SeaPort Airlines Inc., the company that provides subsidized Essential Air Service for Hot Springs, announced Friday that it has filed a voluntary petition for Chapter 11 reorganization bankruptcy.
"It will not affect service to Hot Springs," Claire James, SeaPort's director of marketing, said Friday.
"We are still doing business, but did have several closures a couple of weeks ago, but we don't anticipate any further closures. Now it's just restructuring the company and getting back on our feet so we can continue to provide high-quality service to our customers," she said.
A company news release said the board of directors had determined that reorganization was the best path forward for the company, allowing it to achieve long-term viability while maintaining its ability to provide air service to customers and communities.
The announcement was made after the airline took a number of necessary steps to reduce its route network as a result of a national pilot shortage.
Under court supervision, SeaPort will propose a Plan of Reorganization that will allow the company to emerge a strong and viable airline positioned to meet the challenges not only of the pilot shortage, but of the highly competitive airline industry, the release says.
SeaPort's new president, Tim Sieber, said Friday's filing is the "first step toward the rebuilding of our company and its reputation. While bankruptcy reorganization can be complex and lengthy, our employee team is going to begin by refocusing on our core promise to our customers: Deliver them safely and on-time to their destination."
On Thursday, the company announced that it has added an additional flight from Hot Springs to the George Bush Intercontinental Airport in Houston, Texas.
SeaPort announced in August that it was dropping its daily flights to Dallas, and replaced those with flights to Houston. The flights began Sept. 14.
Passengers flying from Hot Springs to Houston can depart at 7:05 a.m. and 2:10 p.m. weekdays, and weekend flights include a departure from Hot Springs at 11:35 a.m. on Saturday and 2:10 p.m. on Sunday. Flights from El Dorado to Houston depart at 8 a.m. and 3:05 p.m. weekdays, 12:30 p.m. Saturday and 3:05 p.m. Sunday.
Flights from Houston to both El Dorado and Hot Springs are scheduled to depart at 10:30 a.m. and 5:30 p.m. weekdays, 3 p.m. Saturday, and 5:30 p.m. Sunday.
Glen Barentine, interim airport director at Hot Springs Memorial Field, said the SeaPort station manager reported that the second flight to Houston is becoming "very popular in Memphis and Houston."
"He said that SeaPort has been promoting the route heavily in those cities and when they start promoting it in Hot Springs, he hopes it will become better utilized here," Barentine said.
With the additional flight, Barentine said it is possible to go to Houston on the morning flight and return the same day.
"I can see lots of benefits from that kind of convenience. Once we have a few more weeks of SeaPort flying the route, we should be able to see better how it is being used," he said.
Local on 02/06/2016