What happens if an airline goes bankrupt part way through a year-round slot trade?
If the ‘selling’ airline goes bankrupt, then the second season’s slots are forfeit to the pool. The ‘buying’ airline may apply for the slots on the basis of year-round continuation priority, but it is not entitled to the slots by right. If the bankruptcy affects the ‘buying’ airline, then the first season’s slots are forfeit to the pool – they do not revert to the original slot holder.
