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Sunday, September 14, 2008


Chicago Jobs Lost When Airline Files Chapter 11

Soaring gas prices aren’t just causing problems for motorist; the airline industry is also suffering. As a result, many companies have tried to pass on the extra costs to consumers by raising prices. Because of this, fewer individuals are traveling, which has caused even more problems. The most recent news is that the closing of one airline is going to cause the loss of several hundred Chicago jobs.

ATA Airlines recently announced that it was closing down and claiming Chapter 11 bankruptcy. According to a document that was filed with the state, 309 workers at Midway International Airport were laid off this week.

Although the document said that ATA notified the state on March 12 about the closure, many of the employees said that they were not made aware until they showed up for work on the 11th, which is when all of ATA service was canceled all service.

The company, which is the nation’s 10th largest airline, officially entered bankruptcy for the second time in around three years on the 10th of this month. Prior to closing, ATA had approximately 2,200 employees.

The loss of these Chicago jobs are not the only problems caused by ATA’s closing. Although the company says that those who purchased tickets with credit cards can get a refund, those who bought them cash or check will not be receiving immediate refunds. These individuals may be able get the full or at least partial cost of their tickets if they submit a claim in ATA’s Chapter 11 proceedings. More information on this can be found on the airlines website for those who bough them with credit. Those who need to file a claim can find out more at:


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