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What’s Happening with ATA?

I’m sure you’ve all been dying to know what’s been happening with ATA (formerly American Trans Air). Oh yes, dying to know.

ATA has been on some shaky ground of late, as this article notes. While there’s been much speculation swirling around Delta’s possible bankruptcy bid, few have noted that ATA will likely enter chapter 11 in the next few months. The carrier has struggled to attract customers as fares have dropped across the industry (how does a low-to-no frills low fare carrier differentiate themselves when [so-called] full service carriers and shabby chic low fare carriers offer the same fares?) Why would you fly ATA from NYC to San Francisco when similar fares are offered by JetBlue with more room and TV or by a legacy carrier with a full frequent flyer program and first class? Many others are asking themselves the same question.

ATA has tried to change their image a bit by introducing business class on some routes and de-emphasizing their leisure image. However, faced with the current state of the industry and a push into Indianapolis by Northwest, things are looking bleak.

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