Troubled Chinese Airline Group Proposes Paying 40 Percent of Debts

Chen Feng, chairman of HNA Group, the parent company of Hainan Airlines in China, have been detained on suspicion of committing crimes, the company announced on Sept. 24, 2021. Ted S. Warren/AP Photo

BEIJING—HNA Group, a Chinese airline operator that ran into financial trouble after a global acquisition spree, has proposed a plan to settle $61 billion in debts owed to thousands of creditors by paying 40 percent of the total.

The conglomerate warned in a statement Tuesday that it faces possible liquidation due to “mismanagement and investment disorder.” HNA Group said Friday its chairman and CEO were detained by police on suspicion of unspecified crimes.