Alitalia’s obviously illegal loans from Italy won’t saddle its successor ITA as it launches in five weeks, thanks to a European Commission ruling handed down today.
Global Eagle completed its bankruptcy reorganization, announcing its emergence from the court-sanctioned process with $217.5 million in exit financing. The company also reasserts its focus on mobility markets including aviation, maritime, energy, and government sectors thanks to a divestiture of non-core businesses.
In-flight connectivity performance should get a bit better in the coming months for some Global Eagle customers thanks to an improved on-board transceiver. The Aerostream 40Ku, developed by Gilat, achieved DO-160G certification this week, allowing for development of production units as it moves towards FAA certification and aircraft installation.
Intelsat has a plan to emerge from its Chapter 11 bankruptcy protection. It involves slashing debt owed by more than half, from $15 billion to $7 billion. But the debtors must agree to those losses. If not, the company faces a more dire outcome, including the likely liquidation of its recently acquired Gogo Commercial Aviation business.
The Norwegian CashPoints loyalty program is taking a break. As the carrier moves through the bankruptcy protection and reorganization processes in Ireland and Norway the bulk of the programs benefits will be removed.
Chalk up another major long-haul LCC failure. Norwegian will abandon its fleet of 37 787 Dreamliners, refocusing on the short-haul European market served with single-aisle aircraft.
OneWeb emerged from bankruptcy protection on Friday, poised to resume satellite launches and bring is constellation into service. The company also has a new CEO, and a satellite production facility that won’t be moving to the UK after all.
As Global Eagle finalizes its financial plans for emergence from Chapter 11 Bankruptcy protection there are plenty of questions about what the future of the company will look like. Fortunately the most critical issue is easy to answer: The Albatross test aircraft remains part of the operation. Beyond that, however, the company sees the current industry crisis as an opportunity to reinvent what the inflight connectivity and entertainment business looks like.
Global Eagle received court approval to sell the bulk of its assets to its primary debt-holders, paving a path for its exit from Chapter 11 bankruptcy court protection. The deal wipes nearly a quarter billion dollars of debt from the books and delivers a fresh infusion of cash to boost operations.
As Global Eagle presses forward in its efforts to emerge from Chapter 11 bankruptcy protection the company faces new challenges. More than 10,000 contracts are expected to the terminated through the process, nearly all of them without compensation to the other party. And some of those filed objections to that plan.