National Airlines’ plan flies in court

March 05, 2002 10:01 AM
by

share

National Airlines received final court approval Monday for its corporate reorganization package that ensures the Las Vegas-based carrier’s continued operation.

The Bankruptcy Court Judge Linda Riegle’s decision means that National will “move forward” and apply for federally backed loan guarantees up to $70 million, said company spokesman Dik Shmizu.

“This sends a strong message that everyone is on board,’’ he said of the airline’s creditors.

National is hopeful that its loan package could be approved within the next 45 days. So far, only one carrier ”” AmericaWest ”” has obtained federally backed loans in the aftermath of Sept. 11 attacks.