newstodate.aero

Apr 20, 2022 (newstodate): The world's largest regional aircraft lessor Nordic Aviation Capital, currently in Chapter 11 bankruptcy protection, can now see (green) light at the end of the tunnel.
   Nordic Aviation Capital Designated Activity Company announced today that the U.S. Bankruptcy Court for the Eastern District of Virginia has confirmed the Company’s Plan of Reorganization, which should enable the Company to emerge from Chapter 11 before the end of May.
   The plan includes a series of measures including reduction of debts, aircraft sales and recapitalization transactions, securing financial flexibility to support continued investment in the long-term growth of the Company.
   Critically, NAC’s restructuring will preserve the strength of the platform and the long-standing relationships with customers and suppliers.  
   Through the realization of the plan, NAC will maintain its position as one of the largest lessors globally, with over 350 aircraft on lease to a diverse customer base.
   While NAC entered the current global crisis in a strong liquidity position, the fall-out in the aviation sector as a result of the COVID-19 outbreak resulted in the Company receiving requests from the majority of lessees seeking to defer some or all elements of their lease payments.
   NAC had to renegotiate its financial obligations to fend off a looming crisis, and in July 2021 its lenders voted unanimously to approve a proposed scheme seeking to implement a standstill on and deferral in respect of certain payment of interest and principal on its borrowings, covering the next 6-12 months.
   In September 2021, Nordic Aviation Capital appointed Norman C.T. Liu as incoming President to spur the progress in its restructuring, including agreement on outline terms with its largest senior lender groups on a holistic transaction to strengthen capital structure and position the Company for long-term growth and success.