Air Canada gets court green light and stern warning on exiting bankruptcy

0 Comments | AFP, August, 2004

TORONTO (AFP) — A judge approved Air Canada's plan to climb out of bankruptcy but warned managers of a carrier that serves millions of Canadians, Asians and other global passengers: "do not let this happen again."

The ruling means the airline will be able to sail clear of insolvency protection by the end of September, backed by a restructuring strategy which culled thousands of jobs and millions in costs from its operations.

Ontario Superior Court Justice James Farley endorsed a plan approved by the airline's creditors last week and gave the go-ahead for a new entity, Air Canada Enterprises (ACE) to become a holding company for the carrier.

"This court does not wish to see Air Canada or ACE or any other name that it may go under, back again," Farley said....