Far Eastern Air Transport(遠東航空) is a defunct airline based in Taipei, Taiwan. Established in 1957, it operated domestic services from Taipei and Kaohsiung to five regional cities and international services to Southeast Asia, South Korea and Palau. Its main base was Taipei Songshan Airport. After a chain of financial crisis broke out in early 2008, the airline publicly announced its bankruptcy and stopped all flights on and beyond May 13, 2008, ending its 51-year history.
Due to the ever-rising fuel prices and Taiwan High Speed Rail's inauguration, this carrier has been suffering financial loss since early 2007 and the situation was seriously worsened by this airline's poor financial management and risky investments. On February 13, 2008 this carrier failed to pay the USD 848,000 it owed to the International Clearing House, a financial subsidiary of IATA, and IATA cancelled this carrier's membership as a result. Although local court granted this carrier's restructuring application on February 23, 2008, in the next 3 months this carrier still failed to obtain the necessary funds and the company's bankruptcy protection expired on 22 May . FAT has stopped paying employee salaries but the staff are still on duty as of May 2008 because they want to try and save the company but there are some that are saying they cannot hold on much longer. The airline’s owners now face mounting pressure from the Taiwan Government, news media, unionists and the general public to come to a final decision on whether to inject more money into the business to save it.*
Far Eastern Air Transport operated the following services (at January 2005):
AIG in negotiations with China Development to sell Far Eastern Air stake.(American International Group, Far Eastern Air Transport Corp., China Development Financial Holding Corp.)(Brief Article)
Nov 30, 2005; AIRLINE INDUSTRY INFORMATION-(C)1997-2005 M2 COMMUNICATIONS LTD American International Group Inc plans to sell its 18% stake in...