Bonza Aviation - Case Update

Hall Chadwick is in court today seeking a two-month extension to its appointment as voluntary administrator of Bonza Aviation, a Queensland-based regional airline carrier which entered voluntary administration on 30 April.

The airline was only in operation for 15 months before its lessors terminated their aircraft leases on April 29. With no cashflow and no aircrafts available to continue operations, the administrators cancelled flights, stood down employees and focused their efforts on a sales process for the company’s business and assets.

Bonza’s US-based owners, alternative investment firm 777 Partners, have recently notified the administrators that they may wish to propose a DOCA to restructure the business.

Administrators estimate that the company owes its creditors at least $116.0 million, not including what will be owed to over 58,000 customers whose flights were cancelled.