Creditors circle, but Cargologicair could still rise from the ashes
Administrators are investigating a potential sale of Cargologicair (CLA), as creditors swirl around what was ...
The freight forwarding arm of National Air Cargo Holdings yesterday filed for relief under Chapter 11 bankruptcy protection. While speculation has been circulating in the market for a while, this announcement reveals that it is just one part of a multi-faceted group and the airline is not connected to the proceedings.
The announcement follows a judgment against NAC Inc, in a case filed by Global BTG, which provides leasing and financing for aircraft, which alleged that NAC Inc had breached a letter of intent by failing to finance aircraft leases through Global. NAC is appealing the judgment but the Chapter 11 proceedings will allow it to continue business as normal in the meantime.