Viva Macau misses installment payment

Viva Macau has missed a second deadline to repay the first installment of a MOP 200 million government loan. An Economic Services Bureau (DSE) spokesperson told Macau Daily Times that no payment had occurred by 5:00 pm yesterday, when banks closed for the day. The spokesperson confirmed the loan guarantors are also the airline’s main shareholders. The loan was made to defunct budget airline Viva Macau through the Industrial and Commercial Development Fund. The loan, disbursed in instalments between 2008 and last year, was meant to help the company face the problems caused by the global financial crisis. The government grounded Viva Macau in March because it was seemingly unable to pay its fuel bills. According to the loan contract, Viva Macau had to pay back an initial instalment of MOP40 million by July 1. The company missed that deadline, which was then extended for 30 days. The Court of First Instance has informed the government about the Viva Macau creditors’ meeting on September 13-14, which will be attended by a representative from the Industrial and Commercial Development Fund.