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Icelandic Airline Wow Air Collapses and Cancels all Flights:
Iceland's low cost carrier Wow Air has canceled all flights and told passengers to book with other airlines.
Its website has a travel alert that begins: "Wow Air has ceased operation. All Wow Air flights have been canceled."
The alert said people who wanted to travel should now look for "so-called rescue fares" which may now be offered by rival airlines.
Wow added that those who made bookings by credit card or via a European travel agent should try to get their money back through those businesses. It said some passengers may be entitled to compensation from the airline itself.
[...] The company's model was to entice passengers with ultra-low prices before slapping on extra charges for seat selection, baggage, leg room and expensive refreshments. A typical base fare for a Wow flight from the U.S. to Europe could come in at less than $200.
A fall in tourist visits to Iceland and rising fuel costs had been cited as headwinds to profitability.
The airline had also suffered poor customer reviews and was particularly criticized over recurring delays.
You don't always get what you pay for, but you generally do not get what you do not pay for.
(Score: 2) by richtopia on Saturday March 30 2019, @05:36PM (2 children)
My friends almost bought the Wow Air direct flight from DTW to REK, but even with the low base fare the horror stories of the quality of Wow air dissuaded them. We are really lucky everyone opted for Iceland Air which is still operating, and perhaps even more lucky that we already purchased tickets. No competition likely will result in some price increase.
(Score: 4, Insightful) by RS3 on Saturday March 30 2019, @07:57PM (1 child)
I'm glad you avoided Wow Air. However...
> ...perhaps even more lucky that we already purchased tickets.
From Wow Air website, it seems people may not get any refund. Check that link in the story. No flight, no refund: you lose. What a mess.
It seems that it should be criminal to take someone's money for something, know you're running out of money, and keep their money but not give them a product or service. Wow Air _must_ know their accounting ledger, and if they're headed for being "in the red", they should let people know, offer refunds or provide the good or service, and shut down gracefully. If you or I did this to someone, we'd be guilty of larceny.
(Score: 1, Funny) by Anonymous Coward on Saturday March 30 2019, @10:45PM
Take-the-money-and-run is what Iceland did back during 2008 financial crisis, too.