The Tbilisi City Court approved the rehabilitation plan for Georgian Airways, which was supported by the airline's creditors. The plan provides five years to the air company for debt payment.
As Giga Batlidze, the lawyer of the company, told BMG, the rehabilitation regime at Georgian Airways is terminated and it continues to operate according to the approved plan.
"The company will continue its activities smoothly and will have to pay 10% of the recognized obligations before the start of rehabilitation. This means that 90% of debts have been written off. About 90% of creditors agreed to these conditions. The agreement provides for the restructuring of this debt and Georgian Airways will repay the debt within five years. We are talking about 10% of the debt, which amounts to GEL 17 million. All creditors will receive 10% of their total demand", Batlidze said.
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 is clear that the airline has debts of more than GEL 175 million, while the value of its assets is only GEL 21.4 million.
