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MONTREAL, Jan. 16 /CNW Telbec/ - Air Canada provides the following =
update
on the airline's restructuring under the Companies' Creditors =
Arrangement Act:
Court Approves Amended Trinity Agreement
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Justice Farley of the Ontario Superior Court today approved the
amendments to the Trinity Equity Investment Agreement submitted on =
December
19, 2003. The Air Canada Board of Directors reconfirmed its selection of
Trinity Time Investments as the company's equity plan sponsor on =
December 21,
2003. The investment is $650 million for approximately 31 per cent of =
the
equity of the Company.
Court Approves GECAS Global Restructuring Agreement
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Justice Farley today also approved a global restructuring agreement =
with
GE Capital Aviation Services (GECAS) on the restructuring of all GECAS
financed and managed aircraft as well as respecting new exit and =
aircraft
financing totaling approximately USD $1.5 billion.
"Two further cornerstones of the Air Canada restructuring have now =
been
approved by the Court," said Calin Rovinescu, Executive Vice President =
and
Chief Restructuring Officer. "With these approvals, the key process of
selecting an equity plan sponsor has now been completed. The GECAS =
agreement
is also pivotal to our successful emergence as it provides critical exit =
and
new aircraft financing as well as a restructuring of about one-third of =
our
fleet.
"With the support of Trinity, the equity plan sponsor, we expect to =
now
proceed expeditiously to complete the remaining steps to exit CCAA =
protection -
resolution of the pension deficit funding, completion of the fleet
restructuring, the Teplitsky arbitration respecting the acquisition of =
Embraer
and Bombardier aircraft, the complex claims process and finally, the =
corporate
reorganization and submission of the Company's Plan of Arrangement."
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