CSA, the Czech flag carrier, has lost 105 million Czech Crown ($4.6 million) in the first nine months of the year. However, it is making sufficient progress in paying off its debts, and so it will remain in the process of business restructuring and will not be declared bankrupt.
The insolvency administrator of CSA announced that he was satisfied with the financial state of the Czech flag carrier in a report seen by Simple Flying.
CSA will remain in the process of business restructuring and will not enter bankruptcy. This is because it generated sufficient revenue so far this year to pay off its liabilities in full and in time.
The Czech flag carrier generated sales revenue amounting to 522 million Czech Crown ($23.2 million) between January and September 2021.
Furthermore, the airline bolstered its liquidity in the same time period by selling what the report calls surplus assets. Most notably, CSA sold its emissions permits in what was the most lucrative surplus asset sale of this time period.
As a result, the insolvency administrator expressed the view that there were no grounds on which to turn the business restructuring into bankruptcy by closing down the business. This means that CSA will continue to carry passengers, at least in the short term.
Despite the good news about escaping bankruptcy, the financial standing of CSA remains poor, and this remains a cause for concern regarding its future.
CSA is in the process of business restructuring led by INSKOL, a Czech public trading company whose scope of business is to perform the duties of the insolvency administrator in accordance with national law.
The net profit generated between January and September 2021 remains a negative figure: the total loss recorded during these nine months was 112.8 million Czech Crown ($5.5 million).
CSA was able to settle its receivables as scheduled, despite the negative financial result at the end of the year. The airline has also canceled its Airbus orders. Still, further problems for the airline remain ahead.
The solvency administrator did not conclusively state the level of support among CSAs creditors for its ongoing proceedings at the airline. This is because the reorganization plan has still not been submitted.
CSAs creditors, including ticket holders who have had their flights canceled and have not received a refund, are represented by a Creditors Committee. The Committee has met with the insolvency administrator as many as eight times in the third quarter of this year alone (between July and September 2021).
What do you think of the news that CSA will continue to operate while being in the process of business reorganization? Do you think the airline will live to be 100 years old later this decade? Let us know what you think of this story in the comments below.
Go here to read the rest:
- Judge Approves Deal to Resolve Puerto Rico Bankruptcy - The New York Times - January 19th, 2022
- When to apply for a credit card after bankruptcy - Bankrate.com - January 19th, 2022
- ANALYSIS: Three Skills Bankruptcy Associates Need to Stand Out - Bloomberg Law - January 19th, 2022
- Judge rejects legal shield in bankruptcy of former Ann Taylor parent - Reuters - January 19th, 2022
- Italy's Moby Files US Bankruptcy in Ongoing Reorganization Battle - The Maritime Executive - January 19th, 2022
- Delaware Bankruptcy Court Rules That Unsecured Creditors Of A Solvent Debtor Are Entitled To Post-Petition Interest At The Federal Judgment Rate, Not... - January 19th, 2022
- Famous Anthony's owners filing for bankruptcy in wake of hepatitis A outbreak - Food Safety News - January 11th, 2022
- Purdue Pharma can appeal rejection of bankruptcy plan - Reuters - January 11th, 2022
- This Beloved Seafood Chain Is Making a Comeback After Bankruptcy Eat This Not That - Eat This, Not That - January 11th, 2022
- Puerto Rico To Get Bankruptcy OK With Plan Modifications - Law360 - January 11th, 2022
- Bankruptcy Court Holds Arbitration Clause Unenforceable When Underlying Contract Is Rejected Pursuant to Section 365 of the Bankruptcy Code - Lexology - January 11th, 2022
