Creditors of collapsed regional airline Rex, including staff who have lost their jobs, have been told it could be months before they see any money.
The airline was placed in voluntary administration on July 30th, facing debts of more than $500 million.
Rex immediately grounded its jet fleet and ceased jet flights between capital cities, making around 600 staff redundant.
The airline’s regional and rural network, serviced by Saab 340 aircraft, including Melbourne flights to and from Devonport, Burnie and King Island, remain unaffected – for now.
Administrators have told the first creditors’ meeting that Rex owes money to 4,800 creditors, but they are confident they will find a buyer for the regional part of the business and have already received several informal expressions of interest.
Another creditors’ meeting is expected to be held in Sydney early next month.
