Neither the size of an airline or its many years already operating is a guarantee of continued operation. An examination of industry failures over the past year makes it clear that in the face of a global pandemic, no airline is safe.
Some ideas by airlines to reduce service significantly just to stay afloat did not pan out financially in many cases. In other instances, poor management for years, coupled with the travel-related problems the coronavirus pandemic has caused, ultimately led to bankruptcy.re
To compile a list of airlines that have gone out of business in 2021, 24/7 Tempo reviewed dozens of news articles about the status and ultimate demise of many domestic and international airlines.
Though the air travel business has been one of the hardest-hit industries since the early days of COVID-19, not all of the airlines that ceased operations this year have the pandemic entirely to blame. The airline industry saw a small revival in 2021 after many travel restrictions were lifted, but that was not enough of a recovery for some airlines.
Some struggled financially, often due to fuel costs, unfilled seats, or simply competition. No American airlines collapsed this year, at least partly because of a $54 billion bailout that covered payroll costs for a year and a half. To ease U.S. airlines’ trouble, the government also extended a $25 billion low-cost loans program to carriers.
Though U.S. carriers were spared in 2021, airlines from Canada to Italy and New Zealand were not. In a few cases, the airline’s suspension of service was without warning, even when financial difficulties were well known.
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