KITTY HAWK FILES FOR BANKRUPTCY PROTECTION
Kitty Hawk Inc., the Dallas-based air freight carrier, has filed for Chapter 11 bankruptcy protection to seek financial reorganization.
The filing comes after unexpected maintenance costs, higher fuel prices and lower air freight demand in the first quarter drained Kitty Hawk’s cash. The company has suspended operations at its Kitty Hawk International division, which flies older B747, L-1011 and DC-8 freighters.
The company said Tuesday that Conrad Kalitta has resigned from the board of directors. Kitty Hawk’s acquisition of Kalitta Cos. in 1997 has led to most of the airline’s problems.
Kitty Hawk said it “will seek to continue to operate their businesses in the ordinary course under the protection of the bankruptcy court while seeking to finalize a plan of reorganization to implement its anticipated restructuring.”