: DiamondClub (rip), Currently an Alliance Treble Champion (BA, A3, AZ)
Posts: 1,686
Oh to be stranded in the Carribean and Florida... lucky buggers!

Those still in Blightly.. bad luck.. best of luck with your CC companies and/or ATOL
OttoMH is offline  
Reply With Quote
Old Sep 12, 08, 6:58 am
  #4  
 
Join Date: Sep 2004
Location: BDL
Programs: NWA Platinum, HHonors Diamond, SPG, YX, AA
Posts: 5,351
Originally Posted by OttoMH View Post
Oh to be stranded in the Carribean and Florida... lucky buggers!

Those still in Blightly.. bad luck.. best of luck with your CC companies and/or ATOL
Until have to pay 7 or 8 times the price of their original ticket to get home
MKEbound is offline  
Reply With Quote
Old Sep 12, 08, 8:49 am
  #5  
 
Join Date: Sep 2005
Location: LAX
Programs: AA ExPlat, HHonors Diamond
Posts: 1,097
If a large U.S. carrier was to all of the sudden go under, is there some sort of an ATOL-like program that would get stranded passengers abroad back to the U.S., or would they have to rely on AmEx/Visa/MasterCard to get them back for a pretty penny?
gosha83 is offline  
Reply With Quote
Old Sep 12, 08, 10:21 am
  #6  
A FlyerTalk Posting Legend
 
Join Date: Apr 2001
Location: NYC
Posts: 69,035
Originally Posted by gosha83 View Post
If a large U.S. carrier was to all of the sudden go under, is there some sort of an ATOL-like program that would get stranded passengers abroad back to the U.S., or would they have to rely on AmEx/Visa/MasterCard to get them back for a pretty penny?
For a couple years after 9-11 all carriers were required to honor tix of a bankrupt carrier on a standby basis for $50 or something like that. That requirement has lapsed but with the most recent failures (SkyBus, Aloha, ATA) the other carriers have, for the most part, offered such an option. But there is no requirement that they do so at this time.

I did find it interesting in one of the articles I read about the topic that apparently folks who booked directly were less protected than those who used a travel agent. I have no idea why that would be unless the TA's insurance somehow covers it, but it was an interesting tidbit.
sbm12 is offline  
Reply With Quote
Old Sep 12, 08, 12:33 pm
  #7  
 
Join Date: Dec 2007
Location: PDX
Programs: AA,DL,BA,UA,SPG, and any other free trip!
Posts: 1,783
Originally Posted by gosha83 View Post
If a large U.S. carrier was to all of the sudden go under, is there some sort of an ATOL-like program that would get stranded passengers abroad back to the U.S., or would they have to rely on AmEx/Visa/MasterCard to get them back for a pretty penny?
I'm assuming that's what the USS Abraham Lincoln is for.....of course, dont try using any upgrade awards on those seats--and no lobster bisque served...just MRE rations.
mrx900 is offline  
Reply With Quote
Old Sep 12, 08, 12:43 pm
  #8  
 
Join Date: Mar 2007
Location: YVR
Programs: Aeroplan Former E
Posts: 1,022
Originally Posted by sbm12 View Post
I did find it interesting in one of the articles I read about the topic that apparently folks who booked directly were less protected than those who used a travel agent. I have no idea why that would be unless the TA's insurance somehow covers it, but it was an interesting tidbit.
Some places have an insurance scheme covering travel agents and their clients for blow-ups such as this. So one reason to use a TA if you can find a good one.
Jalinth is offline  
Reply With Quote
Old Sep 12, 08, 1:16 pm
  #9  
A FlyerTalk Posting Legend
 
Join Date: Apr 2001
Location: NYC
Posts: 69,035
Originally Posted by Jalinth View Post
Some places have an insurance scheme covering travel agents and their clients for blow-ups such as this. So one reason to use a TA if you can find a good one.
I do not get the impression that US-based TAs carry such coverage for their clients. Am I mistaken?
sbm12 is offline  
Reply With Quote
Old Sep 12, 08, 3:03 pm
  #10  
Original Poster
 
