Global Aviation Holdings has filed for Chapter 11 bankruptcy, citing its large fleet and high labour costs.
"Although the company has worked closely with its lessors, bondholders and other creditors and constituents over the past year, which led to the reduction of certain obligations, the company needs to complete its comprehensive restructuring due to having too large a fleet, labour costs that exceed industry standards given the current global economic environment, and the necessity to align the capital structure with the size of the company," Robert Binns, chairman and CEO of Global Aviation said in a statement.
