Eos Airlines has made a sudden and unexpected landing—in bankruptcy court. The airline filed for Chapter 11 on April 26, and took off for the last time the following day. In a company press release, CEO Jack Williams cited the need for additional capital as the cause for the carrier’s demise.

Who’s throwing stranded Eos passengers a lifeline? Thus far, American Airlines, British Airways, Silverjet, and Virgin Atlantic have announced assistance in the form of reduced Business Class fares (similar to Eos’ fares) with no advance-purchase requirement. If that doesn’t seem particularly magnanimous, understand that most Business Class fares to Europe start 50% higher than Eos’ with an advance of 30 days or more. Contact the airlines directly for full details.

Miles amassed in Eos’ Club 48 loyalty program have been rendered worthless, but not being transferable to other carriers, they weren’t much of an asset anyway. The press release reads: “For our Club 48 members, unfortunately, in the face of this bankruptcy filing, you will no longer be able to redeem your points for rewards. Any value related to your membership will be determined by the court as part of the bankruptcy process.” Don’t get your hopes up.

Despite an innovative offering—a VIP experience on the ground and in the air—Eos succumbed to the same economic currents that have brought down others. As we predicted in the Jan. 2008 issue of FCF, Eos couldn’t compete with Mass Market Carriers (MMCs) on price. Yet they were forced into doing so by recession fears (clients tightened their belts) and the power of the major carriers’ loyalty programs.

Though it will rest in the All-Business Class boneyard alongside recent niche casualty MAXjet, Eos’ product was like no other, and earned our top rating as an Elite Service Carrier (ESC). We applaud its effort to bring an extra measure of class to the market.