ch-aviation
• Dirk Andrei Salcedo
Danantara Indonesia COO Dony Oskaria said the proposed merger of Garuda Indonesia and Pelita Air will proceed only after both carriers improve their business performance. The condition leaves consolidation contingent on a turnaround at each airline, rather than setting a merger timetable.
Aircraft Demand: Airline Distress & Consolidation
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Danantara Indonesia COO Dony Oskaria said the proposed merger of Garuda Indonesia and Pelita Air will proceed only after both carriers improve their business performance. The condition leaves consolidation contingent on a turnaround at each airline, rather than setting a merger timetable.
Air Mauritius is reassessing its three A350-900s on order while seeking proposals for as many as five narrowbody aircraft. The fleet review is part of the airline’s wider Future-Fit Game Changer restructuring plan, linking aircraft commitments to its broader effort to reshape the business.
Boeing 737-800 aircraft belonging to Chinese carrier Okay Airways failed to sell at auction. The available report does not provide details on the number of aircraft, auction terms or the reason they attracted no successful bids.
High activity
A group of JetBlue creditors is working with PJT Partners and Akin as the airline faces cash burn and rising fuel costs, according to people familiar with the matter. The lenders are organizing ahead of the carrier’s third-quarter earnings report, as its turnaround comes under mounting pressure.
Dan Air filed for insolvency proceedings at the Ilfov Tribunal on Oct. 22, seeking protection from creditors and a chance to reorganize. The Romanian carrier cites about €10 million owed to the Environmental Fund Administration; its flight schedule is continuing for now, but operations face uncertainty.
airBaltic is asking a New York bankruptcy court to approve an October 2026 wet-lease agreement with Austrian Airlines, alongside related amendments and other commercial agreements with Lufthansa Group. The request puts the carrier’s commercial arrangements with the group before the court as it proceeds through Chapter 11.
South African Airways said it received a ZAR1 billion ($61 million) state guarantee in August 2026 to support working capital. The backing comes as higher fuel prices pressure the carrier’s operations and finances, underscoring the impact of cost increases on its near-term liquidity needs.
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