THE ASSOCIATED PRESS

LONDON – A second British vacation company has gone out ofbusiness, the aviation regulator said Sunday, the same week thecountry's third-largest tour operator collapsed.
On Friday, the big XL Leisure Group PLC went into liquidation,leaving about 50,000 of its customers stranded abroad.
The smaller K & S Travel ceased trading on Saturday, Civil AviationAuthority press officer James Hotson said. But its customers'return trips are covered by a bond, he said. The group specializedin travel to Turkey.
Hotson said there are only 150 passenger currently overseas andthey can continue their holidays as normal. About 400 people withreservations would have their vacations cancelled and receive fullrefunds, he said.
K & S's telephone line was dead on Sunday, and the company'swebsite was down.
Airlines and travel groups have been badly hurt by soaring fuelprices and a weakening economy. Many have trimmed their schedules;others have gone out of business.
Two weeks ago, the Canada-based budget carrier Zoom, which offeredservice to Britain, shut down. Silverjet, a business-class carrierbased at Luton north of London, ceased operations in June.