FlightGlobal
• David Kaminski-Morrow
The UK Insolvency and Companies Court has ordered Global Airlines (London City) into compulsory liquidation, ending the British startup’s plan to launch transatlantic service with Airbus A380s. The company had partnered with Hi Fly to support its A380 induction and reportedly operated only four flights.
Aircraft Demand: Airline Distress & Consolidation
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The Spanish airline has three months, extendable by another three, to agree a restructuring plan with creditors. The plan would shrink its fleet and network and cut jobs, alongside a collective redundancy process affecting 679 employees; state-owned SEPI has tied a potential new investor’s entry to changes at the company.
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The UK Insolvency and Companies Court has ordered Global Airlines (London City) into compulsory liquidation, ending the British startup’s plan to launch transatlantic service with Airbus A380s. The company had partnered with Hi Fly to support its A380 induction and reportedly operated only four flights.
SpiceJet cancelled flights from Dubai to Amritsar, Jaipur, Mumbai and Delhi after ground handler dnata stopped check-in services over unpaid bills. The disruption, reported on Nov. 12 and 13, adds operational pressure to the Indian carrier as it faces a deepening financial crisis.
Deputy Prime Minister and Finance Minister Johnny Koanapo told parliament on Nov. 9 that Air Vanuatu should stop relying on government financial assistance as it restructures, according to the Vanuatu Daily Post. The statement signals pressure to make the carrier financially self-sustaining, though the report provides no timeline or details of the restructuring.
A group of investors argues that SAS AB’s bankruptcy did not extinguish a 40-year-old bond, potentially leaving the Scandinavian airline with an unforeseen liability. The dispute raises questions about the treatment of legacy debt as the carrier emerges from bankruptcy proceedings.
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Wizz Air carried 46.1 million passengers from April through September, while its fuel bill rose 33.7%. A €306.3 million net profit in the July-to-September quarter offset a first-quarter loss, leaving first-half net profit at €108.1 million. The carrier is looking to capitalize on failures among Romanian airlines.
India’s National Company Law Appellate Tribunal has issued notice to Boeing on an appeal by Jet Airways’ liquidator, who is seeking a refund of $92.12 million in advance payments for aircraft that were never delivered. The appeal challenges the dismissal of the claim; the tribunal has not ruled on its merits.
Malaysia Airlines’ chief says financial assistance for struggling carriers such as AirAsia Group should also be available to other airlines, arguing that support must preserve a level competitive playing field. The comments put the terms of any airline aid in focus as carriers face financial distress.
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