Spanish budget airline LTE International goes bust

LTE International Airways, the budget airline based in Spain, has suspended operations owing to the carrier’s financial crunch.

The carrier explained in its website: “LTE International Airways SA wishes to inform you that due to the financial situation of the company, that make it difficult to meet the operational expenses in the next days, we have had to suspend our charter and scheduled operations. LTE is doing everything to minimise the impact of this suspension of services on its clients and providers. After operating for 20 years with maximum dedication to our clients, it just was not possible to avoid this situation given world events lately. LTE is doing everything to minimise the impact of this suspension of services on its clients and providers.”

LTE International Airways S.A. (Lte Volar Airlines), a charter airline based in Majorca, Spain, has been operating regular and charter services throughout Europe – from its base in Spain to Britain, Italy and the Middle East. Its main base is Son Sant Joan Airport, Palma de Mallorca, Spain, with hubs at Reina Sofía Airport, Tenerife, Gran Canaria International Airport, Lanzarote Airport, Fuerteventura Airport and Barcelona International Airport.

LTE International Airways, founded in 1987 and once known both as LTU and as Volar Airlines, is headquartered in Palma, on the Mediterranean island of Majorca. With a fleet of 7 Airbus A320 aircraft and around 300 employees, it operated charter flights in conjunction with some major tour operators as well as regular services, notably to Britain, and a rental service.

As airlines across the world are hit by the enormous rise in prices of aviation turbine fuel as well as a slowdown in economy, LTE International is the fourth Spanish carrier to stop flying in recent weeks. Over two dozen airlines elsewhere already stopped flying, including Zoom Airlines of Canada, Silverjet, the business-only service of the United Kingdom, and Oasis of Hong Kong.

The shutting down of LTE International resulted in a large number of passengers getting stranded at airports.

Hundreds of British holidaymakers had to make alternative travel arrangements.

Airport authorities in Tenerife, in the Canary Islands, said around 800 passengers were stranded in Tenerife.

A spokesman of Cosmos, the holiday company based in the United Kingdom, was quoted by the website independent.co.uk as saying: “Passengers due to depart with LTE in the forthcoming weeks will be contacted in due course as soon as alternative flight arrangements have been made. On account of our own ATOL (Air Travel Organisers’ Licensing) protection and Abta (travel organisation) membership, all of our customers are assured of being provided with alternative flight arrangements (albeit with some delays). Where this will not be possible, they will receive a full refund.”