Originally Posted by
sailingfun
I don’t know. As I said it depends on where the capital to pay the debt came from. If they drew down a 5 billion dollar line of credit to have cash for Covid and are simply taking that same 5 billion to pay it back it doesn’t mean much. Most airlines grabbed every nickel they could get to boost cash on hand during covid. They are all paying it back now to reduce interest expense.
This is exactly what they did, repay built up credit lines during Covid. Basically slowly going back down to pre Covid debt levels, although still wanting to hold on to the extra liquidity just in case. Nothing has improved since pre Covid, in fact net debt levels still a tad higher now.