Aviation News

March 27, 2014

BREAKING: World Airways Immediately Shutting Down

Following on the heels of competitor Evergreen International Airlines, World Airways CEO John Graber announced earlier today that World will cease operations immediately, and remaining operating businesses including North American Airlines will see significant reductions. In an email to staff, Graber said “the decisions were made by each Company Board of Directors based upon the events of this week.”

After filing for Chapter 7 bankruptcy protection last November, the final nail in World’s coffin, according to Graber, was the inability to secure further funding from Cerberus, World’s first lien lender. “Without that funding, (World) no longer had the money needed to operate. As we’ve told everyone for some months now, there are no other lenders or potential partners in the marketplace who will back World,” Graber said, adding that World Airways flew its last flight yesterday.

Global is now working to secure North American’s future and expects to know by tomorrow how that will proceed. (Update: North American Airlines is clinging to life as a new owner is sought.)

World Airways held employee meetings were held this morning, promising that additional communication concerning the shutdown would be forthcoming. “This turn of events has occurred so quickly that we have many unanswered questions and will need to provide additional updates as the information becomes available,” Graber said.

The shutdown of World Airways and tenuous future of North American Airlines leaves Atlas Air as the dominant cargo carrier based in the United States.

  • Jerry Pappe

    What a shame! I retired from World in 2001 as a QC Inspector. World did alright by me!

  • Stuck Military

    I would like to thank World Airways for stranding all of the troops overseas who should be leaving the war zone!

  • ComradeAnon

    They got Bained!

  • edsbart

    As a former Flight Attendant in the 70s and 80s My heart goes out to all the F/As I remember in 1986 World told us there was going to be personal layoffs around 1000 , but in July of 86 World called all F/As who were doing there job around the world ( I was in LAX ) and said we were going to lay off 2500 , I was in that group , Im sorry to see this happen , ED DALY must being rolling in his grave , shame on the management
    ED GARCIA edsbart@yahoo.com
    if any former F/As are out there I miss you all , you were my family

  • Brian Cooke Jr.

    I can’t speak for what happened past ~1984, but I know my dad, Brian Cooke Sr, Ed Daly’s right hand for a number of years, dedicated his life to seeing World succeed in the 70s and early 80s. My thoughts go out to all those affected by this bad news.