Home / Business / Le Matin – Virgin Atlantic airline declares bankruptcy

Le Matin – Virgin Atlantic airline declares bankruptcy



Virgin Atlantic Airlines filed for bankruptcy in a New York court on Tuesday.

Owned by billionaire Richard Branson, the British company is the second Virgin Group company to file for bankruptcy this year.

Last April, Virgin Australia submitted a voluntary administration request at a time when the global aviation industry is being hit hard by the crisis linked to the coronavirus pandemic. In New York, Virgin Atlantic filed for Chapter 15 bankruptcy protection.

Lawyers for the company said that “the ongoing Covid-19 pandemic has had a negative impact not only on Virgin Atlantic but also on the aviation industry as a whole.”

In July, the company entered into a $ 1

.5 billion bailout deal to maintain its solvency. But the recovery has been slow due to several factors, including a lack of consumer confidence, declining business travel and new peaks of coronavirus in the United States and elsewhere.

According to the International Air Transport Association, which represents 290 airlines, global air travel is not expected to recover from the recession until 2024.




Source link