37 minutes ago
The direct Paraparaumu to Auckland service is at "significant risk" if the loan goes into default.
Air Chathams has missed the due date to repay a $500,000 Kāpiti Coast District Council loan.
Airline chief executive Duane Emeny said the loan would be repaid and asked for a 10-business day extension to work out a payment plan, but warned there was "a significant risk" to the direct Paraparaumu to Auckland service if the council chose to declare the loan in default.
The council agreed to the interest‑free loan in November 2020, during the Covid‑19 pandemic, to help the airline restart flight operations. It came on top of a separate $20,000 Covid‑19 support grant.
