Former board member to head Hawaiian creditors

Associated Press

A Hawaiian Airlines pilot who is also a former member of the financially troubled airline's board has been named chairman of the creditors committee in the carrier's bankruptcy filing.

David Urrea was chosen Tuesday in a conference call of the seven-member committee.

Urrea was a board member from 1994 to 1996 and helped the airline navigate a bankruptcy in 1993. The airline emerged from that bankruptcy the following year.

Accounting firm KPMG LLP was chosen as the committee's financial adviser.

Hawaiian Airlines filed for Chapter 11 reorganization on March 21, saying it was unable to renegotiate leases with its three aircraft lessors. The carrier has 60 days to reach terms with Boeing Capital Corp., International Lease Finance Corp. and Ansett Worldwide.

Boeing Capital is asking a judge to appoint a trustee to replace Hawaiian's management during bankruptcy proceedings. The company opposes that move. A hearing on the motion is scheduled for May 6.