The credits can be used for future purchases of flight tickets once international borders reopen.

AAX said the affected passengers would also receive the 0.5% payment of what is owed and other cash entitlements based on its annual revenue performance over three years as explained in the explanatory statement issued to all creditors recently.

The airline said this in a statement today to clarify media reports on passenger classification and their entitlements under the scheme that was supported by 99% of its creditors.

“These entitlements and travel credits can only take place if AAX is successfully restructured pursuant to the terms of the scheme. If the scheme fails, AAX will go into liquidation and the passengers will not receive anything in return.

“It is not the intention of AAX to place the passengers in this situation,” the airline said, adding that its policies were in line with many operators worldwide and fully compliant with regulatory requirements in each of the regions it operated in.

The airline noted that it had ongoing dialogues with consumer regulators across the region to ensure compliance with global customer complaint management standards.