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British Airline Flybe Collapses After Rescue Talks Fail
- Majority of 2,000-plus workers will be made redundant
- Carrier was seeking to secure $128 million government loan
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U.K. airline Flybe collapsed into administration after failing to secure a last-ditch bailout from the government, leaving no other option than to ground the regional carrier serving far-flung parts of the U.K.
Britain’s largest domestic airline had been teetering for months. It avoided liquidation in January, when Boris Johnson’s government came out in support of state intervention and its owners, including Virgin Atlantic Airways Ltd., injected extra cash. However, prospects for a turnaround dimmed as the coronavirus outbreak swept the globe, leading to a sharp pullback in travel.