Anchorage, Alaska (KINY) - Ravn Air Group and its creditors held an auction Tuesday for 14 bidders to buy the entire group, its three separate airlines, or some/all of a series of bundled lots of the group’s assets.
Winning bids were determined for 11 of the 12 lots that were focused primarily on RavnAir Connect Part 135 aircraft and facilities used in the company’s rural Alaska operations.
Bidding for the Anchorage-based Part 121 airlines (RavnAir Alaska and PenAir) was continued to Wednesday, July 8, for the two remaining passenger air carriers and their respective assets.
Once the entire auction process is complete, approval for all sales will be requested at a final U.S. Bankruptcy Court hearing on July 9.
“As expected, there was a great deal of interest from other Alaska-based carriers in purchasing our rural Part 135 aircraft and facilities, and our entire team wants to thank everyone at RavnAir Connect and the many communities we have served over the years for helping us generate so
much interest in trying to save our rural Alaskan operations. While we will no longer be able to restart our Part 135 carrier, we are hopeful that the other airlines that purchased this high value operation and its vital rural service will hire as many Ravn employees as possible,” said Dave Pflieger, Ravn’s President and CEO.
Before it filed for Chapter 11 protection on April 5, 2020, following a 90% drop in bookings and revenue due to the arrival of COVID-19 in Alaska, and a resultant state-mandated travel ban to slow the spread of the pandemic, Ravn was Alaska’s largest regional air carrier.
The company and its three separate airlines were supported by over 1,300 employees, and it carried passenger, mail, freight, and charter customers to more than 115 destinations throughout Alaska.