US Court Approves airBaltic Chapter 11 Filing
A US bankruptcy judge has approved airBaltic's request to enter Chapter 11 proceedings and begin debt restructuring. The airline aims to secure financing and negotiate with creditors to reduce its debt pile.
Insights:
A United States bankruptcy judge approved airBaltic's request to enter Chapter 11 proceedings and secure €350 million ($404 million) in new financing, Prime Minister Andris Kulbergs said on Wednesday. The move comes as the majority-owned Latvia flag carrier seeks to slash debt following financial pressures from conflicts in Iran and Ukraine and Israel-linked supply chain strains. The airline aims to complete its court-supervised restructuring by June 2027 through a reduced fleet and lower operating costs.
