Silverjet ceases operations

As expected, Silverjet ceased all operations on Friday, marooning more believers in the “business-class-only” model and completing the hat trick of airlines in that niche to go bankrupt in the last six months. At root of the issue are the same old villains, high oil prices and lack of demand in the business-class-only market. It’s just too hard to get started as a niche carrier these days.

On their website, the recently deceased airline leaves a brief eulogy and thank you to its dedicated passengers, offering to those stranded: “You are advised to seek alternative travel arrangements with other carriers, and contact your credit card company or travel agent directly for information on obtaining refunds.”

So much for their CEO Lawrence Hunt’s strong words and encouragement after Eos and Maxjet fell.

All eyes are now on L’avion, the French carrier established in 2006 flying under the same business model (but to Paris instead of London). Will they prevail where Maxjet, Eos and Silverjet failed? What about British Airways‘ OpenSkies airlines who are set to fly next month?

I wish there was not as direct a correlation between oil prices and airline bankruptcies as there is now. But if it the statistical data hold true, I’m not sure if anyone has a chance anymore.