Originally Posted by
CatPilot1
https://airlinegeeks.com/2025/09/02/...to-bankruptcy/
ago
So Spirit’s latest Chapter 11 wasn’t really about them running out of money—it was more about AerCap pulling the rug out from under them.
On Aug. 25, AerCap (their biggest lessor) suddenly canceled 36 future Airbus deliveries for 2027–2028 and claimed defaults on 37 planes Spirit already flies, which is about a quarter of their fleet. Spirit says they weren’t behind on payments and calls the whole thing “extraordinary.”
Once those notices hit, Spirit had to disclose it to the SEC. That’s when things got messy—because if other lessors or lenders saw Spirit’s “biggest partner” claiming default, they could’ve all piled on. Filing Chapter 11 was basically Spirit hitting the pause button to stop a domino effect.
Now they’re saying they’re in talks with AerCap to work it out.
This is from pg. 12 of the bankruptcy filing. Anyone want to translate to pilot speak?*
Acting through Wilmington Trust Company, owner trustee.
§ One event of default provision cited by AerCap in their Notices states:
“The occurrence of any of the following will constitute an Event of Default and material breach of this Lease by LESSEE: ... (n) any proceedings, resolutions, filings or other steps are instituted or threatened with respect to LESSEE relating to the bankruptcy, liquidation, reorganization or protection from creditors of LESSEE or a substantial part of LESSEE's property. If instituted by LESSEE, the same will be an immediate Event of Default. If instituted by another Person, the same will be an Event of Default if not dismissed, remedied or relinquished within 60 days.”
The Termination Notice also cites to a cross-default provision which applies to the 36 lease agreements ted to the Undelivered Aircraft.