Iceland’s Wow Air Shuts Down After Failing to Raise New Cash

This is the cheapest airlines to Euro travel, I used $380 (both ways) to visit France!

Wow Air Hf has gone out of business, stranding thousands of passengers and creating potentially huge risks for Iceland’s tiny economy and its growing reliance on tourism.

The discount carrier is the eighth European airline to have failed since the summer as margins are pinched by fluctuating fuel costs and over-capacity that’s sparked a continent-wide fare war.

Wow’s demise should bring short-term relief to local rival Icelandair Hf. Ryanair Holdings Plc, EasyJet Plc and Wizz Air Holdings Plc – Europe’s three biggest discount airlines – also fly to the island in the North Atlantic, whose popularity has grown exponentially in recent years thanks to television shows like Game of Thrones.

All 29 of Wow’s flights scheduled for Thursday were canceled and 2,700 passengers were asked to check with other airlines to get to their destinations. The government activated contingency plans and issued a statement seeking to offer reassurances about the consequences for the local economy.

“We have run out of time and have unfortunately not been able to secure funding for the company,” Chairman Skuli Mogensen said in a letter to employees. “I will never be able to forgive myself for not taking action sooner.”

Damn I was gonna use them later this year…

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