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The Airline
Before the crash of its Miami-to-Atlanta flight on May 11, 1996, ValuJet was flying high. Planes were full, the stock price was strong and the Atlanta-based airline had, in less than three years, expanded service to 31 cities with 51 planes.
The airline had enough cash on hand to weather the worst of the public relations storm after the crash, and it's still in business a year later. But criticism of its safety practices precipitated a 15-week shutdown by the Federal Aviation Administration, which made it a very different airline.
More than a year after the crash, ValuJet is flying fewer planes and struggling to return to profitability. In an effort to distance itself from the memory of the crash, ValuJet decided to change its name and image by acquiring AirTran Airways for $66.3 million in stock.
The fallout from the public's concern also hit other low-cost, startup airlines, which saw their passenger loads decline.
ValuJet has remained under intense scrutiny by regulators, with the FAA even limiting how fast the airline can grow.
"We assume that we're going to be the most scrutinized airline forever," said ValuJet Chairman Lewis Jordan earlier this year.
Related stories:
- ValuJet grounded - June 17, 1996
- ValuJet flies again - September 30, 1996
- Cheap airline woes weigh on budget travelers - June 22, 1996
- CNNfn: Air stocks still turbulent - April 15, 1997
- CNNfn: ValuJet shuffles top execs - November 4, 1996
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The Accident | The Airline | The Investigation |
| The Families | The FAA | data points |
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