CAAV mulls restructuring for Indochina

The Civil Aviation Administration of Vietnam (CAAV) on January 11 sent document to the Ministry of Transportation proposing to restructure the private carrier Indochina Airlines (ICA) to continue operation.

The document was built basing on the recommendations of ICA’s founding shareholders aiming to revive this aviation firm after stopping flying for over one year.

Additionally, ICA also petitioned to the prime minister to restructure its capital to continue operations.

CAAV also clarified the conditions to restructure that ICA must offer its business plan and fiscal plan, especially payment plan for debt. If not meeting these conditions, ICA’s licence will be revoked and this private carrier will have to face bankruptcy.

ICA’s general director, musician Ha Dung, said that he found new investors who are absolutely Vietnamese to pour capital into this Vietnamese carrier. The ICA’s total investment capital as of being formed so far has reached 725 billion dong.
If being approved for restructuring, ICA will resume its operations by the end of this year with chartered capital of 500 billion dong, meeting conditions for international flights.

ICA was licensed for the establishment in May 2008, started flying from November 2008 and stopped flights after one year of operations due to difficulties on financial issue. – Nguoi lao dong

Tags: Indochina Airlines, Vietnam aviation, Vietnam aviation industry, Vietnam aviation market

Posted by VBN on Jan 13 2011. Filed under Aviation. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry