News / New loan keeps Western Global in the air – but only for now

Troubled cargo airline Western Global Airlines has secured a loan, giving it the necessary breathing space to restructure.

But the Florida-based carrier is expected to file for Chapter 11 bankruptcy protection shortly.

Speculation about bankruptcy has been rife since Moody’s withdrew its credit rating for the airline in late June, saying it had “insufficient or otherwise inadequate information to support the maintenance of the ratings”.

The ratings agency had downgraded Western Global earlier this year, citing a liquidity shortage.

In mid-July, the airline’s management ...