The put up Chile’s LATAM Air gets backing by unsecured creditors in Chapter 11 exit plan appeared first on TD (Travel Daily Media) Travel Daily.
Chile’s LATAM Airlines has acquired backing by a majority of its unsecured creditors in its Chapter 11 chapter exit plan, the airline stated. LATAM, which filed for chapter in the United States in 2020 after being hit by the coronavirus-related journey downturn, stated round 65% of its low-ranking creditors had backed the plan.
A committee representing junior creditors filed an objection to the restructuring plan in courtroom Monday, calling it ‘fundamentally flawed’ and alleging it could improperly profit shareholders equivalent to Delta Airlines at their expense.
LATAM Airlines, created in 2012 following the merger of Chile’s LAN with Brazilian rival TAM and with working models in Chile, Brazil, Colombia and Peru, nonetheless has to carry dissenting stakeholders on board. The plan, in which LATAM hopes to lift $5.4 billion, has additionally acquired objections from a Chilean financial institution representing native bondholders and the U.S. Department of Justice’s chapter watchdog.
“LATAM continues to aim to complete the process and exit from Chapter 11 in the second half of 2022,” the airline stated in a press release.
The put up Chile’s LATAM Air gets backing by unsecured creditors in Chapter 11 exit plan appeared first on Travel Daily.