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Bankruptcy Law

Avianca Can Make Some Payments, But Planes Stay Grounded (1)

July 15, 2020, 5:05 PM

(Updates to show what employees company won right to pay in first bullet.) Federal bankruptcy judge granted bankrupt air carrier Avianca Holdings SA permission to pay employee wages on Wednesday over the objection of the U.S. Trustee.

  • Co. won right Wednesday to pay 90 employees a total of $359,742 due under its long-term incentive plan
  • Judge Martin Glenn: “For the debtor to succeed in reorganization, they need the support of their loyal employees and I think this is an appropriate way to do that.”
  • Co. wants to pay 2,482 current employees and 22 retired employees incentive payments of about...

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