Cargo Carrier Southern Air Cleared For Takeoff From Ch. 11

Law360, Wilmington (March 14, 2013, 5:24 PM EDT) -- Southern Air Holdings Inc. on Thursday won a Delaware bankruptcy judge’s blessing for its reorganization plan, which hands control of the cargo carrier to secured lenders owed $258 million.

At a court hearing in Wilmington, U.S. Bankruptcy Judge Christopher S. Sontchi said he would sign off on the plan once Southern Air discards an exculpation provision that the U.S. Trustee objected to as overly broad.

“The record is without blemish and I’m happy to approve the plan,” he said, adding that his decision is subject to...
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