Pan Am’s Return of Jets Cheers Creditors

Pan Am Corp. said it is returning seven leased jets, a move that raised hopes among the grounded airline’s creditors that it would become strictly a charter operation. The announcement came soon after Pan Am said that financier Milan Mandaric had dropped out of talks on a possible rescue plan for the company. The bankruptcy judge has suggested that Pan Am operate as a small charter carrier. Pan Am’s regular passenger flights stopped Feb. 27, the day after its two airline units filed for Chapter 11 bankruptcy protection. The return of the 737-400s to International Lease Finance Corp. leaves Pan Am with three jets.