Braathens Regional Airlines restructuring process successfully completed

ATR 72-600

The reconstruction plan was approved by the creditors and Solna district court on February 16^th and the judgment has now gained full legal force. The main goal of the reconstruction has thus been achieved and the company has created long-term sustainable financial conditions to continue its business.

The fact that we have reached the goal with the company reconstruction is very satisfying news for customers, employees and partners who have been both supportive and patient throughout this process. We are now looking forward to continuing our important work of offering more sustainable, punctual travel options with a high service level, both domestically in Sweden and throughout Europe together with tour operators and other partners, says Ulrika Matsgård, Group CEO of Braathens Regional Airlines.

During the reconstruction process, Braathens Regional Airlines has focused on developing and improving operations and strengthening the long-term financial conditions. Both customer and supplier agreements have been renegotiated in parallel with a number of activities to improve profitability. In addition to that, existing shareholders have made a shareholder contribution of SEK 114 million.

We have proudly flown travelers and contributed to keeping the whole of Sweden connected for over 25 years - the ambition is to continue doing so for at least another 25 years. Braathens Regional Airlines is now well placed to continue preserving the aviation infrastructure and accessibility in Sweden, while actively pushing on with our important sustainability work. I would like to extend warm thanks to everyone who supported us in this process, says Per G. Braathen, chairman and owner of Braathens Regional Airlines.

Finishing the reconstruction, Braathens Regional Airlines will keep developing three business areas: 1) Domestic flights in Sweden where Braathens Regional Airlines has about 20 routes with Bromma airport as its main base. In the first two months, passenger growth was +6% compared to the previous year. 2) Charter traffic - on behalf of tour operators, such as Apollo and Ving, fly their Nordic guests to southern Europe as well as Egypt and the Canary Islands. 3) Crewed flights for other airlines (ACMI): Braathens Regional Airlines recently entered into a one-year agreement with Austrian Airlines, which is part of the Lufthansa Group, for flights in and around Austria.

I am pleased to see that Braathens Regional Airlines reconstruction has been successfully completed. The company has implemented several improvements to create financial stability and I see good conditions for Braathens Regional Airlines to drive and develop the business going forward, says Nils Åberg, reconstructor.

More about Braathens Regional Airlines:
The plan for the aircraft fleet is 21 aircraft, of which 14 ATR72-600, four A319 and three A320. Year after year, Braathens Regional Airlines has ranked highest in customer service and punctuality. The company is a pioneer in sustainability work; BRA was the first airline in the world to be environmentally certified and to offer its passengers SAF- tickets.