Another U.S. Low-Fare Airline Goes Belly Up

Low-fare airline Independence Air has recently filed for bankruptcy, the latest Chapter 11 filing by a U.S. airline, adding that it would seek to auction itself.

According to Reuters, the former regional feeder carrier had been struggling with high fuel prices which hit the airline particularly hard because of its reliance on inefficient 50-seat regional jets.

“Its bankruptcy could be good news for rivals whose fares have been depressed by competition from Independence out of Washington Dulles International and other airports on the East Coast of the United States,´´ the news agency reported.

Independence says it plans to continue flying its regular service, and travelers should not expect any immediate day-to-day changes in the 35 cities it serves.