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Zoom Airlines Collapse Leaves Passengers Stranded Abroad

By The Associated Press Thu Aug 28, 4:44 PM ET

- Thousands of travelers found themselves stranded on both sides of the Atlantic Friday after Zoom Airlines, the low-cost Canadian carrier, abruptly shut down and grounded its fleet, blaming soaring fuel costs.

The Ottawa-based airline, which flew discount routes between Britain and Canada, ceased operations Thursday, telling passengers by text message and its Web site. Some learned at the airport, at the gate, with their bags checked.

Zoom is the latest of more than two dozen airlines worldwide to fail this year as fuel costs consumed the industry's thin margins. Britain's XL Leisure Group and several U.S. carriers have preceded it.

Rival airlines offered stranded passengers discounted "rescue fares," a practice that has become standard as the failures mount. British and Canadian authorities said they were monitoring repatriation efforts.

Travelers' advocates used the moment to remind passengers to buy tickets with credit cards, which offer refund protections when carriers fail — advice learned the hard way in a summer of bankruptcies.

"Cheap fares were never free," a consumer travel columnist wrote. "Somebody pays. This summer, it's the passenger at the gate."

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Associated Press writers contributed to this report.

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