'anti-Dan-Air' campaign, ILG had already announced that Intasun was going to reduce the number of aircraft it chartered from Dan-Air from six to three for the 1989/90 winter season. ILG made a further announcement in this regard, stating that Intasun was no longer going to charter any Dan-Air aircraft for the 1990 summer season and that Air Europe was going to cancel its maintenance contract with Dan-Air Engineering. However, ILG's campaign to deal a fatal blow to Air Europe's main rival suffered a major setback in October 1990 when Dan-Air's beleaguered management appointed "company doctor" David James, who immediately set about refinancing Dan-Air's parent organisation Davies and Newman Holdings in order to save the airline. ILG's commercial attack on Dan-Air ultimately failed when David James's attempt to refinance Davies and Newman succeeded, with sufficient funds to allow Dan-Air to carry on its business for another two years. End At the end of the first week of March 1991 ILG and all of its UK-based subsidiaries entered administration resulting in 4,000 job losses. Many of the aircraft operated by Air Europe and Air Europe Express were impounded, leaving a large number of passengers stranded at airports. The Airlines of Europe conglomerate quickly unravelled, with Norway Airlines following its former UK-based parent into liquidation. Hans Rudolf Wöhrl, NFD's founder and original majority shareholder, bought back the stake he had sold to ILG from the administrators, thereby saving NFD. Air Europa survived the collapse and successfully established itself as one of the leading charter and scheduled operators in Spain. Air Europe Italy became one of the leading independent Spanish airlines following ILG's failure. Most of the Spanish and Italian sister airlines' aircraft retained the UK carrier's livery (paintwork) for a few years. Causes of collapse The main causes leading to the collapse of ILG and its UK-based subsidiaries, including Air Europe and Air Europe Express, were: A major, unforeseen downturn in traffic as a result of the recessionary economic conditions in the UK the looming Gulf war. Undercapitalisation. An unsound financial structure. Being financially overextended. Lack of ownership of any significant assets. A high-risk strategy. Against the background of the looming war during the summer of 1990 and an abrupt recession in the UK, ILG began suffering heavy losses and mounting debts. ILG/Air Europe's senior management was aware that ILG had been facing a cash crunch from as early as 1989. This had