Avation PLC: Virgin Australia Claims Update

Avation PLC (LSE: AVAP) the commercial passenger aircraft leasing company was previously advised by the Creditors’ Trust that its claims against Virgin Australia and associated entities in its administration had been adjudicated by the Trustee and admitted for the combined sum of AUD 101.4 million (“Claims”).

A group of nine lessors, including the Company, had taken action in the Australian courts on the subject of the obligations of the Administrators to pay rent, while the Administrators had control of and the Lessor’s aircraft, as well as certain costs associated with their return to airworthiness, potentially as priority claims in the administration. This litigation has now been concluded with no adjustment to the Claims and with no priority claim allowed.

Avation has a view that there should be no further time delay by the Trustees and they should now pay out the Claims proportionately. As of this date The Company has no active litigation with Virgin’s Trustees nor any of its other clients.