Join Date: Apr 2008
Location: London
Programs: Mucci, BA Gold, VS Gold, Accor Gold, Hilton Gold
Posts: 1,675
Originally Posted by gosha83 View Post
If a large U.S. carrier was to all of the sudden go under, is there some sort of an ATOL-like program that would get stranded passengers abroad back to the U.S., or would they have to rely on AmEx/Visa/MasterCard to get them back for a pretty penny?
If you booked a flight only (ie: not as part of a package, and a package only has to include one night's accommodation or car hire, for example) and it was directly with XL Airways you do *not* have any cover. ATOL only applies to package holidays, or travel agents with ATOL licenses, so in a minority of cases clients can get a refund via the credit card company.

If you paid with a debit card then you are an unsecured creditor , again only if you booked just a flight, directly with the airline (or via a non ATOL agent).
Sealink is offline  
Reply With Quote
Old Sep 12, 08, 4:20 pm
  #11  
 
Join Date: Mar 2007
Location: YVR
Programs: Aeroplan Former E
Posts: 1,022
Originally Posted by sbm12 View Post
I do not get the impression that US-based TAs carry such coverage for their clients. Am I mistaken?
It depends on the country/province/state. In Canada, some provinces have such a scheme but not all of them AFAIK. Some individual US states might have it but it depends on how they regulate travel agencies. The US government definitely doesn't have such a plan and neither does the Canadian government.
Jalinth is offline  
Reply With Quote
Old Sep 13, 08, 1:19 pm
  #12  
TA
 
Join Date: Nov 1999
Location: if it's Thursday, this must be Belgium
Programs: UA 1K MM
Posts: 6,030
I'm a little bit peeved at how even the BBC is calling the situation, at times, "a human tragedy". Are you kidding me? There are human tragedies, but this is far from one. Holidaymakers delayed by a few days because an airline went bankrupt? Please.

And as unfortunate as it is, why is the government bailing out those people stuck abroad? Can they really afford to do this right now? People who are fortunate enough to be traveling abroad are not exactly the top priority of govt expenditure, are they, considering what shape other govt services are in at the moment?
TA is offline  
Reply With Quote
Old Sep 13, 08, 1:32 pm
  #13  
A FlyerTalk Posting Legend
 
Join Date: Apr 2001
Location: NYC
Posts: 69,035
Originally Posted by TA View Post
I'm a little bit peeved at how even the BBC is calling the situation, at times, "a human tragedy". Are you kidding me? There are human tragedies, but this is far from one. Holidaymakers delayed by a few days because an airline went bankrupt? Please.

And as unfortunate as it is, why is the government bailing out those people stuck abroad? Can they really afford to do this right now? People who are fortunate enough to be traveling abroad are not exactly the top priority of govt expenditure, are they, considering what shape other govt services are in at the moment?
Agreed that it is about as far from a human tragedy that it can possibly be. As for the government bailing them out, my understanding from posts above is that the ATOL holds a bond from the carriers, effectively enough money (or close to it) for the ATOL to charter flights if the airline goes under. It is similar to the CC companies holding some amount of ticket revenue back from the airlines in case they go under and the CC companies need to refund charges to the customers.
sbm12 is offline  
Reply With Quote
Old Sep 13, 08, 1:50 pm
  #14  
 
Join Date: Aug 2000
Location: Exile
Posts: 14,684
Originally Posted by sbm12 View Post
Agreed that it is about as far from a human tragedy that it can possibly be. As for the government bailing them out, my understanding from posts above is that the ATOL holds a bond from the carriers, effectively enough money (or close to it) for the ATOL to charter flights if the airline goes under.
Close. The bond is not associated with the airline (which is why those people who booked directly with the airline are stuck up the proverbial creek without a paddle) but rather with the tour operator and/or travel agent who sold the ticket.
B747-437B is offline  
Reply With Quote
Old Sep 13, 08, 2:31 pm
  #15  
 
Join Date: Jun 2008
Programs: Various memberships
Posts: 452
And of course just to muddy the waters even further you may be covered if you used a Visa Debit Card and go through the "Charge Back" procedure. This applies in the UK, don't know about other countries.
TheEngineer is offline  
Reply With Quote

Thread Tools
Search this Thread