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An Alitalia 777 (Photo: Adam Moreira (AEMoreira042281) [CC BY-SA 4.0 (https://creativecommons.org/licenses/by-sa/4.0)])

New Alitalia Set To Halve Fleet, Workforce

Last Friday a new chapter started in the never-ending story of troubled Italian flag carrier Alitalia when the newly-formed state-owned company Italia Trasporto Aereo (ITA) presented its new business plan to the Transport Commission of the Italian Government. The new company is supposed to take over some of the assets from old Alitalia, which has been in bankruptcy protection since May 2017, and start again with a clean enough break with the past to satisfy the European Commission that the…

Air Canada Cancels Aircraft Orders

Earlier this week, Air Canada announced that it will be canceling orders for 22 narrowbody aircraft as the airline works to size itself properly to operate in a smaller market, as consumer behavior indicates that demand will take around half a decade to recover to pre-pandemic levels. The Canadian flag…

SAA Suspends All Operations As Government Continues to Look for…

On Tuesday, Business Rescue Practitioners (BRPs) announced that South African flag carrier South African Airways has suspended all operations and the airline put under "care and maintenance" until the ongoing discussions between the BRPs and the government lead to a deal with suitable funding for the airline. All existing cargo…

Virgin Atlantic Wins Support of Creditors for Restructuring Plan

Virgin Atlantic has today won the support of its creditors over a 1.2 billion-pound ($1.58 billion) rescue package deal. The capital, only 400 million pounds of which is "new money," is supposed to keep the airline afloat for at least the next 18 months. Shareholders and suppliers to whom the…

Air France, Pilot Union Agree to Domestic Restructuring Effort

Air France and its main union, SNPL, have agreed to a restructuring that will allow Transavia France to fly domestic routes, Air France-KLM Group announced in a press release. The agreement will allow Transavia France to operate on domestic Air France flights and changes mid-range activity guarantees in line with…

Creditors Approve New Rescue Plan for South African Airways

South African Airways has had yet another business rescue plan approved by creditors. The new plan requires at least 10 billion rands funding ($596 million) of government funding to sustain the airline. This was approved during a creditors meeting held on Tuesday, July 14 by 86% of voters, as reported…

South African Airways Sends Airbus Aircraft to Spain for Long-Term…

South African Airways has sent its Airbus A330-200 and A350-900 to Teruel Airport in Spain for long term storage amid locked horns with staff and management over the furloughing process and calls to liquidate the airline. Teruel Airport is located in Spain outside the town of Teruel and hosts aircraft…

Kenya Airways Gears Up for Government Takeover Amid Massive Layoff…

In a bid to retain its financial flexibility and optimize on the lack of connectivity throughout Africa, the government of Kenya is on the verge of nationalizing its flag carrier to retain market share while aiding the troubled airline in its restructuring process. Lawmakers passed the nationalization bill which entails…

South African Airways to Receive $1.2 Billion Government Bailout

The South African government has agreed to finance the restructuring of South African Airways (SAA) as indicated in a copy of a draft plan shown on Monday. The draft plan involves a government agreement to spend R21 billion ($1.2 billion) to restructure SAA. According to the draft plan, a working…

South African Airways Liquidation Unlikely for Now

The immediate liquidation threat of South African Airways (SAA) may be averted for now as announced by the Department of Public Enterprises (DPE) on Saturday. The new deadline for the proposed employment agreement has also been extended to May 1, 2020. DPE also acknowledged an agreement was reached in a…