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SkyOne Italy reach no agreement after lack of guarentees by Seagle Air
Added: (Sun Oct 25 2009)
We regret to announced today that it had reached no agreement with Seagle Air following several days of discussions about matters related to Italy Operations. The dramatic differences in the parties transaction structures and our views of the risks involved made it impossible to reach a mutually acceptable agreement.
SkyOne Italy transaction, which it remains willing to complete, while limiting the risk to SkyOne Italy and generating value for its shareholders. The transaction also preserved substantial value for Seagle Air Owner and other holding company without exposing SkyOne Italy to Seagle Air company liabilities it declined to assume. Finally, SkyOne Italy agreed to pay € 5,000,000.00, for a percentage of the company and to incur up to € 5,000,000.00 of losses, in exchange for the contingent loss protection that Seagle Air agreed to provide.
Our shareholders have been unjustly and illegally deprived of the opportunity the transaction created. We have estimated the loss for about € 1.5 Billions Euro.
SkyOne Italy knows that it has strong legal claims against Seagle Air, their officers, directors, advisors and others for breach of contract and for tortious interference with contract. SkyOne Italy plans to pursue these damage claims vigorously on behalf of its shareholders.
SkyOne Italy Airlines, LTD