The Darmstadt District Court has summoned the creditors of the insolvent holiday airline Condor to the Congress Center of Messe Frankfurt on October 22, 2020. There are only two items on the agenda: discussion of a submitted second insolvency plan and voting on this plan.
This appointment should actually take place much earlier, but the law now provides for the personal presence of the persons and institutions authorized to vote. Due to the corona measures, this has simply not been possible so far. If everything goes according to plan on October 22, 2020, Condor can exit the protective shield proceedings. However, you don't have a buyer yet and therefore use a kind of “trustee solution”. In the spring, the sale to the Lot parent company PGL failed for a short time, with the corona pandemic likely to have been the main cause of the Poles' withdrawal. These are now - at least for the time being - no longer interested.
So that Condor does not get under the wheels in the whirlpool of the Thomas Cook bankruptcy, a so-called protective shield procedure was registered last year. This is a special form in German insolvency proceedings, which is intended in particular to protect against claims and liabilities towards the owners. Since the takeover by PGL failed, a “new protective shield” was registered in the spring. Furthermore, the Federal Republic of Germany granted a second injection of funds in the form of state-secured loans through the Kreditanstalt für Wiederaufbau.
The new insolvency plan is fundamentally different from the first because you have no buyer. Erdsiek Vermögensverwaltung is already the official owner and acts as a trustee, because Condor does not want to start another sale until after the corona pandemic. At the moment, the traditional holiday airline could only be sold well below its value and it also seems very questionable that a serious buyer who can offer a good future can be found. We don't even try to do that for the time being. The term of the government-secured loans is ten years.
If the insolvency plan is accepted by the creditors, Condor can leave the protective shield procedure and is again active as an independent airline under fiduciary ownership. This would also mean that administrator Lucas Flöther would be withdrawn. How the persons entitled to vote will behave on October 22, 2020 is still open. At Condor, they are positively optimistic.