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Tour firm in administration
The XL Leisure Group has become the second travel company in recent weeks to enter administration.
All of XL's planes have been grounded, leaving tens of thousands of passengers stranded abroad.
"We've made every effort, myself and my fellow directors, to find new funding for the business," commented chairman Phil Wyatt.
A statement on the firm's website blamed the company's administration on volatile fuel prices and the economic downturn.
The Civil Aviation Authority (CAA) estimates there are almost 70,000 passengers abroad who have booked with the company and will need to find alternative means of travel.
"In respect of people who are currently abroad we're making arrangements and working very closely with the travel industry to organise repatriation flights," said David Clover, a spokesman for the CAA.
The CAA confirmed that over 200,000 customers had made advance bookings with the airline.
Customers who have package deals are covered by the CAA's Air Travel Organisers' Licensing (ATOL) scheme and will be offered repatriation flights or a refund if they have an advance booking.
However, travellers who booked directly with the airline or XL.com will have to pay for new tickets.
With fuel prices continuing to rise, many experts are predicting there will be more trouble ahead for other travel companies.
Zoom airline was recently forced into administration after the company failed to reach an agreement with its of creditors and suppliers.
Passengers are being advised to book flights on a credit card and to check insurance policies.
The XL group has 1,700 employees worldwide and runs an airline and several travel companies.
Post Date: September 15th, 2008
All of XL's planes have been grounded, leaving tens of thousands of passengers stranded abroad.
"We've made every effort, myself and my fellow directors, to find new funding for the business," commented chairman Phil Wyatt.
A statement on the firm's website blamed the company's administration on volatile fuel prices and the economic downturn.
The Civil Aviation Authority (CAA) estimates there are almost 70,000 passengers abroad who have booked with the company and will need to find alternative means of travel.
"In respect of people who are currently abroad we're making arrangements and working very closely with the travel industry to organise repatriation flights," said David Clover, a spokesman for the CAA.
The CAA confirmed that over 200,000 customers had made advance bookings with the airline.
Customers who have package deals are covered by the CAA's Air Travel Organisers' Licensing (ATOL) scheme and will be offered repatriation flights or a refund if they have an advance booking.
However, travellers who booked directly with the airline or XL.com will have to pay for new tickets.
With fuel prices continuing to rise, many experts are predicting there will be more trouble ahead for other travel companies.
Zoom airline was recently forced into administration after the company failed to reach an agreement with its of creditors and suppliers.
Passengers are being advised to book flights on a credit card and to check insurance policies.
The XL group has 1,700 employees worldwide and runs an airline and several travel companies.
Post Date: September 15th, 2008
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