Garuda Indonesia information for Chapter 15 U.S. chapter process

JAKARTA (Reuters) – Flag provider Garuda Indonesia has requested {that a} court docket in New York recognise the airline’s latest debt restructuring deal in a Jakarta court docket, below Chapter 15 of the U.S. Chapter Code, its chief govt stated on Monday.

Garuda filed the Chapter 15 case late final week at a New York chapter court docket, CEO Irfan Setiaputra informed Reuters.

Chapter 15 supplies for cooperation between U.S. and international courts, if there’s a U.S. monetary curiosity in proceedings.

Garuda and its collectors agreed to halve its debt to about $5 billion in a deal overseen by a chapter court docket in Jakarta in June.

Nevertheless, the provider’s restructuring settlement is at present being challenged within the nation’s Supreme Court docket by an Eire-based plane lessor, Greylag Goose Leasing and no determination has been made to date.

The lessor has beforehand objected to the calculation of their claims at round 2.3 trillion rupiah ($152.07 million) within the restructuring settlement.

In a parliamentary listening to on Monday, finance ministry senior official Rionald Silaban stated one in every of Garuda’s lessors Boeing (NYSE:) had but to take part within the restructuring plan, however stated the U.S. planemaker “will finally take part”.

Claims from Boeing to Garuda are estimated at $822 million.

Boeing didn’t instantly reply to request for remark.

($1 = 15,125.0000 rupiah)