September 10, 2008
PKF Appointed As Zoom Administrators
BUDGET transatlantic airline Zoom has appointed administrators.
The Canadian airline, whose operations collapsed as 67 travellers on one of its jets waited to take off at Cardiff International Airport on August 28, has appointed business advisers PKF to assess its debts and assets in the UK.A spokesman for PKF said the firm's chances of surviving administration were "slim" and warned there were unlikely to be any funds to pay creditors, who include Cardiff International Airport.
Senior partner Anne Buchanan said: "It is extremely disappointing and frustrating for customers of Zoom that the airline was unable to continue trading.
"It is clear, even at this stage, that at the heart of the airline's difficulties was the very substantial increases it faced in the price of aviation fuel coupled with the deteriorating economic situation.
"Although a re-financing package appeared imminent last week, it could not be completed before the airline was overwhelmed by the demands of suppliers and creditors.
"As administrators we will examine every possible avenue to resurrect the business and we believe some discussions have taken place. However, the chances of succeeding are very slim and we must remain realistic about the outcome."
She advised the estimated 40,000 passengers who had booked flights over the coming months to contact their credit company, travel agent or bank.
Zoom, which operated between eight Canadian cities, six British cities and other destinations in the United States and Europe, has appointed a separate firm of administrators in Canada.
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