Adria Airways has recently temporarily suspended flights. However, it has not lost its licence and will be able to operate for at least another week.
On September 23, Slovenian flag carrier Adria Airways announced that the airline will not operate flights on September 24 and September 25 as it needs “access to fresh cash which airline needs for further flight operations” and that resumption of service rests on chances of finding a solution “in cooperation with potential investor.”
However, the Slovenian Civil Aviation Agency (CAA) announced that it will not terminate Adria’s Air Operators Certificate (AOC) if it provides a proper restructuring plan by October 2, 2019, 23:59 (GMT+2). This follows years of bad investments (including betting on Sukhoi Superjet 100), repossessions and unsuccessful privatization.
Adria Air’s destinations mostly include places that can be reached from its base in Lubljana: Greece, Germany and other European states. The current fleet size of Adria Air is unknown.
Those experiencing cancelled or otherwise disrupted flights due to suspension of company activity – or fearful of its collapse – should know that it would be basically impossible to claim flight compensation from Air Adria if it went bankrupt. The law is essentially powerless once a company goes under. However, there may still be things you can do to recoup your money:
- Those who bought tickets with credit cards can ask their companies file claims for services not rendered despite the bankruptcy filing.
- Some traveller insurance products cover trip cancellation or interruption in case of bankruptcy – so check your policy if you have it!
- Lastly, IATA settlement service between airlines and travel agents (known as the BSP, or Billing and Settlement Plan) might allow IATA to reimburse travel agents – it all depends on the local bankruptcy administration, so you better ask, just in case!
Adria Air’s troubles follow closely after the collapse of UK travel organizer and airline Thomas Cook. If the company was to go bankrupt, it would be one of the many smaller airlines that went defunct in recent years.