Originally Posted by
chrisreedrules
The problem with shrinking is how do you service debt? All of the legacies will have to contend with this question… AA is at the most immediate extreme risk in my opinion.
That is certainly a non-trivial question. Even before COVID debt service was taking a big chunk out of the net profits.
It is going to be difficult for an even smaller airline to service a far higher debt, some of it at a far higher interest rate.
