Ravn Air Group to receive $31.6 million in relief under the CARES Act

Ravn Air Group announced Wednesday that the U.S. Treasury approved it to receive $31.6 million in airline support payroll grants under the CARES Act Payroll Support Program subject to Bankruptcy Court approval.

In May,

a judge okayed Ravn Air Group to move forward with its "bidding process for the airline to sell all, substantially all, or a substantial part of its assets."

Also earlier that month, the U.S. Treasury approved Ravn Air Group’s ability to seek payroll grants under the CARES Act Payroll Support Program.

In a press release, Dave Pflieger, Ravn’s President & CEO said, “Today’s announcement about CARES Act payroll grants is fantastic news for our creditors, our employees, our customers, and the 115 communities we served before we had to ground our fleet due to the COVID-19 Pandemic and subsequent travel restrictions...Given this news, and the fact that we now have a number of interested, enterprise-wide bidders who want to buy the entire Air Group and its three airlines, we remain optimistic that we will be able to maximize creditor recoveries, exit Chapter 11 protection, and ensure that Alaska’s largest and most vital regional airline can resume operations later this summer.”

According to the press release from Ravn Air Group, the Honorable Brendan L. Shannon in the United States Bankruptcy Court for the District of Delaware established June 24, 2020, as the deadline to receive bids for all or substantially all of its three airlines and other assets.