Airline SAS to file second amended Chapter 11 plan (updated)

Sas AB

05/02/2024 02:02

(Adds details from the release in paragraphs 2-5)
       Feb 4 (Reuters) - Scandinavian airline SAS  SAS.ST  said
it would file a second amended Chapter 11 plan of reorganization
on Monday and said it had the support of the Official Committee
of Unsecured Creditors.  
    The company said it expected about $325 million to be
allocated to general unsecured creditors as part of the amended
plan, consisting of up to $250 million in cash and $75 million
in new equity.
    The $75 million in new equity to be allocated to creditors
would be distributed to general unsecured creditors like the
Danish, Norwegian, and Swedish states, aircraft lessors, pilot
unions, and key suppliers, the company said. 
    Other creditor classes, including holders of the listed
commercial hybrid bonds, are expected to receive a cash-only
recovery. 
    The airline said that holders of the company's listed
commercial hybrid bonds would receive an initial cash recovery
of 6.9%–9.4% of the nominal value of claims after emerging from
the Chapter 11 process. 
    
    

 (Reporting by Akanksha Khushi in Bengaluru; Editing by Rashmi
Aich)
 ((Akanksha.Khushi@thomsonreuters.com;))