Airline Azul Wins US Court Approval of Restructuring Plan

Brazilian airline Azul SA won US court permission to exit bankruptcy and implement a creditor-backed restructuring that trims debt and lines up new investment from United Airlines Holdings Inc. and American Airlines Group Inc.

Judge Sean Lane said during a court hearing late Friday in New York that he’d approve the airline’s plan to reorganize, clearing Azul’s path to leave Chapter 11 early next year. The deal cuts more than $2.6 billion in debt and aircraft lease obligations and raises as much as $950 million in new equity investments, according to court papers.

The bankruptcy plan won broad ...