A French commercial court has ordered regional French airline, Air Littoral, to be placed in receivership at the company’s request.

The court appointed two administrators for a 45-day period after the company – which has 1,000 employees and 32 aeroplanes – filed for bankruptcy because the carrier was unable to make payments on an 11 million euro debt owned to the French state.

In spite of a takeover offer from the Wexford Group and other European partners, talks with the government over a moratorium on the debt broke down earlier this year.

Air Littoral says during a six month “observation period,” Air Littoral’s business activity will continue as before with all flights operational and ticket validity being guaranteed. Sales are to continue through the distribution networks, sales counters, call centre and the Air Littoral internet site.

The company says it will “pursue its incentive operations with travel agencies.” Pierre-Stéphane Austi, Air Littoral’s sales and marketing director, said: “The pending arrival of new investors will consolidate the company’s financial position and reassure both the distribution networks and all our commercial partners.”

The Wexford Group and its partners have confirmed their offer to take over the company in the “immediate future” and “regret that the State was not able to find a solution to avoid receivership.”

The company said its summer season saw a “very satisfactory” set of results, due to the development of a Mediterranean network. Details: www.airlittoral.com