Originally Posted by
bababouey
These are all valid points, I’m aware of the loan covenants, but I was planning on the growth continuing and them finding more ways to cut expenses,
the reason to declare early isn’t loan covenants entirely. It’s that the company has to either get more loans (debtor in possession financing) or keep using its own cash. AA doesn’t have anything left to mortgage for DIP.
As for cutting expenses... they’ve had 6 months. Pax numbers are climbing VERY slowly, revenue might not even be that good