Amedeo Air Four Plus (AA4) noted that further to its announcement of 17 March 2020 (we covered this here), its board confirms that discussions are continuing between the company’s manager and Thai Airways (Thai), in respect of its ongoing lease obligations to the company, and with the lending banks providing debt financing in respect of the four aircraft leased to Thai.
AA4’s chairman, Robin Hallam, said: “These discussions are in progress, however the numerous parties involved coupled with the restraints caused by the covid-19 crisis means that they are unlikely to be concluded speedily. There remains great uncertainty as to when and how many airlines will emerge from the present crisis, which shows no sign of abating in the near future. The board has noted the informal expressions of support from the Governments of Thailand and Dubai for their aviation sectors but any relevant terms and conditions are not yet clear.
Given the absence of immediate clarity as to the basis upon which the situation will be resolved, the Board has resolved that it is prudent temporarily at this time to suspend the payment of any kind of distribution to shareholders.
The board’s priority lies in preserving the long-term financial stability of the company for the benefit of its shareholders and creditors. The board considers that maintaining its current level of liquidity is a vital and prudent part in doing so.
The board will keep the company’s financial position under review and will make a further announcement as and when there are any material developments in connection therewith. It is the board’s ultimate hope that it will be able to resume making distributions as soon as circumstances permit.”
AA4: Amedeo Air Four Plus suspends distributions as talks continue with Thai Airways