04.Oct .2022 18:00

Creditors Approved Rehabilitation Plan For Georgian Airways - Gaiashvili

Creditors Approved Rehabilitation Plan For Georgian Airways - Gaiashvili
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Creditors approved Georgian Airways' rehabilitation plan, - according to Tamaz Gaiashvili, director of the company. As he notes, 98% of creditors supported the plan.

Details of the approved rehabilitation plan are not public yet. According to BMG, the plan is for 5 years, which means that the airline must repay the debt during this period.

After the approval of the plan, the rehabilitation regime in Georgian Airways is terminated and it continues to operate according to the approved plan.

Georgian Airways started the bankruptcy-rehabilitation process late last year. The application registered in the public register was preceded by the ruling of the Tbilisi City Court, from which it was clear that the airline had a debt of more than GEL 175 million, while the value of its assets was only GEL 21.4 million.

According to the law, in case of a request for rehabilitation, the project of the rehabilitation plan must be attached to the application. Creditors determine the deadline for the preparation of the project of rehabilitation plan, however, according to the law, it should not exceed 60 days. The deadline may be extended by the creditors' decision, and the implementation of the rehabilitation plan is supervised by the creditors' meeting. The rehabilitation process will be completed as soon as the rehabilitation plan is implemented.