Originally Posted by
Lincoln Osiris
Actually Grok
CODI: The 10-Q (Pages 12, 42) confirms a $421.4 million reorganization gain (per Simple Flying), including CODI from equitizing $795 million in debt, reducing the reported $143 million net loss from an economic loss of ~$360 million, as detailed in Note 7 and reorganization expense sections.
• Cash Flow: The 10-Q (Page 53) shows $329.7 million in cash used by operating activities ($223.7 million Predecessor, $106 million Successor), driven by:
• Operating expenses (~$259 million in Successor period, including fuel, labor, aircraft rent).
• Interest (~$9.1 million in Successor period).
• Restructuring fees ($6.9 million prepetition, $8.2 million professional, $2.6 million success fees).
• Asset disposal losses ($11.7 million).
• Working capital payments. The $350 million equity infusion and $840 million Exit Secured Notes provided inflows, but operating losses consumed significant cash.
All is well then. No better time to be a Spirit Pilot. Definitely no reason to go to a Legacy like Delta that is printing money hand over fist. Why not stay and enjoy watching your airline die of financial cancer.
There are no new interiors that can save Spirit from its own reputation it built over the past decade, one delay, cancellation, Irop, and police intervention at a time.
At best, you merge with Frontier. An airline that currently pays its 12 year Captains 4th Year Legacy First Officer wages. You then will get to watch one ALPA group vote away the other ALPA groups work rules just to be brought up to the same pay.
At worst, Spirit ceases operations this fall when it runs out of cash and sources for additional funding. You now will get to apply with the other 2,000 pilots that decided to ride this thing into the side of the mountain.
But carry on good sir! I’m sure you are convinced that the airline which hasn’t made a dime in 5 years, a turn around is just around the corner.