 In September 1989, the airline filed for Chapter 11 bankruptcy protection, immediately laid off 2,700 of its 4,700 employees, and slashed its flight schedule from 256 flights to 40 destinations to 46 flights to 11 destinations.In November 1989 the airline suspended all scheduled flights, announcing that it was out of cash, most remaining employees would soon be laid off, and it would operate only air charters.The airline had cut fares to attract travelers after slashing its flight schedule in September, and industry observers speculated that this move had not restored profits.