Regional Airline Crisis Round-up

At least ten regional aircraft operators, as of 30 April, have gone into voluntary administration or some equivalent form of restructuring process as a result of the impact of the pandemic.

The latest is Irish wet-lease airline CityJet, which operates 32 regional aircraft for mainline carriers, such as Aer Lingus, Brussels Airlines and Air France-KLM. The Irish High Court has appointed KPMG to formulate a scheme of arrangement with the airline’s creditors which must then be approved by the court.

Another Irish wet lease specialist, Stobart Air, has escaped collapse by being bought out by the Stobart Group. Stobart Air was part of Connect Airways, which is now in administration, following the collapse of British regional airline Flybe.

Connect Airways – which is owned by Stobart Group, Virgin Atlantic Airways and Cyrus Capital Partners – was a consortium that earlier acquired Flybe. Some regional aircraft operators that are in administration, or the equivalent, continue to fly a smaller number of aircraft. CityJet and Stobart Air have mainly leased their aircraft from Nordic Aviation Capital (NAC), Falko and the KGAL Group.

Since COVID-19, airlines that have gone into voluntary administration or the equivalent thereof include:

Picture credit: CityJet