Ultra-low-cost carrier (ULCC) Spirit Airlines has filed for Chapter 11 bankruptcy protection due to mounting losses and debt maturities, the airline announced Monday.
The filing comes after two failed mergers in less than two years – one recently with Frontier and another earlier in 2024 with JetBlue. Last month, the carrier had announced plans to sell multiple aircraft and lay off workers.
Spirit Airlines President and CEO Ted Christie said the airline has entered into an agreement with its bondholders that is expected to reduce the company's total debt and provide increased financial flexibility. "This set of transactions will materially strengthen our balance sheet and position Spirit for the future while we continue executing on our strategic initiatives to transform our guest experience, providing new enhanced travel options, greater value and increased flexibility," Christie said.
The airline listed its estimated assets and liabilities in the range of $1 billion to $10 billion each, according to a court filing on Monday. The airline, as part of the prearranged Chapter 11 bankruptcy protection, has received a commitment for a $350 million equity investment from existing bondholders. It will also complete a deleveraging transaction to equitize $795 million of funded debt.
The airline expects to continue operating its business in the normal course throughout the prearranged, streamlined chapter 11 process. Guests can continue to book and fly without interruption and can use all tickets, credits and loyalty points as normal. The chapter 11 process itself will not impact Team Member wages or benefits, which are continuing to be paid and honored for those employed by Spirit.
Lockheed Martin has been awarded a $270 million contract by the U.S. Air Force to integrate next-generation infrared defensive sensors…
Malaysia Airlines, in collaboration with Mercedes-Benz Malaysia (MBM), has launched a Private Terminal Transfer Service aimed at providing seamless and…
Fly Jaya, a new entrant in Indonesia’s aviation industry operated by PT Surya Mataram Nusantara, is set to launch domestic…
The first Austrian Airlines Boeing 777-200ER equipped with AeroSHARK surface technology has successfully completed its maiden flight. The long-haul aircraft…
Vietnam and South Korea are reportedly finalising an agreement for the acquisition of 20 K-9 Thunder self-propelled howitzers (SPH) for…
The Royal Thai Air Force (RTAF) is anticipating the final delivery of three AT-6TH Wolverine light attack aircraft by April…
Ukraine's largest airline, SkyUp Airlines, has successfully transitioned to IBS Software's iFly Res Passenger Services System (PSS) to support the…
Experia Events has announced the confirmed exhibitors for the inaugural Business Aviation Asia Forum and Expo (BAAFEx), which will take…
Aonic, a Malaysian drone service provider and manufacturer, has been awarded the Unmanned Aerial Work Certificate (UAWC) by the Civil…
Eve Air Mobility (Eve) has partnered with JetSetGo, a private aircraft charter and fractional ownership company based in New Delhi,…
L3Harris Technologies has received a contract from BAE Systems Maritime Australia for the Integrated Platform Management System (IPMS) on the…
In a response to numerous instances of Global Positioning System (GPS) denial in the war that broke out on Oct.…
Airbus Defence and Space, in collaboration with HENSOLDT, is upgrading the German Airborne Weapon Systems Electronic Warfare Centre with the…
Qantas Airways Limited has officially become a member of the Association of Asia Pacific Airlines (AAPA), as announced by the…
Indra Group’s Board of Directors has appointed Ángel Escribano Ruiz as its new Executive Chairman. This decision was made during…
The first Airbus A400M aircraft for the Indonesian Air Force (TNI-AU) has entered the Final Assembly Line in Seville, Spain.…
Italian airline ITA Airways is now a member of the Lufthansa Group and will be the Group's fifth network airline.…
Revenue Passenger Kilometres (RPKs) are predicted to increase by 25.6% between 2025 and 2030,according to data recently revealed by IBA,…
Indonesian state-owned airport operator PT Angkasa Pura Indonesia, operating under the brand InJourney Airports, reported a notable rise in passenger…
The Department of National Defense (DND) of the Philippines has confirmed plans to acquire 12 additional FA-50 Block 20 Fighting…
Airbus Helicopters has delivered two H225M helicopters to the French Armament General Directorate (DGA), marking the first of eight helicopters…
Curtiss-Wright has unveiled the PacStar 452 server, designed to enhance data storage capabilities in tactical edge applications. This new server…
CAE has inaugurated its first Air Traffic Services (ATS) Training Centre, on its campus in Montreal, Canada. As the largest…
Muirhead, a Scotland-based supplier of aviation leather, has announced its expansion into the global seat cover sector, aiming to simplify…
Lockheed Martin has delivered 10 S-70i Black Hawk helicopters to the Philippine Department of National Defense (DND) in 2024. This…
Scoot, the budget carrier of Singapore Airlines, has unveiled the launch of direct flight services to Vienna in Austria and…
The Israeli Ministry of Defense (IMOD) has signed its first contract under the $8.7 billion U.S. aid package approved by…
Taiwan’s Civil Aviation Administration (CAA) has granted certification to ExecuJet MRO Services Malaysia, a subsidiary of Dassault Aviation, allowing it…
From 9 to 11 January 2025, Vietjet's senior leadership visited the United States to meet with strategic partners during the…
SITA has announced a partnership with Palo Alto Networks to strengthen cybersecurity measures for critical airport operations. The collaboration introduces…
Headquartered in Singapore with reporters spread across all major regions, GBP Aerospace & Defence is a leading media house that publishes three publications that serve the aerospace and defence sector - Asian Defence Technology, Asian Airlines & Aerospace and Daily News. Known industry-wide for quality journalism, GBP Aerospace & Defence is present at more international tradeshows and exhibitions than any other competing publication in the region.
For over three decades, our award-winning team of reporters has been producing top-notch content to help readers stay abreast of the latest developements in the field of commercial aviation, MRO, defence, and Space.
Copyright 2024. GBP. All Rights Reserved.
Home Defence & Security Space Commercial Aviation Maintence Repair & Overhaul Daily News Events About Us
2025 GBP all rights reserved.