Air Lituanica files for bankruptcy

  • 2015-05-28
  • From wire reports and TBT staff, VILNIUS

Air Lituanica director, Nerijus Jukna, has announced the airline will initiate bankruptcy proceedings as soon as possible, following a review of the company’s activities. 

Set up by former Vilnius mayor, Arturas Zuokas, Air Lituanica announced on May 22 it would terminate all flights and agreed with Latvian carrier, Air Baltic, all passengers booked on flights between May 22 and June 5 would be transferred to Air Baltic services. 

On May 28, Air Lituanica announced its employees are no longer able to carry out their duties and labour relations will be discontinued. 

Air Lituanica’s administration is currently reorganising the company’s resources and devoting its efforts to communicating with customers and analysing complaints. 

The airline has said passengers booked on flights not within the May 22 to June 5 window should apply for a refund. 

In a recent interview with the Lithuania Tribune, newly elected Vilnius mayor, Remigijus Simasius, revealed Air Lituanica cost Vilnius municipality 11m euros per year since it was formed in May 2012.

On May 28, Simasius also revealed the bankruptcy proceedings may cost Vilnius municipality 1m euros.