HAWAII’S ISLAND Air operated it lasts flight on November 11, just days after filing for Chapter 11 bankruptcy protection. The airline was unable to find a new investor or lender to provide the funding it required to support flight operations and a successful reorganisation of its business.
Island Air said its cause wasn’t helped by claims of “aggressive legal attacks” by lessors Wells Fargo Bank Northwest, and Elix 8. However, the lessors have not responded to this statement.
Judge Robert Faris of the District of Hawaii Bankruptcy Court had denied the lessors’ Motion for Temporary Restraining Order on November 3. Wells Fargo Bank Northwest, and Elix 8 had been seeking the termination of all leases and the immediate repossession of Island Air’s aircraft. The airline’s aircraft are now in storage.