(Reuters) - Aviation firm Wheels Up named Delta Air Lines (NYSE:DAL)' board member George Mattson its new chief executive on Thursday, weeks after the loss-making company received a $500-million lifeline from a consortium including the airline.
The private-jet charter company has struggled as demand from wealthy travelers slowed after the pandemic.
Earlier this year, it gave up 95% of its common stock in return for a $400-million term loan and $100-million liquidity facility from Delta Air Lines and two investment firms.
Mattson, whose first official day is expected to be in early October, has worked in aviation for 25 years. Meanwhile, Interim CEO Todd Smith will continue as the company's chief financial officer.
Shares of Wheels Up were down ~10% at $2.4 in the early market hours.