IAG International Airlines Group has announced its LEVEL Europe (VK, Vienna) subsidiary has ceased trading effective immediately and will shortly file for insolvency.

The low-cost carrier, previously known as Anisec Luftfahrt, last operated commercial flights in March when its fleet of two A320-200s and four A321-200s was grounded as a result of the COVID-19 crisis.

"LEVEL Europe has been impacted by the unprecedented crisis caused by the COVID-19 pandemic," it said in a statement.

Once insolvency proceedings have been lodged and accepted, an Austrian court will appoint an administrator who will then be tasked with overseeing creditor payments.

In terms of lessor exposure, the ch-aviation fleets advanced module shows Bocomm Leasing has three A321-200s placed with LEVEL Europe, DAE Capital has one A320-200, Fortress Ireland Leasing has one A321-200, and Nomura Babcock & Brown has one A320-200.

IAG's other LEVEL units - in Spain and France - remain unaffected.