Originally Posted by
Excargodog
I still think Chap 7 is far less likely than Chap 11. And they can't "buy the pilots." Not only does the 13th Amendment outlaw that, they will already have bailed while the bankruptcy process is ongoing. Those things take forever.
The problem I see with chapter 11 is NK doesn't have high labor costs it can gut. They can trim some debt, but ultimately the biggest problem NK faces is a lack of demand for the ULCC business. And the debt they trim probably can't be aircraft related or the debtors will just take the planes back and sell them to someone else. Or the ULCC business is saturated, however you want to look at it. And all of the full service airlines are overlapping basic economy seats on important ULCC routes. BK won't fix that.