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Published on : Saturday, February 6, 2016
the Board of Directors of the Oregon-based airline has determined that reorganization is the best path forward for SeaPort Airlines, allowing the company to achieve long-term viability while maintaining its ability to provide air service to customers and communities. The announcement comes after the airline took a number of necessary steps to reduce its route network as a result of a national pilot shortage.
Normal, day-to-day operations will not be interrupted by the filing. During the Chapter 11 process, SeaPort Airlines will continue to provide safe and reliable service without interruption to the destinations it currently serves. More specifically,
SeaPort Airlines expects to continue to:
Provide employee wages, healthcare coverage, PTO, and travel benefits without interruption;
Pay vendors for goods and services received during the reorganization process;
Operate a full schedule of flights;
Honor existing tickets and reservations and provide refunds and exchanges per our contract of carriage; and
Maintain interline agreements with Alaska Airlines and Hawaiian Airlines.
The company also announced that Rob McKinney has resigned as president and CEO. SeaPort’s executive vice president, Timothy Sieber, is now president of the company. Tim joined the company in July 2011 and has over 25 years of experience in the airline industry.
“The difficult decision to file for bankruptcy protection was necessary to preserve the future of our airline. I am confident we will come out the other side of reorganization with a financially stronger airline in a better position to handle the challenges of the industry and provide the quality service our customers, employees and partners deserve,” said Tim Sieber, president of SeaPort Airlines.
Under court supervision, SeaPort will propose a Plan of Reorganization that will allow the company to emerge a strong and viable airline positioned to meet the challenges not only of the pilot shortage, but of the highly competitive airline industry.
“Our customers are first and foremost our top priority as we work towards our goals of building a better, more sustainable airline. We’re moving forward, one flight at a time, by focusing on delivering on our core promise to each customer of getting them to their destination safely and on-time.” said Sieber.