HNA Group Co., an operator of Hainan Airlines, said Friday that its creditors have filed a court petition for its bankruptcy as the Chinese major conglomerate failed to pay liabilities by the deadline.

Hainan Airlines, which has flights to Haneda, Narita, Kansai and New Chitose airports in Japan, has suffered from sluggish business performance due largely to the pandemic of the novel coronavirus that was first detected in the central Chinese city of Wuhan in late 2019.

If the court makes a formal decision on bankruptcy, HNA would try to clear its debts and restore its finances while continuing its operations. The company has been under control by the government of the southern island province of Hainan since February last year.

HNA had invested in foreign hotels and banks in an aggressive manner to expand its businesses both at home and abroad, but it sold its overseas assets in the face of cash-flow problems.

==Kyodo

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