Down on the Fourth of July

Air Florida files for bankruptcy and grounds its jets

Baggage-laden vacationers jammed Air Florida ticket counters at Miami International Airport early last week as the peak summer travel season got under way. But near noon on the day before the Fourth of July, flashing signs destroyed the holiday mood. Their message: Air Florida was immediately grounding its green-blue-and-white jets. The carrier (1983 revenues: $218 million) had filed for bankruptcy. The abrupt halt stunned employees and left many passengers with shattered plans, scattered luggage and tickets that other airlines refused to honor. Said Faye Holub, who had intended to visit her grandchildren...