EOS Airlines entered chapter 11 in the Southern District of New York on April 26, 2008 after its financing process failed and the carrier began an orderly shutdown. The debtor was a premium transatlantic airline operating all-business-class Boeing 757 service between JFK and London Stansted; it reported $70.2 million of assets and $34.9 million of debts as of March 31, 2008, with Tom Martin, CFO, signing the amended petition source filing. Its first-day affidavit said Eos had launched flight operations in October 2005, operated 31 weekly flights with seven 48-seat aircraft, employed about 458 people prepetition, and immediately cut roughly 354 jobs, expecting only about 60 employees to remain for the wind-down after a proposed $50 million financing was terminated on April 25, 2008 source filing.

The case has now crossed from wind-down administration into post-confirmation liquidation. The U.S. Trustee appointed an official unsecured creditors’ committee on May 8, 2008, with Servisair, IMS Consultants, Pan Am International Flight Academy, WARN Act representative Peter Mochnal, and Sourcespeed as members source filing. The confirmed plan appoints Turnaround Advisors, L.L.C. as liquidating trustee, preserves estate causes of action, requires administrative and priority non-tax claims to be paid from trust cash after allowance, and leaves equity with no recovery because Class 4 general unsecured claims will not be paid in full source filing.