WOW Air has cancelled all flights today as the budget airline announced its collapse. The airline has been struggling with debts after an attempt to rescue it fell through. The announcement comes after a week of travel chaos for WOW Air passengers as multiple flights were cancelled and delayed earlier in the week. The carrier previously said it was in the final stages of completing an agreement over raising new funds with a group of investors. Affected WOW passengers have all been informed and are being urged to re-book with other airlines.
What has happened to WOW Air?
WOW Air said in a statement today: “WOW Air has ceased operation. All WOW Air flights have been cancelled.
“Passengers are advised to check available flights with other airlines.
“Some airlines may offer flights at a reduced rate, so-called rescue fares, in light of the circumstances.”
What are the rights of WOW passengers?
“Passengers whose ticket was paid with a credit card are advised to contact their credit card company to check whether a refund of the ticket cost will be issued,” explains the WOW website.
“Passengers who bought their ticket from a European travel agent (within the European Economic Area) as a part of a package tour (a package which includes flights and accommodation or other services) are protected by the Package Travel Directive. Those passengers are advised to contact their travel agent to arrange an alternative flight.
“Passengers who may have bought travel protection, or those passengers whose credit card terms may include such protection, may be entitled to claim compensation and assistance due to delays or travel disruption. However, such compensation is often limited.
“Passengers may also be entitled to compensation from WOW AIR, including in accordance with European regulation on Air Passenger Rights. In case of a bankruptcy, claims should be filed to the administrator/liquidator.”
Why did the airline go bust?
Rising oil prices in the competitive sector have resulted in several budget carriers being forced to cease operations, including Monarch Airlines, Primera Air, Flybmi and Air Berlin.
Last week a US investment group ended talks regarding rescuing budget airline WOW Air.
Discussion of a takeover by Wow Air’s rival, Icelandair resumed on Wednesday. The Icelandair Group announced at the time: “The discussions will be based on the doctrine of competition law regarding the failing firm defence.”
The “failing firm defence” is a legal term which means that, if the deal doesn’t take place, the weaker party is likely to stop trading, reported The Independent.
However, on Sunday, Icelandair renounced its involvement in saving WOW Air. It said: “Icelandair Group has decided that its possible involvement in WOW Air’s operations, as announced on 20 March 2019, will not materialise.
“Therefore, all discussions between the parties have ended.” WOW Air flights began to be cancelled soon afterwards.
A WOW air spokesperson told Express.co.uk on Tuesday: “A majority of WOW air Bond Holders and other creditors of WOW air are in advance discussions with the aim of reaching an agreement on a voluntary restructuring including an agreement of converting current debt into equity and fund the company towards long term sustainability.”
How are WOW Air passengers reacting?
Angry WOW Air passengers have taken to social media this week to complain about the cancelled flights and the airline’s response.
“Any reason we’ve only found out just a few hours before our flight that it was cancelled with no plans of reimbursement?” one person tweeted.
“Service is terrible cancelling flights, no support or explanation, just cannot check in. Terrible airline…never fly again or recommend, no response from support,” another wrote.
“My wife is stranded in Iceland because you flew her there and then went out of business? “ a third person tweeted.
“Really unimpressed with WOW Air,” another posted on Twitter. “First flight delayed 14 hours, then told cancelled, so we cancelled our plans, then told to ignore the cancellation an hour and ten mins later. Months of saving and planning ruined.”
What should passengers do when flights are cancelled?
A travel expert has revealed the first steps passengers should take if they find out their flight is cancelled. “If your flight is delayed or cancelled, head over to the airline’s counter and make sure to ask them for a leaflet with all the relevant information,” Michael Reay at travel search platform HolidayPirates said.
“Every airline in Europe is obliged to provide you with all the relevant information regarding cancellations and delays.”
He added: “It is also worth remembering or writing down the names of the people you speak to, as that will help you in case of conflict and in terms of getting compensation.”
