airBaltic has canceled five more destinations from Riga for winter season

RIGA - Latvia's national airline airBaltic has canceled five more destinations from Riga for the winter season and will reduce flight frequency on certain routes, Augusts Zilberts, airBaltic’s head of public and political relations, confirmed to LETA.

He stated that airBaltic has made additional adjustments to the upcoming winter schedule. In line with seasonal demand, flights from Riga to Bucharest, Romania; Sofia, Bulgaria; Budapest, Hungary; and Oulu, Finland, will not operate during the winter season, but are scheduled to resume during the summer season. Flights from Riga to Innsbruck, Austria, will also be suspended.

Zilberts noted that airBaltic, like other airlines, regularly reviews its route network and flight schedule, adjusting capacity to passenger demand and current market conditions. In the current situation, another key factor is the rise in aviation fuel prices, which significantly impacts the airline’s operating costs.

In addition to the five canceled destinations from Riga, the airline will also reduce flight frequency on four routes, taking into account the traditionally lower demand for travel in January and February. Among others, flights will be reduced on routes from Riga to Copenhagen, Denmark; Oslo, Norway; Vienna, Austria; and Munich, Germany, while maintaining daily service to these destinations.

The flight schedule on routes from Riga to Madeira and Prague, Czech Republic, will also be adjusted during certain months of the winter season.

Zilberts noted that affected passengers are being offered the option to rebook their flight to another available flight within 14 days before or after the originally scheduled date or to request a refund.

These adjustments are a part of regular commercial planning and seasonal route network optimization and do not affect airBaltic’s long-term development plans, Zilberts emphasized.

During the upcoming winter season, airBaltic will offer a total of more than 45 direct destinations from Riga.

Previously, airBaltic told LETA that it would suspend flights on more than ten routes within the Baltic states during the winter season, including seven routes from Riga - to Faro, Portugal; Kittila in Finland, Ljubljana in Slovenia, Malta, Marrakesh in Morocco, Salzburg in Austria, and Dubai in the United Arab Emirates. Flights to Ljubljana will continue during the summer season.

As reported, airBaltic has begun restructuring its financial obligations in accordance with the Chapter 11 procedure set forth in U.S. law.

In total, airBaltic has received binding commitments from financiers to provide up to EUR 350 million in new financing (DIP) to ensure the company’s liquidity and operations during the Chapter 11 process. Currently, airBaltic has received the first tranche of financing in the amount of EUR 140 million, of which EUR 78.925 million will be used to repurchase eight aircraft and seven engines.

The financing was arranged by SVP, and Barclays, Hayfin Capital Management, Morgan Stanley, Oaktree Capital Management, and Strategic Value Partners have committed to providing it. The interest rate is SOFR +8 percent, or approximately 12 percent at present; however, this transaction will also involve additional fees totaling up to EUR 52.5 million.

Consequently, the previous plan to raise up to EUR 257 million at an annual rate of 25 percent from bondholders will not be implemented.

Chapter 11 protection shields airBaltic from creditor claims until the restructuring of its liabilities is completed.

The company also reports that flights and customer service will continue as usual. All flights will operate according to the scheduled flight plan; existing tickets and reservations remain valid, and passengers can continue to purchase tickets and travel with airBaltic as before.

Upon completion of this process, the final outcome will be a so-called reorganization plan, which must be approved by the court. The process is expected to be completed by mid-2027.

It was also reported that airBaltic bondholders supported in August the capitalization of the next two bond interest payments, as well as several other measures that provide the airline with additional flexibility in implementing its revised business plan.

Bondholders supported the capitalization of interest payments due on August 14 and November 14 of this year, adding them to the principal amount of the bonds rather than paying them out in cash. A decision was also made to grant a temporary exemption from minimum liquidity requirements until November 2026.

The airBaltic Group’s revenue last year increased by 4.2 percent compared to 2024, reaching EUR 779.344 million. Meanwhile, the airBaltic Group’s losses last year totaled EUR 44.337 million, which is 2.7 times less than in 2024. The airline carried a total of 5.2 million passengers in 2025, which is 1 percent more than in 2024.

Last summer, Germany’s national airline, Lufthansa, became a shareholder in airBaltic. Currently, the Latvian government owns 88.37 percent of airBaltic’s shares, Lufthansa holds 10 percent, the company Aircraft Leasing 1, owned by Danish businessman Lars Thuesen, a financial investor, holds 1.62 percent, and 0.01 percent is held by others. The company’s share capital is EUR 41.819 million.