Charter airline TransMeridian abruptly ceases operations: Travel Weekly

Charter airline TransMeridian abruptly ceases operations

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LITHIA SPRINGS, Ga. -- TransMeridian Airlines, a charter airline that served about a dozen U.S. cities and about a half-dozen destinations in Mexico and the Caribbean, abruptly ceased operations Sept. 29 and left tour operators scrambling to make alternative arrangements.

Customers who booked TransMeridian for its scheduled charter service were left to make their own alternative arrangements or seek refunds.

But under Department of Transportation (DOT) rules, tour operators were obligated to find alternative flights for their customers, and most seemed to be doing it without much difficulty.

Vacation Express, which had a number of Caribbean programs with TransMeridian, ramped up its contingency plan. Vacation Express turned to Pace Airlines, Sky King Airlines and Pan Am Clipper Connection to lease planes and reaccommodate passengers.

Gantt Cookson, Vacation Express vice president of operations, said his firm reaccommodated 2,558 passengers between Sept. 30 and Oct. 3 to Cancun, the Dominican Republic, Aruba and Costa Rica.

Funjet Vacations customers booked on TransMeridian flights were offered alternative arrangements.

The shutdown primarily affected passengers departing from Cleveland, Chicago and San Antonio, but also from Detroit and Houston.

Funjet works with 20 scheduled and charter lines, so it said the shutdown would have a limited impact.

Funjet said TransMeridians demise would not affect its late-January launch of seasonal nonstop service from Rockford, Ill., to Cancun and Puerto Vallarta, Mexico. TransMeridian was to be the carrier, but the operator said it is working to obtain aircraft from other carriers.

We are looking at some different aircraft options, seeing whats available and at what rate, said Tammy Lee, vice president of corporate affairs at the Mark Travel Corp., which operates Funjet Vacations.

Funjet already had replaced TransMeridian in all markets other than Rockford for 2006.

TransMeridian, which began service in 1995, was struggling because of the effects of high fuel prices and Hurricane Katrina, as well as lower bookings because operators  shifted more of their business to scheduled-service carriers, said airline spokesman Frank Fraboni.

TransMeridian said it shut down and expected to file for Chapter 7 liquidation because it was unsuccessful in negotiations to restructure its debt.

The DOT said that customers who paid by credit card might be able to have the cost of the ticket credited to their account under the Fair Credit Billing Act.

Under the law, such claims must be received by the card issuer no later than 60 days after the date the customer received the first monthly statement listing the charge for the TransMeridian flight.

Passengers who paid by cash or check should make a written request for a refund to that carriers escrow bank and securer: National City Bank of the Midwest, 1001 South Worth, Birmingham, MI  48009.

Claims should refer to TransMeridian Airlines and include the dates and destination of their flights.  Copies of all claims should be send to TransMeridian at 420 Thornton Road, Suite 101 Lithia Springs, GA 30122.

DOT rules state that consumers have 60 days after the date their trip would have been completed to file a claim with the securer. 

To contact reporter Andrew Compart, send e-mail to [email protected].

Kenneth Kiesnoski and Gay Nagle Myers contributed to this report.

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