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Posted by on August 29, 2008


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The morning after, confusion still abound and FlyZoom passengers still stranded in the UK, Canada and elsewhere. The demise of the discount airline has affected many hoping to get away on vacation, visit family and friends or travel for work. But looking back could the airline have avoided going out of business?

It is now time for the rumors to fly, news reports, assumptions and anger driven statements to make their way through the web and traditional media. When looking back and listening to some of the rumors on the web one would think that Zoom may have survived if it was being managed better.

One of the rumors are now circulating that Zoom was actually purchasing their fuel at current market rates. Essentially they were not hedging their fuel purchases, hence the $50 Million fuel increase. If Zoom had been hedging their fuel purchases would they be in a different position today? Possible ….

For those of you unaware what Fuel Hedging is… Fuel hedging is the practice, often employed by airline companies, of making advance purchases of fuel at a fixed price for future delivery to protect against the shock of anticipated rises in price. (Source: Wikipedia)

Is part of the downfall the fault and possible lack of experience by brothers Hugh and John Boyle? This was probably a contributing factor to the carriers demise. I wouldn’t image running an airline is an easy task in even the best of economic conditions and certainly wouldn’t be help by managements inexperience.

Is this the last airline we will see fail, more than likely no.

Comments

  1. laura spurling
    August 29, 2008

    Myself and my partner had flights booked with zoom.to return to england on the 11th of october to visit my parents.we have already used the 1st part of the flight as we returned from england in july.the 11th of october would have been the return.we have put in a claim with visa and have been told we will be refunded within 5-10 business days.the thing is i now have to book a round trip as im returning to canada after a 2 week visit in october.so instead of having a flgiht with zoom to go there and just gettin a one way flight back.im now paying out around $2000 for us both to go there and back.even calling there hotline in office hrs we got no answer.i have flewn with this airline several times since aug 2006 and every time we have been delayed or had some problem along the way.one time being delayed for 10 hrs but still having to check our stuff in at the normal time.this airline needs to realsie how much upset they have caused to familys visiting home and even though they are now bankrupt we should be compensated in some sort of way,atleast replace our flights so we can still go on our arranged dates.i have time booked of work for that flighti expect a lot of people have.and now cant find a flight cheap enough to still go!!!!

  2. TTM
    September 5, 2012

    Using Flyzoom frequently, I had nothing but positive experiences. They went out of their way to reassign a seat for a family member to make my wedding in Canada. Their prices were unbelieveable, their staff, professional and extremely helpful. The demise of this airline is such a loss as it was the only airline that flew direct to Northern Ireland from Canada. Now having young children I dread even the thought of flying such a long distance only to have to transfer flight/terminals thus causing our visits to UK have become near next to none!

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