Aha! Airlines, one of the three U.S. airline startups of 2021, was announcing new routes less than two weeks ago, but Tuesday that dream came to an end as its parent company, ExpressJet, filed for bankruptcy and abruptly shut down all flight operations.
Two larger and better-funded 2021 startups, Breeze and Avelo, continue to operate and expand.
The infant airline, flying only since last October with a route network based on the Reno-Lake Tahoe area, emphasized cheap leisure flying—its name was said to stand for ‘air, hotel and adventure.’
ExpressJet, which lost its contracts to operate United Express flights in 2020, blamed the failure on issues with aircraft availability and airport infrastructure, revenue impacts from Covid and the inability to bundle hotels, and high fuel prices. The Covid claim seems a bit odd, since the airline only began flying when nearly all Covid restriction had been set aside.
Aha! has advised anyone with open tickets to contact their credit card companies for refunds, saying it will not be providing any alternate arrangements. The card companies may be on the hook, depending on their status in bankruptcy court. ExpressJet filed for Chapter 11 bankruptcy, which gives a court supervision over reorganizing a company’s affairs and discharging its debts.
