Virgin Australia announces bankruptcy on coronavirus strain

Virgin Australia, major airline in Asia Pacific, announced it had entered voluntary administration, seeking bankruptcy protection after a debt crisis worsened by the coronavirus shutdown pushed it into insolvency.

Virgin is one of the first major airlines to seek bankruptcy protection in response to the pandemic. Virgin’s administrators have taken control of the company and will try to work out a way to save either the company or its business.

Virgin said in a statement to the Australian Securities Exchange that it had appointed a team of Deloitte administrators to “recapitalize the business and help ensure it emerges in a stronger financial position on the other side of the COVID-19 crisis.”