Rockford-based Ryan International Airlines has changed its bankruptcy status from reorganization to liquidation.
In a letter to employees, CEO Jeff Potter wrote, effective immediately, Ryan will no longer be providing aviation services. Potter left the door open, saying the company is continuing discussions with at least one potential partner, but in the meantime, all employees are terminated effective Friday, January 11.
The letter gives a few of the reasons for the liquidation, including the overall economy. Another reason was Department of Defense flying, which made up a big chunk of Ryan's profits, is down 70 percent from last year. Plus, Ryan's been using one of its planes for a contract with a company called AtlasJet, which Ryan has not been paid for.
Potter said some of the options to try to maintain Ryan were high risk, including adding new aircraft types or creating new routes. Those options also required money the company does not have.
The letter praised employees for supporting the company over the last several months.
Ryan filed for Chapter 11 Bankruptcy in March 2012.
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