Overview
- The airline confirmed that Latvia’s Ministry of Finance‑appointed Supervisory Working Group approved the new business plan on Tuesday, August 11, 2026, shifting the strategy from IPO-led growth to financial stability first.
- Under the plan airBaltic will sharply reduce its Airbus A220-300 fleet this year, with published reports conflicting on the near-term target of either 26 or 36 aircraft by year-end while aiming to rebuild to about 40 A220s by 2031.
- To bridge to a permanent solution the company is seeking €225 million (about $259 million) of interim financing plus roughly €100 million (about $115 million) in new equity and is proposing partial equitization and reduction of 2029 Senior Secured Notes.
- Holders of the 2029 Senior Secured Notes are being asked to vote on the recapitalization beginning August 17, 2026, and further approvals from creditors remain required before the plan can be implemented.
- The plan narrows airBaltic’s network around Riga, increases year-round ACMI partnerships (wet leases in which airBaltic supplies aircraft, crew, maintenance and insurance), and cites war-related costs and Pratt & Whitney engine delivery limits as key reasons for the reset and its likely impact on routes, jobs and wet-lease arrangements.