British low cost carrier Monarch Airlines, the fifth largest airline in the country, on the morning of 2 October, moved into administration due to bankruptcy. Reported by the BBC.
According to the civil aviation authority of great Britain this bankruptcy was the biggest in the history of British aviation.
As a result, approximately 110 thousand passengers stuck in airports outside the UK. In addition, the company canceled more than 300 thousand tickets
The UK government has chartered more than 30 ships to bring tourists home. The first flight has already been done.
Lead Monarch Airlines are the external managers of KPMG, a member of the “big four” audit firms.
“In recent periods the company was losing money. The cause of the crisis a combination of factors. First, said the drop in the revenue sector flights over short distances caused by the oversaturation of the market. Simultaneously it was observed increase of costs, secured by the fall of the pound against the dollar. So, fuel costs and payments for the leasing of aircraft is calculated in U.S. currency. Now Monarch is put on sale. Interested in buying the company as a whole searched for several weeks, but no offers were received. Now we will try to find buyers for the individual assets of the company,” said Blair Nimmo, partner at KPMG and one of the external control of Monarch Airlines.
Earlier it was reported that the second largest German airline, Air Berlin, declared bankruptcy.