22nd Feb 2008 17:22
MAXjet Airways Inc.22 February 2008 22 February 2008 MAXJET AIRWAYS INC. ("MAXjet" or the "Company") Update on bankruptcy procedures and asset sales On 24 December 2007 MAXjet filed for protection under title 11 of the UnitedStates Code (the "Bankruptcy Code"). The Company discontinued scheduled allBusiness Class flight operations and petitioned the U.S. Bankruptcy Court to setprocedures to sell the business. On 1 February 2008 the U.S. Bankruptcy Court approved Bidding Procedures inconnection with the sale of the Company's business. In accordance with theBidding Procedures, the timetable for the auction of assets may be cancelled orrescheduled for a later time by the Company. The Company has decided to extendthe deadline for receipt of qualified bids to 5:00 pm Eastern Time on 27February, 2008. The Company will determine, in consultation with the CreditorsCommittee, which proposal received is the highest and best. If a Final Auctionis required to determine the winning Qualified Bid, it will be held at the lawoffices of Pachulski Stang Ziehl & Jones LLP in Wilmington, Delaware. The Company's ability to transfer its certificates authorizing scheduled andcharter flight operations will be subject to approval by certain governmentagencies. Transfer of economic authority granted by the Company's Certificatesof Public Convenience and Necessity are subject to United States Department ofTransportation approval under 49 U.S.C. (S)41105. Operating authority granted bythe U.S. Federal Aviation Administration Air Carrier Certificate isnon-transferable as an independent asset and is specific to the Company'sparticular operations, personnel and manuals. Depending on the nature of theultimate transaction between the Company and the Purchaser, re-issuance of theFAA Air Carrier Certificate may or may not be necessary. The Company is currently exploring a variety of options, including plans thatcould result in emergence from Chapter 11. The Company will continue to considerthese options through the close of the auction. The Company expects that if anauction is held, all proceeds from the sale of assets will be for the benefit ofcreditors and that no proceeds will be distributed to shareholders. Copies of court documents can be accessed online at https://ecf.deb.uscourts.gov. A PACER password is required to access the U.S. Bankruptcy Court onlinesystem. MAXjet case materials are listed under docket 07-11912. Interested bidders should contact the Company's Chief Executive Officer, BillStockbridge, at [email protected]. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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