- COMPLIANCE WITH OFFICIAL BANKRUPTCY FORM 105 SATISFIES ASHCROFT V. IQBAL - JD Supra - January 11th, 2022
- The Hong Kong approach where debtors lodge a petition for their own bankruptcy - how to prevent abuse of process - JD Supra - January 11th, 2022
- Corporate Bankruptcy Wave Turns to Dust, Defying Expectations - Bloomberg Law - January 7th, 2022
- Bowlski's will keep on rolling in El Jebel through bankruptcy - The Aspen Times - January 7th, 2022
- The Inside Story Of How Jessica Simpson Launched, Sold Then Re-Acquired Her Billion Dollar Retail Empire From Bankruptcy - Celebrity Net Worth - January 7th, 2022
- The Law Amending The Enforcement And Bankruptcy Law And Certain Laws Is Published - Insolvency/Bankruptcy/Re-structuring - Turkey - Mondaq News Alerts - January 7th, 2022
- $2000 an hour for a bankruptcy lawyer? 2022 could be the year - Reuters - January 3rd, 2022
- Jake Paul: 2022 goals include saving Mayweather Promotions from bankruptcy, heal back from carrying the sp - MMA Fighting - January 3rd, 2022
- Trustee in Tomaszewski bankruptcy seeks order to obtain tax refunds - The Batavian - January 3rd, 2022
- I Recently Received A Bankruptcy Discharge But Have Fallen Behind On My House Payments And Am Facing Foreclosure, Is There Anything I Can Do? -... - January 3rd, 2022
- Avoiding Technical Bankruptcy: a Whole-Organization Perspective on Technical Debt - InfoQ.com - December 25th, 2021
- Sean 'Diddy' Combs approved to buy fashion line out of bankruptcy - Reuters - December 25th, 2021
- Red River bankruptcy hearing delayed in Texas court - WANE - December 25th, 2021
- Hello Living staves off foreclosure on East Flatbush project, for now - The Real Deal - December 25th, 2021
- IndyBar: Thank You, US Bankruptcy Court for the Southern District of Indiana Pro Bono Volunteers! - Indiana Lawyer - December 25th, 2021
- These are the measures that transporters have agreed to avoid bankruptcy in the sector - Market Research Telecast - December 19th, 2021
- US judge annuls pharmaceutical company Purdue's bankruptcy agreement - La Prensa Latina - December 17th, 2021
- Litigation Funding In Bankruptcy And Distressed Situations - Above the LawAbove the Law - Above the Law - December 17th, 2021
- Bradleys Bankruptcy Basics: The Automatic Stay and the Why Behind the Warnings: What Happens Once a Debtor Files for Bankruptcy? - JD Supra - December 17th, 2021
- Healthcare Organizations and Bankruptcy: Is Telemedicine the Savior? - JD Supra - December 17th, 2021
- Pandemic drives Carlson family out of the business where they made a fortune - Minneapolis Star Tribune - December 17th, 2021
- Bankruptcy Matters: The New Pandemic Wave is Coming - JD Supra - December 17th, 2021
- Boy Scouts of America bankruptcy updates: What we know about settlements, payouts, more - USA TODAY - December 15th, 2021
- The Automatic Stay and Debtors Filing for Bankruptcy - The National Law Review - December 15th, 2021
- Directors Duties: a stark reality following the recent Marka Ruling and subsequent amendments to the UAE Bankruptcy Law - JD Supra - December 15th, 2021
- Matt Collard: Because of poor spending decisions town is heading toward bankruptcy - Conway Daily Sun - December 15th, 2021
- This Week At The Ninth: Telescopes And Tax Returns - Insolvency/Bankruptcy/Re-structuring - United States - Mondaq News Alerts - December 15th, 2021
- Fraud allegation in Intelsat bankruptcy | - Advanced Television - December 13th, 2021
- Protecting creditors' administrative claims in Chapter 11 bankruptcy cases - Reuters - December 13th, 2021
- Sri Lanka : Country is being pushed towards bankruptcy - Eran - Colombo Page - December 13th, 2021
- Elizabeth Warren Wants to Know How Hertz Went From Bankruptcy to Buybacks in Six Months - The New Republic - December 13th, 2021
- IBBI to make panel of professionals to speed up bankruptcy process - Livemint - December 3rd, 2021
- RBI moves NCLT Mumbai for bankruptcy proceedings against Reliance Capital - Business Standard - December 3rd, 2021
