Southern Air Files For Bankruptcy Protection
September 28, 2012
US cargo airline Southern Air has applied for Chapter 11 bankruptcy protection, a court filing on Friday showed, as the company experienced cash shortages because of its deteriorating financial condition.
Southern Air's parent, Southern Air Holdings, said in a filing that as the financial situation continued to deteriorate "it became evident that secured debt and certain lease obligations must be restructured to address the situation."
Parent Southern Air Holdings has also filed for Chapter 11 bankruptcy protection.
For the 12 months ended July 31 2012, Southern Air clocked up revenue of about USD$428.2 million and a net loss of USD$159.8 million. And on that date, the company had assets of about USD$206.9 million and liabilities of about USD$486.5 million.
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much the same as AA.. in the hole assets
AA also needed to dump a bunch of old planes they had leased just like this company although AAs fleet is much older..
it was brought up in an earlier post that AA had bought new planes while in Bankruptcy it was necessary and HAD to have the JUDGE approve it..
their old fleet of MD80-88s sucked and were very fuel inefficient..