GROUNDED AIRLINE Futura Gael received a stay of execution yesterday when the High Court appointed an interim examiner to the company.
Swords, Dublin-based charter operator Futura Gael ceased operations on September 8th after its Spanish parent, Futura, ran into trouble because of the high price of oil.
Late yesterday, the High Court appointed Kieran Wallace of accountancy firm KPMG as interim examiner of Futura Gael.
The appointment of an examiner places the company under the High Court's protection, and means that its creditors cannot seek repayment of their debts from the business.
The courts appoint examiners to troubled companies where there is a chance that they and the the jobs that they support can be rescued.
About 70 people were laid off temporarily when Futura ceased operations two weeks ago.
Tour operators were forced to find alternative return flights for Irish holidaymakers stranded as a result.
Mr Wallace has seven to 10 days to return to the court to apply to be appointed as a full examiner.
Over the next week, it is likely that he will review the company's financial situation and begin to seek new backers for the business.
If he is appointed as a full examiner, he will have three months to put a rescue plan together and agree it with the airline's creditors.
Futura Gael was the Irish arm of the Majorca-based Futura Group, which operated 38 aircraft and had revenues of €335 million.
Based in Spain, Futura was set up by Aer Lingus in 1990. It was headed by Willie Walsh, the former Aer Lingus chief executive who now leads British Airways.
Aer Lingus sold an 80 per cent stake to Futura's then management for an estimated €28 million in 2002.
