Florida-based Silver Airways said it will continue to fly after filing for bankruptcy
Silver Airways, a regional airline serving Florida and the Caribbean, continues to fly after filing for Chapter 11 bankruptcy reorganization on Monday.
The Hollywood, Florida-based airline plans to secure new capital and restructure debt through bankruptcy, Silver said in a report. declare. It aims to emerge from bankruptcy in the first quarter of 2025 as a stronger, more competitive airline.
All existing reservations, including those made through partners JetBlue Airways and United Airlines, “remain valid” and all customers “will experience no interruption to their reservations or their services,” Silver said.
Some US airlines continue to face difficulties after the pandemic. While tourists are returning in record numbers, the costs of many items from aircraft to labor have increased significantly during the recovery period. America’s largest low-cost airline, Spirit Airlines, filed for bankruptcy protection in November amid rising bills and weak revenues.
Silver faces similar cost challenges. In bankruptcy court filings, the airline disclosed many outstanding debts. They owe aircraft leasing company Azorra nearly $4.5 million for its fleet of ATR turboprops and $2.1 million to the Internal Revenue Service in unpaid taxes or fees. Silver also listed unpaid invoices at several of its busy airports, including operators Fort Lauderdale-Hollywood International Airport (FLL), Orlando International Airport (MCO) and National Airport Luis Munoz Marin (SJU) of San Juan.
The airline has also had difficulty expanding in recent years. Efforts to add flights outside Florida and the Caribbean ended in failure. Silver departed from its final two U.S. destinations outside Florida – Georgia’s Savannah/Hilton Head International Airport (SAV) and South Carolina’s Greenville-Spartanburg International Airport (GSP) – in March, data shows. schedules from aviation analytics firm Cirium Diio show.
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And in March, American Airlines ended its loyalty partnership with Silver.
Silver serves 22 destinations in Florida and the Caribbean today, primarily from bases in Fort Lauderdale and San Juan, Cirium schedules show. It operates a fleet of eight ATR 42s and six ATR 72 turboprops.
Silver subsidiary Seaborne Airlines also flies Twin Otter seaplanes between St. Thomas and St. Croix in the Caribbean.
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