In an interview with Uol journalist Alexandre Saconi, Leonardo Ribeiro Dias, head of our litigation, arbitration and insolvency practice, commented on Gol’s judicial reorganization process.
With the announcement of its adherence to Chapter 11 in the United States, many questions have been raised, including why the company chose to file outside of Brazil.
According to the specialist, adopting Chapter 11 has advantages over Judicial Recovery in Brazil. The main one is access to DIP (Debtor-In-Possession) financing, or debtor-in-possession financing, a line of credit aimed at companies undergoing reorganization.
“In this scenario, with Gol managing to maintain its operations during Chapter 11, obtaining DIP financing and maintaining payments on aircraft leases, consumers should not be harmed. Otherwise, there are risks for those who bought tickets if flights are canceled,” says Leonardo.
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