SFGate: ATA to End Service To, From Indianapolis

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Tuesday, November 1, 2005 (AP)
ATA to End Service To, From Indianapolis



   (11-01) 14:17 PST INDIANAPOLIS, (AP) --

   Bankrupt carrier ATA Airlines announced Tuesday it was ending all flights
to and from Indianapolis because of financial problems and increased
competition.

   "The support we have received from the people of Indianapolis made this
decision extremely difficult," said John Denison, chief executive and
president of ATA Holdings Corp., which owns the carrier and ATA Charter.

   All ATA Airlines flights to and from Indianapolis International Airport
will end Jan. 10. The carrier is also ending service to Denver and San
Juan, Puerto Rico. The airline will still have 64 departures each day
throughout its system, or about half the daily departures now.

   The carrier is also maintaining its 10-month-old code-sharing agreement
with Southwest Airlines to about 50 cities. The deal allows passengers on
one airline to fly to destinations served by the other.

   ATA Holdings said it would keep its headquarters in Indianapolis, where =
it
was founded 32 years ago, and will continue to lease office space at the
airport.

   The company said it was too early to say how many jobs would be affected
by the route reductions.

   ATA Holdings filed for Chapter 11 bankruptcy protection in October 2004.
It has cut more than 3,000 jobs since it began downsizing from a work
force of 7,800 people two years ago.

   ATA Airlines had been the busiest at the Indianapolis airport, with 41
daily flights and 22 percent of all passengers, before dropping to just
four daily flights since its bankruptcy filing.

   Company executives said Tuesday's announcements may help it emerge from
bankruptcy by early 2006. -------------------------------------------------=
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Copyright 2005 AP

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