Skybus shuts down

Skybus Airlines, a low-cost airline that just less than a month ago began operating at Gary/Chicago International Airport, shut down on Friday.

The airline flew its last flights Friday, and today ceases all operations.

The company blamed the economy and rising jet fuel costs.

"We deeply regret the impact this decision will have on our employees and their families, customers, vendors, suppliers, airport officials and others in the cities in which we have operated. Our financial condition is such that our Board of Directors felt it had no choice but to cease operations," it said on its Web site.

Passengers holding reservations after Friday were asked to contact their credit card companies for a refund.

It was with great fanfare that the airline heralded its March 13 inaugural flight, the first commercial flight out of the airport since SkyValue closed operations last May.

The airport has struggled to solidify stable service and expand its main runway to accept larger planes.

Skybus had planned to make two flights a day between Gary and Greensboro, N.C.

More information for customers was to be posted on the company's Web site (www.skybus.com) as it became available.

With bases in Columbus, Ohio, and Greensboro, N.C., Skybus operated flights to about 15 cities around the country.