Chinese Government Wants HNA to Pay Up

HNA Group’s financial woes continue.

According to a new report from Bloomberg, the Civil Aviation Administration of China has asked the debt-ridden Chinese conglomerate to pay overdue bills for its airline business.

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Those bills include payments for such things as jet fuel and airport fees, Bloomberg reported, based on unnamed sources.

The Chinese government, however, stopped short of taking any further actions against HNA’s Hainan Airlines so as not to cause flight disruptions or other challenges for passengers.

Neither Hainan Airlines nor HNA Group representatives provided comment for the Bloomberg article.

This is just the latest in a string of news surrounding HNA’s staggering global debt accumulation and associated selling off of assets.

Just this week the company announced that it’s selling a 25 percent stake in Hilton Grand Vacations Inc. That sale comes on the heels of HNA’s recent shedding of about $1.4 billion worth of shares in Hilton spin-off Park Hotels & Resorts Inc.

HNA is also selling or has already sold, multiple other assets including about $4 billion in U.S. properties. Among the additional assets on the market is 245 Park Ave., a New York City building HNA purchased last year for $2.21 billion. The Chinese company also recently closed a $305 million sale on its property at 1180 Sixth Avenue in New York.

READ MORE: HNA Sells Shares of Hilton Grand Vacations

HNA is said to be aiming to dispose of about $16 billion in assets by the first half of the year, according to Bloomberg.

Yet another news organization, Mingtiandi, recently reported the company’s flagship Hainan Airlines Holding Co. has been missing supplier payments since about October and was recently told to pay up or have deliveries halted.

HNA Group was founded in 2000 and is headquartered in Haikou, China. It started as a regional airline but subsequently became involved in numerous other industries.