CAA Director Joris Gintilas says the airline's future outlook will depend, among other factors, on the next steps by its key partners in Lithuania, the tour operators Novaturas and Tez Tour.
"If Small Planet Airlines continues to work together with Novaturas and Tez Tour in serving the Lithuanian market, we definitely see no risks to customers or passengers," Gintilas told.
"There should be no risks to passengers anyway, because the airline is a charter operator that doesn’t sell air tickets. Thus, even in a worst-case scenario, Novaturas and Tez Tour should be ready to bring in other flight operators," he added.
Small Planet Airlines' situation and its plans to restructure its Lithuanian company were discussed during Friday's meeting of the CAA Air Transport Licensing Commission.
"The airline undertook to draw up a restructuring plan and update its business plan with the focus on the company's operations in Lithuania, without the expansion nuances," the CAA director said.
"(The plan should provide for) how debts due to subsidiaries' operations could be covered by further developing its profitable operations in Lithuania. They plan to do so within a month," he said.
According to the director, Small Planet Airlines CEO Kristijonas Kaikaris told the authority that the company was projecting around 2 mln euros in operating profits in Lithuania for 2018.
Small Planet Airlines announced earlier this week that it had filed for restructuring in Lithuania after launching the restructuring of its Polish and German subsidiaries due to financial difficulties. It says an investor is not necessary in Lithuania, but the company is still looking for one.
The company says the restructuring process will not affect its flights from Lithuania and from its foreign bases.
At the same time, Small Planet Airlines' partners have the right to terminate their contracts with the financial-troubled charter carrier, a Lithuanian court ruled on Friday.
The Vilnius Regional Court, which examines Small Planet Airlines' petition for restructuring proceedings, dismissed the company's request for provisional protection measures, the court told.
The airline asked the court to temporarily prohibit aircraft lessors and tour operators from terminating their contracts with the carrier, grounding planes or stopping providing services and goods.