- Can Johnson & Johnson put the taint of scandal behind it? - The Economist - December 3rd, 2021
- Bankruptcy Filings | United States Courts - November 28th, 2021
- More colleges face bankruptcy even as top schools experience record wealth - CNBC - November 28th, 2021
- Boy Scouts will lobby on bill to curb tactics used in bankruptcy proceedings - Politico - November 28th, 2021
- Man who sought to conceal interest in 5m Dalkey property has bankruptcy extended - The Irish Times - November 28th, 2021
- Evergrande's bankruptcy still just a matter of time - Asia Times - November 28th, 2021
- TfL crisis latest: entire Tube line may have to close and bankruptcy notice issued - Evening Standard - November 28th, 2021
- Where Westlife are now from breakup and bankruptcy to successful comeback - Birmingham Live - November 28th, 2021
- Avianca to reoffer jobs to around 100 pilots amid restructuring - Reuters - November 28th, 2021
- Trainer hit with bankruptcy and forced to muck out completes remarkable comeback with Cheltenham and... - The Sun - November 28th, 2021
- Katie Price swerves final bankruptcy hearing AGAIN as court date is pushed back to February 2022... - The Sun - November 23rd, 2021
- Steel Magnate Ordered To Produce Docs In Bankruptcy Row - Law360 - November 23rd, 2021
- The new extension of the bankruptcy moratorium increases the risk of judicial collapse and zombie companies - Central Valley Business Journal - November 23rd, 2021
- Interjet Appoints A New CEO What Does It Mean For The Carrier? - Simple Flying - November 23rd, 2021
- Assured MSP for 23 crops will drive the country to bankruptcy: SC panel member Anil Ghanwat - Economic Times - November 23rd, 2021
- Initiation of the CIRP process under the Insolvency and Bankruptcy Code - Lexology - November 23rd, 2021
- Opinion: In appreciation of Neil E. Harl making farm credit work for everybody - Ames Tribune - November 23rd, 2021
- Riverbed Technologies files for Chapter 11 bankruptcy protection following pandemic 'headwinds' - The Register - November 19th, 2021
- Is Nash Engineering the Latest Company Bankrupted by Asbestos Litigation? - JD Supra - November 19th, 2021
- MONTENEGRO - The Bill on amendments of the Bankruptcy Law - Lexology - November 19th, 2021
- Six-year fight to end with Williamsburg bankruptcy sale - The Real Deal - November 17th, 2021
- CWT Emerges From Bankruptcy With $100 Million to Invest in Business Travel Tech - Skift - November 17th, 2021
- NBA star Antoine Walker bounced back from bankruptcy in two years. Here's his advice for rebuilding finances - CNBC - November 17th, 2021
- The Boy Scouts Are Abusing the Bankruptcy System - Bloomberg Law - November 17th, 2021
- Another Bankruptcy Court Joins the Debate on the Validity of Bankruptcy Blocking Restrictions - JD Supra - November 17th, 2021
- Best Credit Cards After Bankruptcy | The Ascent - Motley Fool - November 17th, 2021
- Remington Arms returns from bankruptcy and moves to Georgia - We Are The Mighty - November 17th, 2021
- Hike in deaths by suicide in 2020 due to main causes of poverty, bankruptcy, and unemployment - thepolicytimes.com - November 17th, 2021
- Le Chateau's return from bankruptcy includes online sales, stores within stores - AM800 (iHeartRadio) - November 17th, 2021
- Jerry Funk: 28 years on the bankruptcy bench - Jacksonville Daily Record - November 5th, 2021
- Byton Close To Bankruptcy With Missed Payments, Production Halted - InsideEVs - November 5th, 2021
- Ingram and Debitetto on Bankruptcy and Compliance Programs | Health Care Compliance Association (HCCA) - JDSupra - JD Supra - November 5th, 2021
- Sixth Circuit Affirms Holding that Contributions to a 401(k) Plan Made More than Six Months Prior to Bankruptcy Cannot be Excluded from Disposable... - November 5th, 2021
- Bankruptcy Alert for New England States, NY, RI, and DE - The National Law Review - November 3rd, 2021
- The Purdue bankruptcy plan was approved. Where is the money? - STAT - November 3rd, 2021
- $500 million Los Angeles mega mansion The One now in bankruptcy - The Mercury News - November 3rd, 2021