Air Australia could be in trouble?

[Bernie P]

THE administrator of Air Australia has recommended that stranded passengers try to find alternative arrangements to fly home as soon as possible.
Administrator Mark Korda, of Korda Mentha, said it had been contacted early today and appointed as administrators of Air Australia after the company was unable to pay for fuel.

"Overnight the company was unable to refuel its planes in Phuket, the directors appointed us at 1.30am this morning and the boys have been working throughout the night to deal with what's a very difficult situation," Mr Korda told Fairfax Radio in Melbourne.

Up to 4000 passengers were currently overseas with Air Australia return tickets and Mr Korda advised them to try to find alternative arrangements to fly home.

"We strongly recommend that people organise their return flights sooner rather than later," he said.

He said administrators would work through the weekend to try to find a "white knight" to save the airline.

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