Volotea files for preliminary creditor protection to restructure debt

The low-cost airline Volotea has filed for preliminary creditor protection (preconcurso de acreedores) in a Barcelona court. This move is intended to facilitate debt restructuring and avoid formal bankruptcy proceedings. The company is seeking to negotiate with creditors to stabilize its finances following several years of net losses, including a reported €64 million loss in 2025.

Volotea attributes its financial difficulties to rising fuel costs, estimated to have an impact of approximately €150 million, exacerbated by geopolitical tensions. The airline also faces significant debt to Spanish government-owned institutions, including €200 million from SEPI and a €150 million loan guaranteed by the ICO, stemming from COVID-19 relief measures.

As part of its restructuring plan, Volotea intends to reduce its fleet from 44 aircraft to between 30 and 35, while also planning to lay off 50 employees. Despite the filing, the company maintains that it will continue its scheduled operations and flight programs. Some routes, particularly from Asturias, have already seen frequency reductions or cancellations, causing disruptions for passengers and travel agencies.

Investment funds and partners, including Aegean Airlines, face significant exposure, with approximately €148 million at risk across various capital and loan vehicles. Meanwhile, regional authorities, such as the Government of Navarre, have expressed intent to monitor the situation closely but maintain existing agreements for new flight connections.